accounts assignment

For this assignment, you are required to complete all three
accounting cases: Venz Consult, P&DC, and DWood. You will then present
Parts 1, 2, and 3 of the Portfolio Project in Excel as journal entries,
following the exact instructions that accompany each part.
Part 1:
D. Brobro opens a web consulting business called Venz Consult
and completes the following transactions in March:
March
1: Brobro invested $150,000
cash along with $22,000 of office equipment in the company.
March
2: Venz Consult pre-paid $6,000
cash or six months’ rent for their office.
March
3: Venz Consult made credit
purchases for office equipment for $3,000 and office supplies for $1,200.
Payment is due within 10 days.
March
6: Venz Consult
completed services for a client and immediately received $4,000 cash.
March
9: Venz Consult
completed a $7,500 project for a client who must pay within 30 days.
March
12: Venz Consult paid $4,200
cash to settle the account payable created on March 3.
March
19: Venz Consult paid a
$5,000 cash premium on a 12-month insurance policy.
March
22: Venz Consult received
$3,500 cash as a partial payment for the work completed on March 9.
March
25: Venz Consult completed
work for another client for $3,820 on credit.
March
29: Brobro withdrew $5,100
cash from the company for personal use.
March
30: Venz Consult purchased
$600 of additional office supplies on credit.
March
31: Venz Consult paid $500
cash for this month’s utility bill.
Instructions:
Prepare journals for the above economic transactions. Use
the file called “Student Template” in the
assignment section for Part #1, Link Works Co. Enter your journals to
the general ledger using the same file name.
Part 2:
The following unadjusted trial balance is for P&DC as of
year-end for the April 30, 2015 fiscal year. The April 30, 2015 credit balance
of the owner’s equity account is $46,900, and the owner invested $40,000 cash
in the company during 2015.

NO.

Account Title

Debit

Credit

101

Cash

$7,000

126

Supplies

$16,000

128

Pre-paid insurance

$12,600

167

Equipment

$200,000

168

Accumulated depreciation – equipment

$14,000

201

Accounts payable

$6,800

251

Long-term notes payable

$30,000

301

Bonn, equity

$86,900

302

Bonn, withdrawals

$12,000

401

Demolition fees earned

$187,000

623

Wage expense

$41,400

633

Interest expense

$3,300

640

Rent expense

$13,200

683

Property tax expense

$9,700

684

Repairs expense

$4,700

690

Utilities expense

$4,800

TOTALS

$324,700

$324,700

Instructions:
a) Journalize the following adjusting entries as of fiscal
year-end April 30, 2015.
b) Post the adjusting entries to an unadjusted trial balance and prepare the
adjusted trial balance.
c) Create financial statements.
1. The
supplies available at the end of fiscal 2015 year are at a cost of $7,900.
2. The cost
of expired insurance for the fiscal year is $10,600.
3. Annual
depreciation on equipment is $7,000; no other depreciation adjustment was made
in 2015.
4. The April
utilities expense of $800 is not included in the adjusted trial balance,
because the bill arrived after the trial balance was prepared. The $800 amount
owed needs to be recorded..
5. The
company’s employees have earned $2000 of accrued wages in the fiscal year.
6. The rent
expense not yet paid or recorded in the fiscal year is $3000.
7. Additional
property taxes of $550 have been assessed for the fiscal year, but have not yet
been paid or recorded in the accounts.
8. The $300
accrued interest for April has not yet been paid and reported.

Part 3:
The DWood Company uses a perpetual inventory system. It entered
the following purchases and sales transactions for March into the system:

Date

Activities

Units Acquired at Cost

Cost per Unit

Units Sold at Retail

Price per unit

March 1

Beginning inventory

100 units

$50

March 5

Purchase

400 units

$55

March 9

Sales

420

$85

March 18

Purchase

120 units

$60

March 25

Purchase

200 units

$62

March 29

Sales

160 units

$95

Totals

820 units

580 units

Instructions:
Show all of your work in an Excel spreadsheet for the following
tasks:
1. Compute
the number of units available for sale.
2. Compute
the number of units in ending inventory.
3. Compute
the cost assigned to ending inventory
using (a) FIFO, (b) LIFO, and (c) weighted
average. (Round the average cost per unit to 2 decimal places.)
4. Compute
the gross profit earned by the company for each of the four costing methods.
(Round the average cost per unit to 2 decimal places.)