The objective of this project is to enable student to record transactions into the accounting cycle. The second objective is to enable them record adjustments and post them to the General Ledger The third Objective is to enable them prepare accurate Income Statements and Balance Sheets.
INSTRUCTIONS: Each group is required to
1.Journalize the transactions
2.Post the transactions from journal to ledgers.
3.Prepare a trial balance
4.Journalize the adjusting entries and post them to the General Ledger
5.Prepare post adjustments trial balance
6.Prepare a worksheet and complete it. (Using Microsofts Excel)
7.Prepare financial statements – Balance Sheet and Income Statement
Ameen Ali Muhammad started his own security services company, AM Services, in January 2009. Listed below is the opening trial balance as at the beginning of January 2009
AAM Security Services Limited
Opening Trial Balance as at January 1, 2009
Cash 5, 500
Account receivable 25,000
Prepaid Insurance 24,000
Accumulated Depreciation (Equipment) 10, 000
Account Payable 15, 000
Unearned revenue 35, 000
During 2007 the following transactions were completed:-
January 1Paid $10,000 for account payable
January 1Purchased a Patrol Van worth $150,000; paid $50,000 by cheque and sign a note payable for the remainder (note payable is for 2 years with 10% interest rate)
February 2Purchase $10,000...