60.1K

Verified Solution

Link Copied!

Deb Kelley opens a web consulting business called Kelley Consulting and completes the following transactions in March. Using the following transactions, record journal entries, create financial statements, and assess the impact of each transaction on the financial statements. Mar. Mar. Mar. Mar. Mar. Mar. Mar. 1 Kelley invested $180,000 cash along with $23,000 in office equipment in the company. 2 The company prepaid $10,000 cash for six months' rent for an office. The company's policy is to record prepaid expenses in balance sheet accounts. 3 The company made credit purchases of office equipment for $4,000 and office supplies for $2,200. Payment is due within 10 days. 6 The company completed services for a client and innediately received $5,000 cash. 9 The company completed a $8,500 project for a client, who must pay vithin 30 days. 12 The company paid $6,200 cash to settle the account payable created on March 3. 19 The company paid $6,000 cash for the prenium on a 12-month insurance policy. The company's policy is to record prepaid expenses in balance sheet accounts. 22 The company received $5, 100 cash as partial payment for the work completed on March 9. 25 The company conpleted work for another client for $4, 900 on credit. 29 Kelley vithdrew $5,300 cash from the company for personal use. 30 The company purchased $800 of additional office supplies on credit. 31 The company paid $700 cash for this month' s utility bill. Mar. Mar. Mar. Mar. Mar. Requirement General Journal General Ledger Trial Balance Income Statement St Owners Equity Balance Sheet Impact on Equity General Journal Tab - For each transaction, prepare the required journal entry on the General Journal tab. List debits before credits. Each journal entry is automatically posted to the General Ledger General Ledger Tab - To see the detail of all transactions that affect a specific account, or the balance in an account at a specific point in time, click on the General Ledger tab. Abnormal balances appear in parentheses. Click on any amount to see the underlying journal entry. Trial Balance Tab - A trial balance lists each account from the General Ledger, along with its balance, either a debit or a credit. Total debits should always equal total credits. If your trial balance doesn't balance, review your journal entries on the general journal tab. Income Statement Tab - Using the dropdown buttons, select the financial statement elements and account titles to be included on the income statement. The account balances will automatically populate. Statement of Owner's Equity Tab - Using the dropdown buttons, select the item that accurately describes the values that either increase or decrease the owner's capital balance. Balance Sheet Tab - Using the dropdown buttons, select the financial statement elements and account titles to be included on the balance sheet. The account balances will automatically populate. Impact on Equity Tab-Using the dropdown buttons, indicate the impact each item has on total equity. Compare the total with the amount of equity reported on the balance sheet

Answer & Explanation Solved by verified expert

See Answer