Part 1: Record the following transactions for Classic CanineCuts for the month of December in the General Journal.

Transaction Date Description
1 12/1 Issued 100,000 shares of common stock for $100,000.
2 12/2
A retail space is rented. Paid for one year of rent in advancetotaling $24,000. (rent is $2,000 per month)
3 12/4 Purchased equipment for the business totaling $36,000.
4 12/5 Purchased $1,500 of supplies on account.
5 12/7 Provided services to customers for cash totaling$5,000.
6 12/9
Purchased an ad in the local newspaper to run during December for$400.
7 12/12
Customers purchased $1,000 of gift certificates for services to beprovided in the future (pre-paid for future services).
8 12/15
Paid employee salaries for the first half of December totaling$1,200.
9 12/17 Paid $1,000 for the supplies that were purchased onDecember 5th.
10 12/20 Provided $2,500 of services to customers on account.
11 12/25 Paid a cash dividend of $800 to the shareholders.
12 12/30 Received $1,500 on account for services provided on12/20.



Part 2: Post all of the transactions for the month of December fromthe General Journal to the General Ledger.


Part 3: Complete a Trial Balance as of December 31, 2019.




Page 3

Part 4: Record the adjusting entries for Classic Canine Cuts forthe month of December in the General Journal.

Transaction Date Description
Adj. 1 12/31
One month of rent that was prepaid has been used for the month ofDecember.
Adj. 2 12/31
The equipment purchased for $36,000 has a useful life of 5 yearsand no salvage value. (Monthly depreciation is $600.)
Adj. 3 12/31 At the end of December, $1,000 of supplies remain onhand.
Adj. 4 12/31
By the end of December $700 worth of the gift certificates had beenredeemed by customers (revenue earned) for grooming services andhad not been recorded.
Adj. 5 12/31
Salaries for the second half of December are $1,400, but they willnot be paid until January 3rd.



Part 5: Post all of the adjusting entries for the month of Decemberfrom the General Journal to the General Ledger.


Part 6: Complete an Adjusted Trial Balance as of December 31,2019.

* Remember a balance in an account on the trial balance will carryover to the adjusted trial balance if it was not changed by anadjusting journal entry.*


Part 7: Complete an Income Statement for the month ended December31, 2019.


Part 8: Complete a Statement of Retained Earnings for the monthended December 31, 2019.


Part 9: Prepare a Balance Sheet as of December 31, 2019.

Part 10. Record the closing entries for the year ending December31, 2019.

Part 11. Post all of the year end closing entries from the GeneralJournal to the General Ledger.

Part 12. Prepare a Post-Closing Trial Balance.


Page 4

General Journal Part 1

Ref # Date Account Debit Credit
1
  
  
2
  
  
3
  
  
4
  
  
5
  
  
6
  
  
7
  
  
8
  
  
9
  
  

  
Page 5

General Journal Part 1 (Continued)

Ref # Date Account Debit Credit
10
  
  
11
  
  
12
  
  


General Journal – Adjusting Entries Part 4

Ref # Date Account Debit Credit
A 1
  
  
A 2
  
  
A 3
  
  
A. 4
  
  
A. 5
  
  


Page 6

General Ledger Parts 2,5,11 TB = Trial Balance Total ATB = AdjustedTrial Balance Total CB= Closing Balance Total Post Journalreferences in left column for debits and right column for creditsin each account. Assets

Ref # Cash Ref # Debit Credit TB



Ref # #
Accounts Receivable Ref # Debit Credit TB



Ref # Supplies Ref # Debit Credit TB ATB

Ref # Prepaid Rent Ref # Debit Credit TB ATB




Ref # Equipment Ref # Debit Credit TB




Ref # Accumulated Depreciation Ref # Debit Credit ATB





Page 7

Liabilities



Ref # Accounts Payable Ref # Debit Credit TB
















Ref # Salaries Payable Ref # Debit Credit ATB




Ref # Unearned (Deferred) Revenue Ref # Debit Credit TB ATB



  
Page 8

Stockholders’ Equity



Ref # Common Stock Ref # Debit Credit TB












Ref # Dividends Ref # Debit Credit TB CB



Ref # Retained Earnings Ref # Debit Credit CB





































Page 9

Revenue

Ref # Service Revenue Ref # Debit Credit TB ATB CB

Expenses

Ref # Advertising Expense Ref # Debit Credit TB CB
  
Page 10


Ref # Salaries Expense Ref # Debit Credit TB ATB CB

Ref # Depreciation Expense Ref # Debit Credit ATB CB



Ref # Rent Expense Ref # Debit Credit ATB CB



Ref # Supplies Expense Ref # Debit Credit ATB CB






  
Page 11

Part 3

Classic Canine Cuts Trial Balance December 31, 2019
Account Debit Credit
$ $












Total $ $   
Page 12

Part 6

Classic Canine Cuts Adjusted Trial Balance December 31, 2019
Account Debit Credit
$ $

















Total $ $


Page 13

Part 7

Classic Canine Cuts Income Statement For the Month Ended December31, 2019
Revenue   
  
$
Expenses   
$




Total Expenses
$
Net Income
$


Part 8

Classic Canine Cuts Statement of Retained Earning December 31,2019
Retained Earnings
Beginning Balance, December 1, 2019 $
  
Ending Balance, December 31, 2019
$



Page 14

Part 9

Classic Canine Cuts Balance Sheet December 31, 2019
Assets
  
Liabilities
  


Total Current Liabilities

Total Current Assets



Property Plant and Equipment   
Total Liabilities


Stockholders’ Equity
  
Total Property Plant and Equipment


Total Stockholders’ Equity

Total Assets

Total Liabilities and Stockholders’ Equity

  
Page 15




General Journal – Closing Entries Part 10 Revenue, Expense andDividend accounts.

Ref # Date Account Debit Credit
C.1
  
  
C.2
  
  
  
  
  
  
C.3
  
  

  
Page 16


Part 12

Classic Canine Cuts Post-Closing Trial Balance December 31,2019
Account Debit Credit
$ $










Total $ $