# Sample Accounting Worksheet Explanation## Work Sheet Analysis**For the Month Ended January 31, 2020**### Trial Balance- **Account Titles:** - **Assets:** - **Cash:** Dr. $13,200 - **CDs (Certificates of Deposit):** $22,000 - **Other Securities:** $5,400 - **Liabilities:** - **Loan Payable:** $25,000 - **Equity:** - **Owner's Equity:** Cr. $15,600 - **Revenue and Expenses:** - **Revenue:** Cr. $20,000### Adjustments- **Journal Entries:** - **a. Cash:** Increase by $20,000 (Cr.), correction of overstatement. - **b. Owner's Equity:** Correction of $500 overstatement. - **c. Utilities Expense:** $300 after adjustment. - **d. Internet & Telephone Expense:** $150 recorded. - **e. Advertising Expense:** $300 recorded. - **f. Rent Expense:** $2,000 recorded. - **g. Supplies Expense:** $450 recorded. - **h. Insurance Expense:** $250 recorded.### Adjusted Trial Balance- Combined adjustments reflect accurate balances for February.### Income Statement- **Net Income:** $16,550.### Balance Sheet- **Assets Total:** $56,650.- **Liabilities and Equity Total:** $56,650.---## Key Points and Requirements:1. **Errors Noted:** - Cash overstated by $500. - Owner’s Equity overstated by $500.2. **Expense Payments:** - Utilities ($300) on January 25. - Insurance ($250) on January 27. - Rent ($2,000) on January 31.3. **Revenue Notes:** - $20,000 collected in January and banked.4. **Monthly Expenses Recorded:** - Internet & Telephone: $150. - Advertising: $300. - Supplies: $450.### Tasks:- Adjust the worksheet with necessary entries.- Prepare the Income Statement and Balance Sheet as of January 31, 2020.- Submit documents for grading.By comprehending the worksheet, adjustments, and financial statements preparation, accounting accuracy and financial

Name: # Sample Accounting Worksheet Explanation## Work Sheet Analysis**For
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Description: # Sample Accounting Worksheet Explanation## Work Sheet Analysis**For the Month Ended January 31, 2020**### Trial Balance- **Account Titles:** - **Assets:** - **Cash:** Dr. $13,200 - **CDs (Certificates of Deposit):** $22,000 - **Other Secu

Income Statement is an account prepared in the financial year to calculate the net income of the…

Business

Accounting

1. Cash is overstatei by 500.00 and Owners Equity is overstated by $500.00. 2. Utilities Expense of $300.00 was paid on January 25. 3. Insurance expense of $250.00 was paid on January 27. 4. supplies for the month in the amount of $450.00 was purchased. 5. Rent for $2000.00 for the month was paid on January 31. 6. The total revenue of $20,000.00 was collected in the month of January and deposited in the Bank. 8. Internet and Telephone expense for the month was $150.00 9. Advertising Expense for the month was $300.00. Required: Complete the above worksheet with the necessary adjusing or journal entries manually or utilize an excel worksheet if you can. Make the journal entries for thre above transactions or simply make adjusting entries to the worksheet provided. Prepare the Income Statement for Sample Co as of January 31, 2020.

1. Cash is overstatei by 500.00 and Owners Equity is overstated by $500.00. 2. Utilities Expense of $300.00 was paid on January 25. 3. Insurance expense of $250.00 was paid on January 27. 4. supplies for the month in the amount of $450.00 was purchased. 5. Rent for $2000.00 for the month was paid on January 31. 6. The total revenue of $20,000.00 was collected in the month of January and deposited in the Bank. 8. Internet and Telephone expense for the month was $150.00 9. Advertising Expense for the month was $300.00. Required: Complete the above worksheet with the necessary adjusing or journal entries manually or utilize an excel worksheet if you can. Make the journal entries for thre above transactions or simply make adjusting entries to the worksheet provided. Prepare the Income Statement for Sample Co as of January 31, 2020.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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