Last edit: 7/18/19 Page 1 of 3
ACCT 211 – Fall 2019
INTEGRATED LEARNING PROJECT 2 INSTRUCTIONS
VINE & BRANCHES – SUNFLOWER DESIGNS
Important: This assignment should be completed alone. Students should treat this assignment
similar to the requirements of an in-class open-book exam. That is, the only resources allowed
are the textbook and the professor.
1. CREATE JOURNAL ENTRIES FOR THE September 2019 TRANSACTIONS BELOW FOR
SUNFLOWER DESIGNS:
a. On September 1, $250 of office supplies was purchased on credit; the terms of the invoice
were net 30. All of the supplies were used during the month of September.
. On September 1, a 24-month liability insurance policy was purchased to cover Sunflower
Designs. The full cost of the policy, $2,850, was paid in cash on the same date.
c. On September 1, a desktop computer was purchased on credit totaling $975. The estimated
useful life of the computer is five (5) years and is expected to have no salvage value. The
invoice terms were 2/10, net 30.
d. On September 5, Sunflower Designs purchased $2,700 worth of inventory items for resale.
These items were purchased on credit and the invoice term is 2/10, net 30.
e. On September 9, a check was issued to pay for the inventory purchased on September 5.
f. On September 10, Sunflower Designs paid for the office supplies purchased on credit on
September 1.
g. On September 12, Sunflower Designs completed and delivered an interior design layout to a
customer for $5,800. The customer had paid for the services in advance in a previous month,
and Sunflower Designs had appropriately recorded the deposit.
h. On September 14, Sunflower Designs completed, delivered, and billed an interior design
layout for $13,800 to a new customer. The terms of the invoice were 2/10, net 30.
i. On September 16, Sunflower Designs paid $4,525 in wages to a temporary employee. On the
same date, the company remitted payroll taxes of $905, previously accrued, to the
appropriate government entities.
j. On September 18, Sunflower Designs received a refund of $22 from their office supply vendor
for items that were returned on the September 1 purchase.
k. On September 20, a customer paid the balance due for an interior design layout. The invoice
for these services was sent to the customer on June 20, XXXXXXXXXXThe contract price was $3,940.
Last edit: 7/18/19 Page 2 of 3
l. On September 24, Sunflower Designs sold a side table from inventory for $375. The inventory
cost for this item was $150. The customer paid cash for this purchase.
m. On September 26, $675 worth of inventory was returned to supplier because of defects. The
inventory had been purchased on account in August and had not been paid for.
n. On September 30, the customer delivered a check for one-half of the interior design invoice
delivered on September 14.
2. CREATE THE SEPTEMBER 31, 2018 UNADJUSTED TRIAL BALANCE
3. CREATE ADJUSTING JOURNAL ENTRIES FOR SEPTEMBER 31, 2018:
o. Record the depreciation for the laptop purchased on September 1.
p. Record the September 2018 depreciation for all computers & software owned before the
September 1 purchase. These items are being depreciated over 5 years using the straight-
line method with no salvage value.
q. Record the September 2018 depreciation for the furniture & fixtures. These items are being
depreciated over 7 years using the straight-line method with no salvage value.
. Record the adjusting entry for September’s rent. Sunflower Designs paid $3,600 in advance
for 6 months’ rent on June 1, XXXXXXXXXXAll previous months’ adjusting entries were made as
equired.
s. Record the adjusting entry for the consumption of prepaid insurance for the month of
September. The preexisting policy has 42 months remaining as of September 1, and recall
that the new policy provides coverage for 24-months. The previous months’ adjusting entries
were made as required.
t. Record the amount due to an employee for time worked during September, but not paid. The
amount earned by the employee was $3,416.
4. CREATE THE ADJUSTED TRIAL BALANCE.
5. CREATE THE SEPTEMBER 31, 2018 INCOME STATEMENT.
The amount for each account must be linked from the ending balances in the Trial Balance.
All sub-totals and totals must be accurately calculated using Excel formulas.
6. CREATE THE SEPTEMBER 31, 2018 BALANCE SHEET.
The amount for each account must be linked from the ending balances in the Trial Balance.
All sub-totals and totals must be accurately calculated using Excel formulas.
Note: The trial balance may include decimals, but the financial statements should not show decimals.
Last edit: 7/18/19 Page 3 of 3
GRADING RUBRIC
1. JOURNAL ENTRIES/ADJUSTING JOURNAL ENTRIES (25%)
a. All required journal entry items are present and co
ectly formatted.
. Journal entries are accurate and balance.
2. TRIAL BALANCE/ADJUSTMENTS/ADJUSTED TRIAL BALANCE (25%)
a. All journal entries are properly reflected on the trial balance.
. All closing entries are properly reflected in the adjustments.
c. The adjusted trial balance reflects the entries from the trial balance and the adjustments.
d. A formula is used to determine all of the ending debit/credit balances.
e. The debits and credits are balanced for each of the 3 sections.
3. INCOME STATEMENT (25%)
a. All totals are linked from the ending balance amounts on the Trial Balance.
. All sub-totals and totals are accurately calculated (using Excel formulas).
c. Ensure that $ signs are used co
ectly.
d. Ensure that statement heading is co
ect.
4. BALANCE SHEET (25%)
a. All totals are linked from the ending balance amounts on the Trial Balance.
. All sub-totals and totals are accurately calculated (using Excel formulas).
c. Ensure that $ signs are used co
ectly.
d. Ensure that statement heading is co
ect.