Chart of Accounts
Robert's Lawn Care
Chart of Accounts
Cu
ent Balances
AC # Title Debit Credit
1010 Cash $21,265
1020 Accounts Receivable $1,135
1020.1 Allowance for Doubtful Accounts $1,000
1025 Interest Receivable
1028 Note Receivable
1030 Office Supplies $575
1035 Prepaid Gas and Oil $5,900
1040 Prepaid Insurance $1,100
1045 Prepaid Rent
1060 Inventory $25,000
1080 Truck $18,000
1080.1 Accumulated Depreciation -Truck $5,400
1085 Equipment $11,400
1085.1 Accumulated Depreciation - Equipment $3,420
1090 Land $80,000
1095 Land Improvements $0
2010 Accounts Payable $4,399
2020 Income Tax Payable
2030 Interest Payable
2040 Unearned Revenue $1,000
2070 Note Payable $55,000
3010 Nick Roberts, Capital $10,741
3030 Nick Roberts, Withdrawal
3090 Income Summary
4010 Sales Revenue $162,000
4010.1 Sales Discounts $750
4010.2 Sales Returns and Allowances $500
4020 Interest Revenue
5000 Cost of Goods Sold $69,000
6010 Advertising Expense $1,345
6020 Depreciation Expense
6030 Gas and Oil Expense
6035 Income Tax Expense
6040 Insurance Expense
6050 Interest Expense
6060 Office Supplies Expense
6070 Phone Expense $2,490
6080 Professional Fees Expense $3,800
6090 Rent Expense
6100 Subcontractor Expense $700
6110 Uncollectible Account Expense
Total $242,960 $242,960
Transactions
Part A
Date Description Document # Vendo
Customer Terms
1-Oct Signed 6 mo lease and prepaid October rent of $750 Check 149
1-Oct Received $800 cash for lawn services rendered. Deposit 1
3-Oct Received $18,600 invoice from vendor for inventory Purchase Invoice 458 Trees LLC 2/10, n/30
shipped 10/1, terms FOB Shipping Point
4-Oct Paid $140 to fill gas fuel ba
el and purchase oil Check 150
7-Oct Paid $210 to purchase office supplies Check 151
8-Oct Deposited $2,800 weekly cash sales. Deposit 2
Cost of Inventory was $1,940.
10-Oct Paid Invoice # 458 Check 152 Tress LLC
11-Oct Paid accountant $800 for services rendered Check 153
11-Oct Advertised services in local paper. Cost $75 Purchase Invoice 360 Daily News n/30
12-Oct Sold inventory, on account, for $5,000 Sales Invoice 10102 Miles, Co 2/15, n/30
Cost of Inventory was $2,500
13-Oct Paid ca
ier, Transit Inc, $85 for freight charges Check 154
incu
ed for inventory purchased from
Trees LLC (Purchase Invoice #458)
14-Oct Received full payment, on account, Deposit 3
Miles, Co Invoice 10102
15-Oct Deposited $2,995 weekly cash sales. Deposit 4
Cost of Inventory was $1,940.
20-Oct Paid excavator, Builder's Inc, $5,000 for land- Check 155
clearing in anticipation of building a new facility
20-Oct Paid $410 to fill gas fuel ba
el and purchase oil Check 156
20-Oct Purchased $20,000 inventory, on account Purchase Invoice 511 Trees LLC 2/10, n/30
22-Oct Deposited $5,400 weekly cash sales. Deposit 5
Cost of Inventory was $4,650
25-Oct Paid sub-contractor $2,000 for services rendered Check 157
27-Oct Billed customer $1,100 for lawn winterizing services Sales Invoice 10103 Local Community College
Cost of Inventory was $750 n/30
28-Oct Received a $24,600, 12% 60 day note in exchange Note 101 New Business Company 12% 60 day
for services services rendered
Cost of Inventory $18,000
29-Oct Deposited $6,900 weekly cash sales. Deposit 6
Cost of Inventory was $5,765.
31-Oct Traded old truck plus $7,000 cash for new Check 158
truck. The business uses 5 yr SL.
31-Oct Nick withdrew $1,500 cash for personal use Check 159
31-Oct Write-off Hyde, Inc account receivable as uncollectible
Part B Adjusting Entries
Round all calculations to a whole dollar.
Description
1 3 months of the 6-month prepaid insurance policy
has expired.
2 The business uses 5-year straight-line depreciation
and assumes zero salvage value.
Compute 1-yr depreciation on equipment.
3 $400 of gas and oil remains at year end.
4 $200 of office supplies are on hand at year end.
5 The cu
ent market value of the inventory is $26,950
6 Nick estimates that 1.5% of net credit sales will be
uncollectible. Credit sales for the first 11 months
were $75,000.
7 Compute interest earned on note receivable
(Use 360 day year and round to whole dollar)
8 Record the adjustment for expired rent.
9 Compute 6 months interest accrual on a 2-yea
8% Note Payable
10 Accrue 11,000 of income tax expense
Special Journals
Sales Journal Page 4
Date Invoice # Customer Account Debited Terms Post Ref. Accounts Receivable DR/ XXXXXXXXXXSales Revenue CR Cost of Goods Sold DR/ Inventory CR
Cash Receipts Journal Page 10
Date Debits Credits Cost of Goods Sold DR /Inventory Credit
Sales Revenue Accounts Receivable Other Accounts
Reference Cash Sales Discount Account Title Post Ref. Amount
Purchase Journal Page 20
Credits Debits
Date Supplier (Vendor) Account Credited Terms Post Ref. Accounts Payable Inventory Other Accounts
Ref Account Title Post Ref. Amount
Cash Payments (Disbursements) Journal Page 43
Date Account Debited Post Ref. Debits Credit
Ck No. Other Accounts Accounts Payable Inventory Cash
General Journal
GENERAL JOURNAL Pg 101
Account Titles and Explanation Post Ref Debit Credit
Date
General Ledge
GENERAL LEDGER
Account Title: Cash 1010 Account Title: Nick Roberts, Capital 3010
Date Explanation Post Ref DEBIT CREDIT BALANCE Date Explanation Post Ref DEBIT CREDIT BALANCE
Balance Forward 21,265 Balance Forward 10,741
Account Title: Nick Roberts, Withdrawal 3030
Date Explanation Post Ref DEBIT CREDIT BALANCE
Account Title: Accounts Receivable 1020 Balance Forward - 0
Date Explanation Post Ref DEBIT CREDIT BALANCE
Balance Forward 1,135
Account Title: Income Summary 3090
Date Explanation Post Ref DEBIT CREDIT BALANCE
Balance Forward
Account Title: Allowance for Doubtful Accounts 1020.1
Date Explanation Post Ref DEBIT CREDIT BALANCE
Balance Forward 1,000
Account Title: Sales Revenue 4010
Date Explanation Post Ref DEBIT CREDIT BALANCE
Balance Forward 162,000
Account Title: Interest Receivable 1025
Date Explanation Post Ref DEBIT CREDIT BALANCE
Balance Forward -
Account Title: Sales Discounts 4010.1
Account Title: Note Receivable 1028 Date Explanation Post Ref DEBIT CREDIT BALANCE
Date Explanation Post Ref DEBIT CREDIT BALANCE Balance Forward 750
Balance Forward -
Account Title: Sales Returns and Allowances 4010.2
Account Title: Office Supplies 1030 Date Explanation Post Ref DEBIT CREDIT BALANCE
Date Explanation Post Ref DEBIT CREDIT BALANCE Balance Forward 500
Balance Forward 575
Account Title: Interest Revenue 4020
Date Explanation Post Ref DEBIT CREDIT BALANCE
Account Title: Prepaid Gas and Oil 1035 Balance Forward -
Date Explanation Post Ref DEBIT CREDIT BALANCE
Balance Forward 5,900
Account Title: Cost of Goods Sold 5000
Date Explanation Post Ref DEBIT CREDIT BALANCE
Balance Forward 69,000
Account Title: Prepaid Insurance 1040
Date Explanation Post Ref DEBIT CREDIT BALANCE
Balance Forward 1,100
Account Title: Advertising Expense 6010
Date Explanation Post Ref DEBIT CREDIT BALANCE
Account Title: Prepaid Rent 1045 Balance Forward 1,345
Date Explanation Post Ref DEBIT CREDIT BALANCE
Balance Forward -
Account Title: Depreciation Expense 6020
Date Explanation Post Ref DEBIT CREDIT BALANCE
Account Title: Inventory 1060 Balance Forward -
Date Explanation Post Ref DEBIT CREDIT BALANCE
Balance Forward 25,000
Account Title: Gas and Oil Expense 6030
Date Explanation Post Ref DEBIT CREDIT BALANCE
Balance Forward -
Account Title: Truck 1080
Date Explanation Post Ref DEBIT CREDIT BALANCE
Balance Forward 18,000
Account Title: Income Tax Expense 6035
Date Explanation Post Ref DEBIT CREDIT BALANCE
Balance Forward -
Account Title: Accumulated Depreciation -Truck 1080.1
Date Explanation Post Ref DEBIT CREDIT BALANCE
Balance Forward 5,400
Account Title: Insurance Expense 6040
Date Explanation Post Ref DEBIT CREDIT BALANCE
Balance Forward -
Account Title: Equipment 1085
Date Explanation Post Ref DEBIT CREDIT BALANCE
Balance Forward 11,400
Account Title: Interest Expense 6050
Date Explanation Post Ref DEBIT CREDIT BALANCE
Account Title: Accumulated Depreciation - Equipment 1085.1 Balance Forward -
Date Explanation Post Ref DEBIT CREDIT BALANCE
Balance Forward 3,420
Account Title: Office Supplies Expense 6060
Date Explanation Post Ref DEBIT CREDIT BALANCE
Account Title: Land 1090 Balance Forward -
Date Explanation Post Ref DEBIT CREDIT BALANCE
Balance Forward 80,000
Account Title: Phone Expense 6070
Date Explanation Post Ref DEBIT CREDIT BALANCE
Account Title: Land Improvements 1095 Balance Forward 2,490
Date Explanation Post Ref DEBIT CREDIT BALANCE
Balance Forward -
Account Title: Professional Fees Expense 6080
Date Explanation Post Ref DEBIT CREDIT BALANCE
Account Title: Accounts Payable 2010 Balance Forward 3,800
Date Explanation Post Ref DEBIT CREDIT BALANCE
Balance Forward 4,399
Account Title: Rent Expense 6090
Date Explanation Post Ref DEBIT CREDIT BALANCE
Account Title: Income Tax Payable 2020 Balance Forward -
Date Explanation Post Ref DEBIT CREDIT BALANCE
Balance Forward -
Account Title: Subcontractor Expense 6100
Account Title: Interest Payable 2030 Date Explanation Post Ref DEBIT CREDIT BALANCE
Date Explanation Post Ref DEBIT CREDIT BALANCE Balance Forward 700
Balance Forward -
Account Title: Uncollectible Account Expense 6110
Account Title: Unearned Revenue 2040 Date Explanation Post Ref DEBIT CREDIT BALANCE
Date Explanation Post Ref DEBIT CREDIT BALANCE Balance Forward -
Balance Forward 1,000
Account Title: Note Payable 2070
Date Explanation Post Ref DEBIT CREDIT BALANCE
Balance Forward 55,000
Unadjusted Trial Balance
Robert's Lawn Service
Unadjusted Trial Balance
October 31, 20--
Debit Credit
Totals - 0 - 0
-
AR Subsidiary Ledge
Accounts Receivable Subsidiary Ledge
Miles, Co 101
Date Jrnl Ref Debit Credit Balance
Local Community College 109
Date Jrnl Ref Debit Credit Balance
Hyde, Inc 111
Date Jrnl Ref Debit Credit Balance
Balance Forward 1,135
Weston Place 120
Date Jrnl Ref Debit Credit Balance
Balance Forward 1,000 (1,000)
Note: Weston's balance is an unearned deposit for services to be rendered
AP Subsidiary Ledge
Accounts Payable Susidiary Ledge
Trees LLC 205
Date Jrnl Ref Debit Credit Balance
Daily News 278
Date Jrnl Ref Debit Credit Balance
Bill's Repair 293
Date Jrnl Ref Debit Credit Balance
30-Sep P19 4,399 4,399
Reflection Statement Part A
Provide a Reflection statement. The reflection should address what you knew coming into this learning plan, what you gained by doing the work in this learning plan and what areas you feel require additional study. Also address any difficulties that you had while completing Part A.
Worksheet
Worksheet
Robert's Lawn Service
October 31, 20--
Unadjusted Adjusted
Trial Balance Adjustments Trial Balance Income Statement Balance Sheet
Account Titles Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit
Cash
Accounts Receivable
Allowance for Doubtful Accounts
Interest Receivable
Note Receivable
Office Supplies
Prepaid Gas and Oil
Prepaid Insurance
Prepaid Rent
Inventory
Truck
Accumulated Depreciation -Truck
Equipment
Accumulated Depreciation - Equipment
Land
Land Improvements
Accounts Payable
Income Tax Payable
Interest Payable
Unearned Revenue
Note Payable
Nick Roberts, Capital
Nick Roberts, Withdrawal
Sales Revenue
Sales Discounts
Sales Returns and Allowances
Interest Revenue
Cost of Goods Sold
Advertising Expense
Depreciation Expense
Gas and Oil Expense
Income Tax Expense
Insurance Expense
Interest Expense
Office Supplies Expense
Phone Expense
Professional Fees Expense
Rent Expense
Subcontractor Expense
Uncollectible Account Expense
Totals
Net Income
Adjusted Trial Balance
Robert's Lawn Service
Adjusted Trial Balance
October 31, 20--
Debit Credit
Reflection Statement Part B
Provide a Reflection statement. The reflection should address what you knew coming into this learning plan, what you gained by doing the work in this learning plan and what areas you feel require additional study. Also address any difficulties that you had while completing Part B.
Income Stmt & Owner's Equity
Robert's Lawn Service Robert's Lawn Service
Balance Sheet
Robert's Lawn Service
Calculate the cu
ent ratio
Post-Closing Trial Balance
Robert's Lawn Service
Post-Closing Trial Balance
October 31, 20--
Debit Credit
Schedule of Accounts Receivable
October 31, 20--
Schedule of Accounts Payable
October 31, 20--
Reflection Statement Part C
Provide a Reflection statement. The reflection should address what you knew coming into this learning plan, what you gained by doing the work in this learning plan and what areas you feel require additional study. Also address any difficulties that you had while completing Part C.