Reference no: EM131841236
Problem - During its first month of operation, the Flower Landscaping Corporation, which specializes in residential landscaping,
completed the following transactions:
March 1 Began business by making a deposit in a company bank account of $72,000, in exchange for 7,200 shares of $10 par value common stock.
March 1 Paid the current month's rent, $4,500.
March 1 Paid the premium on a one-year insurance policy, $3,300.
March 7 Purchased supplies on account from Parkview Company, $900.
March 10 Paid employee salaries, $2,200.
March 14 Purchased equipment from Hammond Company, $9,000. Paid $1,500 down and the balance was placed on account. Payments will be $375.00 per month for twenty months. The first payment is due 4/1. Note: Use Accounts Payable for the Balance Due.
March 15 Received cash for landscaping revenue for the first half of March, $4,896.
March 19 Made payment on account to Parkview Company, $450.
March 31 Received cash for landscaping revenue for the last half of March, $5,304.
March 31 Declared and paid cash dividend of $1,000.
Requirement 1: Prepare journal entries to record the March transactions in the General Journal below.
Requirement 2: Post the March journal entries to the following T-Accounts and compute ending balances.
Requirement 3: Prepare a trial balance for March in the space below.
Requirement 4: Prepare adjusting entries using the following information in the General Journal below. Show your calculations!
a) One month's insurance has expired.
b) The remaining inventory of supplies is $475.
c) The estimated depreciation on equipment is $150.
d) The estimated income taxes are $795.
Requirement 5: Post the adjusting entries to the General Ledger T-accounts and compute adjusted balances. Just add to the balances that are already listed.
Requirement 6: Prepare an Adjusted Trial Balance in the space below.
Requirement 7: Prepare the financial statements for Flower Landscaping Corporation as of March 31 in the space below. You will only be preparing the Income Statement, Statement of Retained Earnings and the Balance Sheet. The Statement of Cash Flows is a required Financial Statement, but is not required for this Project.
Requirement 8: Prepare the closing entries at March 31 in the General Journal below. Hint: use the balances for each account which appear on the Adjusted Trial Balance for your closing entries.
Requirement 9: Post the closing entries to the General Ledger T-accounts and compute ending balances. Just add to the adjusted balances already listed.
Requirement 10: Prepare a post-closing trial balance as of March 31 in the space below.
Attachment:- Assignment.rar