Extending Amounts Across the Work Sheet The following accounts have balances and appear

Entering Account Balances on the Worksheet The following accounts appear on the work sheet for Lee's Bike Shop. Instructions Use a form similar to the one below in your working papers. Classify each account and use an “X” to indicate whether the account balance is entered in the Debit or the Credit column of the Trial Balance section. The first account is completed as an example.

Analysing a Source Document Instructions Based on the invoice presented here, answer the following questions in your working papers. 1. Which company shipped the supplies? 2. Which company ordered the supplies? 3. On what date were the supplies received? 4. What does one box of file folders cost? 5. How many ring binders were ordered? 6. What is the invoice number?

Extending Amounts Across the Worksheet The following accounts have balances and appear in the Account Name section of the work sheet for Lee's Bike Shop. Instructions Use a form similar to the one below in your working papers or on a separate sheet of paper. For the above accounts, enter an X in the column where the account balance is transferred. The first account has been completed as an example.

Purpose of a Worksheet a. Preparing the worksheet is which step of the accounting cycle? b. What is the purpose of the worksheet?

Parts of a Six-Column Work Sheet a. Name and briefly describe the five sections of a six-column worksheet. b. List the items that are included in the worksheet heading.

Preparing a Six-Column Work Sheet a. Which section of the worksheet should you complete first? b. Why are all accounts, including those with zero balances, listed on the worksheet?

Net Income and Net Loss a. Explain how to record net income or net loss on the worksheet. b. How does net income affect owner’s equity? How does net loss affect owner’s equity?

Preparing a Six-Column Work Sheet The ending balances in the general ledger accounts of Wilderness Rentals for the period ended May 31 follow. Instructions Prepare a work sheet for the period ended May 31. 1. Write the heading on the work sheet. 2. List all of the accounts in the Account Name and Trial Balance sections. For each account, include the account number, name, and balance. 3. Total and rule the Trial Balance section. Do total debits equal total credits? If not, find and correct the problem before continuing. 4. Extend the appropriate amounts to the Balance Sheet section. 5. Extend the appropriate amounts to the Income Statement section. 6. Total the amount columns in the Income Statement and Balance Sheet sections. 7. Enter the amount of net income or net loss in the appropriate columns in the Income Statement and Balance Sheet sections. 8. Total and rule the Income Statement and Balance Sheet sections.

Preparing a Six-Column Work Sheet The general ledger for Hot Suds Car Wash shows the following account balances on May 31, the end of the period. Instructions Prepare a work sheet for Hot Suds Car Wash in your working papers. Identify the temporary accounts on the work sheet that have normal credit balances.

Preparing a Six-Column Work Sheet The account balances in the general ledger of Kits & Pups Grooming at the end of May are: Instructions Prepare a worksheet for the month ended May 31 for Kits & Pups Grooming in your working papers. Compute the total liabilities for Kits & Pups.

Preparing a Six-Column Work Sheet The general ledger account balances on May 31 for Outback Guide Service are: Instructions Prepare a worksheet for Outback Guide Service for the period ended May 31 in your working papers. Compute the total assets for Outback.

Completing the Work Sheet The work sheet for Job Connect appears in your working papers. The amounts that have been entered are correct. Several amounts, however, are missing from various columns. Instructions Calculate all missing amounts and complete the work sheet. Calculate the owner’s equity. (Hint: Be sure to include the temporary accounts.)