Accounting Project Report: Journal, Ledger Accounts, and Financials

This project report presents a comprehensive accounting analysis, starting with a general journal containing various transactions from January 1 to December 31, 2018. These transactions include cash receipts and payments related to common stock, prepaid rent, purchases, prepaid service, accounts payable, accounts receivable, services, salaries, and dividends. The report then shows the same data in a formula view, demonstrating the underlying calculations within an Excel spreadsheet. Following the general journal, the report presents ledger accounts for cash, common stock, prepaid rent, purchases, prepaid services, accounts payable, accounts receivable, services, salaries, dividends, outstanding salaries, and rent. Each ledger account details the debits and credits, providing a clear overview of the account balances. The report also includes a formula view for the ledger accounts, showcasing the calculations used to determine the balances. The provided assignment solution demonstrates the ability to record financial transactions in a journal and then post the transactions to ledger accounts.

Running Head: Accounting
1
Project Report: Accounting

Accounting
2
Que 1:
Normal View:
General Journal - Period Jan 1 to Dec 31, 2018
Date Description PR Debit Credit
Jan-
01 Cash a/c 25000
Common stock a/c 25000
(being issue of common stock)
Mar-
01 Prepaid rent 8400
Cash a/c 8400
(Being rent paid in advance)
Apr-
14 Purchase a/c 400
accounts payable 400
(Being purchase made on account)
Jun-
30 Cash a/c 12000
Prepaid service 12000
(Being cash received in advance)
Jul-05 Accounts payable a/c 300
Cash a/c 300
(Being accounts payable amount paid.)
Aug-
01 Accounts receivable a/c 4800
Services a/c 4800
(Being services offered.)
Aug-
08 Cash a/c 1600
Accounts receivable 1600
(Being partially payment made.)
Sep-
01 Salaries a/c 18000

Accounting
3
Cash a/c 18000
(Being salaries paid)
Sep-
09 Cash a/c 4250
Accounts receivable 4250
(being cash received)
Oct-
05 Accounts receivable a/c 17000
Services a/c 17000
(Being services offered.)
Nov-
02 Dividend a/c 500
Cash a/c 500
(Being dividend paid)
Dec-
31 Salaries a/c 1100
Outstanding salaries 1100
(Being accrued salaries recorded.)
Dec-
31 Rent a/c 4200
Prepaid rent 4200
(Being rent amount recorded.)
Formula View:
General Journal - Period Jan 1 to Dec 31, 2018
Date Description
P
R Debit Credit
36892 Cash a/c 25000
Common stock a/c =E6
(being issue of common stock)
36951 Prepaid rent 8400
Cash a/c =E10
(Being rent paid in advance)

Accounting
4
41730 Purchase a/c 400
accounts payable =E14
(Being purchase made on account)
11110 Cash a/c 12000
Prepaid service =E18
(Being cash received in advance)
38534 Accounts payable a/c 300
Cash a/c =E22
(Being accounts payable amount paid.)
37104 Accounts receivable a/c 4800
Services a/c =E26
(Being services offered.)
39661 Cash a/c 1600
Accounts receivable =E30
(Being partially payment made.)
37135 Salaries a/c 18000
Cash a/c =E34
(Being salaries paid)
40057 Cash a/c 4250
Accounts receivable =E38
(being cash received)
38626 Accounts receivable a/c 17000
Services a/c =E42
(Being services offered.)
37561 Dividend a/c 500
Cash a/c =E46
(Being dividend paid)
11658 Salaries a/c 1100
Outstanding salaries =E50
(Being accrued salaries recorded.)
11658 Rent a/c 4200
Prepaid rent =E54
(Being rent amount recorded.)

Accounting
5
Que 2:
Normal View:
Cash a/c
Date Particulars Amount Date Particulars Amount
Jan-
01
Common stock
a/c 25000
Mar-
01 Prepaid rent 8400
Jun-
30 Prepaid service 12000
Jul-
05 Accounts payable a/c 300
Aug-
08
Accounts
receivable 1600
Sep-
01 Salaries a/c 18000
Sep-
09
Accounts
receivable 4250
Nov-
02 Dividend a/c 500
Dec-
31 Balance c/f 15650
42850 42850
Common Stock a/c
Date Particulars Amount Date Particulars Amount
Dec-
31 Trading a/c 25000
Jan-
01 Cash a/c 25000
25000 25000
Prepaid Rent a/c
Date Particulars Amount Date Particulars Amount
Mar-
01 Cash a/c 8400
Dec-
31 Rent a/c 4200
Dec-
31 Balance c/f 4200
8400 8400
Purchase a/c
Date Particulars Amount Date Particulars Amount

Accounting
6
Apr-
14 accounts payable 400
Dec-
31 Trading a/c 400
400 400
Prepaid services a/c
Date Particulars Amount Date Particulars Amount
Dec-
31 Balance c/f 12000
Jun-
30 Cash a/c 12000
12000 12000
Accounts payable a/c
Date Particulars Amount Date Particulars Amount
Jul-
05 Cash a/c 300
Dec-
31 purchase 400
Dec-
31 balance c/f 100
300 400
Accounts receivable
Date Particulars Amount Date Particulars Amount
Aug-
01 Services a/c 4800
Aug-
08 Cash a/c 1600
Oct-
05 Services a/c 17000
Sep-
09 Cash a/c 4250
Dec-
31 Balance c/d 15950
21800 21800
Services a/c
Date Particulars Amount Date Particulars Amount
Dec-
31 P&L a/c 21800
Aug-
01
Accounts receivable
a/c 4800
Oct-
05
Accounts receivable
a/c 17000
21800 21800

Accounting
7
Salaries a/c
Date Particulars Amount Date Particulars Amount
Sep-
01 Cash a/c 18000
Dec-
31 P&L a/c 19100
Dec-
31
Outstanding
salaries 1100
19100 19100
Dividend a/c
Date Particulars Amount Date Particulars Amount
Nov-
02 Cash a/c 500
Dec-
31 P&L a/c 500
500 500
Outstanding Salaries a/c
Date Particulars Amount Date Particulars Amount
Dec-
31 Balance c/d 1100
Dec-
31 Salaries a/c 1100
1100 1100
Rent a/c
Date Particulars Amount Date Particulars Amount
Dec-
31 Prepaid rent 4200
Dec-
31 P&L a/c 4200
4200 4200
Formula View:
Cash a/c
Date Particulars Amount Date Particulars Amount

Accounting
8
='Que 1'!
B6
='Que 1'!
C7 ='Que 1'!F7
='Que 1'!
B10
='Que 1'!
C10 ='Que 1'!E10
='Que 1'!
B18
='Que 1'!
C19 ='Que 1'!F19
='Que 1'!
B22
='Que 1'!
C22 ='Que 1'!E22
='Que 1'!
B30
='Que 1'!
C31 ='Que 1'!F31
='Que 1'!
B34
='Que 1'!
C34 18000
='Que 1'!
B38
='Que 1'!
C39 ='Que 1'!E38
='Que 1'!
B46
='Que 1'!
C46 ='Que 1'!E46
11658 Balance c/f
=D11-
SUM(G6:G9)
=SUM(D6:D
10) =SUM(G6:G10)
Common Stock a/c
Date Particulars Amount Date Particulars Amount
11658 Trading a/c =G17
='Que 1'!
B6
='Que 1'!
C6 ='Que 1'!E6
=D17 =G17
Prepaid Rent a/c
Date Particulars Amount Date Particulars Amount
='Que 1'!
B10
='Que 1'!
C11 ='Que 1'!E10
='Que 1'!
B54
='Que 1'!
C54 ='Que 1'!E54
11658 Balance c/f
=D27-
SUM(G22:G25)
=D25 =G25+G26
Purchase a/c
Date Particulars Amount Date Particulars Amount
='Que 1'!
B14
='Que 1'!
C15 ='Que 1'!E14 11658 Trading a/c =D33
=D33 =G33
Prepaid services a/c
Date Particulars Amount Date Particulars Amount
11658 Balance c/f =G40 11110 ='Que 1'! ='Que 1'!E18

Accounting
9
C18
=D40 =G40
Accounts payable a/c
Date Particulars Amount Date Particulars Amount
='Que 1'!
B22
='Que 1'!
C23 ='Que 1'!E22 11658 purchase 400
11658 balance c/f 100
=D48 =G48
Accounts receivable
Date Particulars Amount Date Particulars Amount
='Que 1'!
B26
='Que 1'!
C27 ='Que 1'!E26
='Que 1'!
B30
='Que 1'!
C30 ='Que 1'!E30
='Que 1'!
B42
='Que 1'!
C43 ='Que 1'!E42
='Que 1'!
B38
='Que 1'!
C38 ='Que 1'!E38
11658
Balance
c/d =G58-G55-G56
=D55+D56 =D58
Services a/c
Date Particulars Amount Date Particulars Amount
11658 P&L a/c =D66
='Que 1'!
B26
='Que 1'!
C26 ='Que 1'!E26
='Que 1'!
B42
='Que 1'!
C42 ='Que 1'!E42
=G66 =G64+G65
Salaries a/c
Date Particulars Amount Date Particulars Amount
='Que 1'!
B34
='Que 1'!
C35 ='Que 1'!E34 =B73 P&L a/c =G74
='Que 1'!
B50
='Que 1'!
C51 ='Que 1'!E50
=D72+D73 =D74

Accounting
10
Dividend a/c
Date Particulars Amount Date Particulars Amount
='Que 1'!
B46
='Que 1'!
C47 ='Que 1'!E46 11658 P&L a/c =D80
=D80 =G80
Outstanding Salaries a/c
Date Particulars Amount Date Particulars Amount
=E89
Balance
c/d =G89 11658
='Que 1'!
C50 ='Que 1'!E50
=D89 =G89
Rent a/c
Date Particulars Amount Date Particulars Amount
=E97
='Que 1'!
C55 4200 11658 P&L a/c =D97
=D97 =G97
Que 3:
Normal View:
Trial Balance
As on 31st December 2019
(Amt in $) (Amt in $)
Cash a/c $ 15,650
Common Stock a/c $ 25,000
Prepaid Rent a/c $ 4,200
Purchase a/c $ 400
Prepaid services a/c $ 12,000
Accounts payable a/c $ 100
Accounts receivable $ 15,950
Services a/c $ 21,800

Accounting
11
Salaries a/c $ 19,100
Dividend a/c $ 500
Outstanding Salaries a/c $ 1,100
Rent a/c $ 4,200
Total $ 60,000 $ 60,000
Formula View:
Trial Balance
As on 31st December 2019
(Amt in $) (Amt in $)
='Que 2'!B2 ='Que 2'!G10
='Que 2'!B14 ='Que 2'!D17
='Que 2'!B22 ='Que 2'!G26
='Que 2'!B30 ='Que 2'!G33
='Que 2'!B37 ='Que 2'!D40
='Que 2'!B45 100
='Que 2'!B52 ='Que 2'!G57
='Que 2'!B61 ='Que 2'!D64
='Que 2'!B69 ='Que 2'!G72
='Que 2'!B77 ='Que 2'!G80
='Que 2'!B86 ='Que 2'!D89
='Que 2'!B94 ='Que 2'!G97
Total =SUM(C6:C18) =SUM(D6:D18)
Que 4:
Normal View:
Income Statement
As the end of 31st December 2018
Services a/c $ 21,800
Total revenue $ 21,800
Less:
Purchase a/c $ 400
Salaries a/c $ 19,100

Accounting
12
Dividend a/c $ 500
Rent a/c $ 4,200
Total exposes $ 24,200
Net profit -$ 2,400
Loss
Statement of changes in equity
As on 31st December 2018
Capital issuance 25000
Add:
Net profit -$ 2,400
Closing capital $ 22,600
Formula View:
Income Statement
As the end of 31st December 2018
Services a/c ='Que 3'!D13
Total revenue =C5
Less:
Purchase a/c ='Que 3'!C9
='Que 3'!B14 ='Que 3'!C14
='Que 3'!B15 ='Que 3'!C15
='Que 3'!B17 ='Que 3'!C17
Total exposes =SUM(C9:C12)
Net profit =C6-C13
=IF(C6>C15,"Loss","Profit")
Statement of changes in equity
As on 31st December 2018
Capital issuance ='Que 1'!E6
Add:
Net profit =C15
Closing capital =C21+C23