Hello my friend I need your help with a discussion post. I am enclosing the information. Thank you!! Attachment 1 Attachment 2 ATTACHMENT PREVIEW Download attachment ch4ppt.pdf 4-1 4 Completing the Accounting Cycle Learning Objectives 1 2 Prepare closing entries and a post-closing trial balance. 3 Explain the steps in the accounting cycle and how to prepare correcting entries. 4 4-2 Prepare a worksheet. Identify the sections of a classified balance sheet. LEARNING OBJECTIVE 1 Prepare a worksheet. Worksheet Multiple-column form used in preparing financial statements. Not a permanent accounting record. May be a computerized worksheet using an electronic spreadsheet program such as Excel. 4-3 Prepared using a five step process. Use of worksheet is optional. LO 1 Steps in Preparing a Worksheet Illustration 4-1 4-4 Steps in Preparing a Worksheet Illustration 4-2 STEP 1: PREPARE A TRIAL BALANCE ON THE WORKSHEET Cash Supplies Prepaid Insurance Equipment Notes Payable Accounts Payable Unearned Revenue Owner’s Capital Owner’s Drawings Service Revenue Trial Balance Cr. Dr. 15,200 2,500 600 5,000 5,000 2,500 1,200 10,000 500 10,000 Salaries and Wages Exp. Rent Exp. Totals 4,000 900 28,700 Account Titles Adjustments Dr. Cr. Adjusted Trial Balance Cr. Dr. Income Statement Cr. Dr. Balance Sheet Dr. Cr. 28,700 Trial balance amounts come directly from ledger accounts. Include all accounts with balances. 4-5 LO 1 Steps in Preparing a Worksheet Illustration 3-23 General journal showing adjusting entries Adjusting Journal Entries (Chapter 3) 4-6 LO 1 Steps in Preparing a Worksheet Illustration 4-3 STEP 2: ENTER THE ADJUSTMENTS IN THE ADJUSTMENTS COLUMNS Account Titles Cash Supplies Prepaid Insurance Equipment Notes Payable Accounts Payable Unearned Revenue Owner’s Capital Owner’s Drawings Service Revenue Salaries and Wages Exp. Rent Exp. Totals Supplies Expense Insurance Expense Accumulated Depreciation Depreciation Expense Accounts Receivable Interest Expense Interest Payable Salaries and Wages Payable Totals Trial Balance Adjustments Dr. Cr. Dr. Cr. 15,200 (a) 1,500 2,500 (b) 600 50 5,000 5,000 2,500 1,200 (d) 400 10,000 500 (d) 400 10,000 (e) 200 (g)1,200 4,000 900 28,700 28,700 (a)1,500 (b) 50 (c) 40 (c) 40 (e) 200 (f) 50 (f) 50 (g) 1,200 3,440 3,440 Add additional accounts as needed. 4-7 Adjusted Trial Balance Dr. Cr. Income Statement Dr. Cr. Balance Sheet Dr. Cr. Adjustments Key: (a) Supplies Used. (b) Insurance Expired. (c) Depreciation Expensed. (d) Service Revenue Recognized. (e) Service Revenue Accrued. (f) Interest Accrued. (g) Salaries Accrued. Enter adjustment amounts, total adjustments columns, and check for equality. LO 1 Steps in Preparing a Worksheet Illustration 4-4 STEP 3: COMPLETE THE ADJUSTED TRIAL BALANCE COLUMNS Account Titles Cash Supplies Prepaid Insurance Equipment Notes Payable Accounts Payable Unearned Revenue Owner’s Capital Owner’s Drawings Service Revenue Salaries and Wages Exp. Rent Exp. Totals Supplies Expense Insurance Expense Accumulated Depreciation Depreciation Expense Accounts Receivable Interest Expense Interest Payable Salaries and Wages Payable Totals Net Income Totals Total 4-8 Trial Balance Adjustments Dr. Cr. Dr. Cr. 15,200 (a) 1,500 2,500 (b) 600 50 5,000 5,000 2,500 1,200 (d) 400 10,000 500 (d) 400 10,000 (e) 200 (g)1,200 4,000 900 28,700 28,700 (a)1,500 (b) 50 (c) 40 (c) 40 (e) 200 (f) 50 (f) 50 (g) 1,200 3,440 3,440 the adjusted trial balance columns and check for equality. Adjusted Trial Balance Dr. Cr. 15,200 1,000 550 5,000 5,000 2,500 800 10,000 500 10,600 Income Statement Dr. Cr. Balance Sheet Dr. Cr. 5,200 900 1,500 50 40 40 200 50 30,190 50 1,200 30,190 LO 1 Steps in Preparing a Worksheet Illustration 4-5 STEP 4: EXTEND AMOUNTS TO FINANCIAL STATEMENT COLUMNS Account Titles Cash Supplies Prepaid Insurance Equipment Notes Payable Accounts Payable Unearned Revenue Owner’s Capital Owner’s Drawings Service Revenue Trial Balance Adjustments Dr. Cr. Dr. Cr. 15,200 (a) 1,500 2,500 (b) 600 50 5,00