Assignment Prompt & Instructions
COMPLETE THE UPLOADED WORKSHEET
– ## cf_assessment_2_template.xlsx
**## cf_assessment_2_template.xlsx**
## Part 1 – Accounting Cycle
| | |
| — | — |
| BUS-FPX2061 Assessment 2 Template |
| PART 1: Accounting Cycle |
| Respond to the following eight questions using grammatically correct language. |
| 1. Describe the steps in recording and posting the effects of a business transaction. <br>Provide some examples of source documents used in these steps. | [Answer here] |
| 2. Which steps in the accounting cycle are performed throughout the accounting cycle? | [Answer here] |
| 3. Which of the steps in the accounting cycle are performed only at the end of the accounting period? | [Answer here] |
| 4. How do ethical considerations impact each stage of the accounting cycle? Provide specific examples. | [Answer here] |
| 5. What is the purpose of the "dividends" account? <br>Under what circumstances would this account be increased? | [Answer here] |
| 6. What are the rules of debit and credit for accounts appearing on a firm's balance sheet and income statement? | [Answer here] |
| 7. Describe the nature and purposes of the general journal, ledger, and chart of accounts. | [Answer here] |
| 8. What are the purposes of an unadjusted trial balance? <br>Describe the types of accounts that would appear on this type of trial balance. | [Answer here] |
| |
| 9. If you found that the total of the debits column of the trial balance for a company is $200,000, while the total of the credits column is $180,000, what are some possible causes of this difference? | [Answer here] |
| |
## Part 2 – Journal Entries
| | | | |
| — | — | — | — |
| PART 2: Journal Entries |
| Create appropriate journal entries for each of the following business events. Fill in the yellow cells in columns B, C, and D as appropriate. |
| Cash. |
| Prepaid insurance. |
| Land. |
| Buildings. |
| Equipment. |
| Accounts payable. |
| Unearned service revenue. |
| Owner's capital. |
| Owner's drawings. |
| Service revenue. |
| Advertising expense. |
| Salaries and wages expense. |
| |
| 1-May | Invested $45,000 cash in the golf course business. |
| 3-May | Purchased Hampstead Golf Land for $40,000 cash. The price includes land $22,000, shed $16,000, and equipment $2,000. |
| 5-May | Paid advertising expenses of $8,800. |
| 6-May | Paid cash $12,000 for a one-year insurance policy. |
| 10-May | Purchased golf discs and other equipment for $12,075 from Discs Are Us, payable in 30 days. |
| 18-May | Received $9,985 in cash for golf fees earned (service revenue). |
| 19-May | Sold 370 coupon books for $25 each. Each book contains four coupons that enable the holder to play one round of disc golf. |
| 25-May | Withdrew $1,250 cash for personal use. |
| 30-May | Pay $2,500 as salaries for part-time employees. |
| 30-May | Paid Discs Are Us the full amount due. |
| 31-May | Received $31,000 cash for fees earned. |
| Note: The first two rows below are an example for cash. |
| Date | Accounts | Debit | Credit |
| 1-May | Cash | $20,000 |
| | Owner's Capital | | $20,000 |
**## cf_assessment_2_template.xlsx**
## Part 1 – Accounting Cycle
| | |
| — | — |
| BUS-FPX2061 Assessment 2 Template |
| PART 1: Accounting Cycle |
| Respond to the following eight questions using grammatically correct language. |
| 1. Describe the steps in recording and posting the effects of a business transaction. <br>Provide some examples of source documents used in these steps. | [Answer here] |
| 2. Which steps in the accounting cycle are performed throughout the accounting cycle? | [Answer here] |
| 3. Which of the steps in the accounting cycle are performed only at the end of the accounting period? | [Answer here] |
| 4. How do ethical considerations impact each stage of the accounting cycle? Provide specific examples. | [Answer here] |
| 5. What is the purpose of the "dividends" account? <br>Under what circumstances would this account be increased? | [Answer here] |
| 6. What are the rules of debit and credit for accounts appearing on a firm's balance sheet and income statement? | [Answer here] |
| 7. Describe the nature and purposes of the general journal, ledger, and chart of accounts. | [Answer here] |
| 8. What are the purposes of an unadjusted trial balance? <br>Describe the types of accounts that would appear on this type of trial balance. | [Answer here] |
| |
| 9. If you found that the total of the debits column of the trial balance for a company is $200,000, while the total of the credits column is $180,000, what are some possible causes of this difference? | [Answer here] |
| |
## Part 2 – Journal Entries
| | | | |
| — | — | — | — |
| PART 2: Journal Entries |
| Create appropriate journal entries for each of the following business events. Fill in the yellow cells in columns B, C, and D as appropriate. |
| Cash. |
| Prepaid insurance. |
| Land. |
| Buildings. |
| Equipment. |
| Accounts payable. |
| Unearned service revenue. |
| Owner's capital. |
| Owner's drawings. |
| Service revenue. |
| Advertising expense. |
| Salaries and wages expense. |
| |
| 1-May | Invested $45,000 cash in the golf course business. |
| 3-May | Purchased Hampstead Golf Land for $40,000 cash. The price includes land $22,000, shed $16,000, and equipment $2,000. |
| 5-May | Paid advertising expenses of $8,800. |
| 6-May | Paid cash $12,000 for a one-year insurance policy. |
| 10-May | Purchased golf discs and other equipment for $12,075 from Discs Are Us, payable in 30 days. |
| 18-May | Received $9,985 in cash for golf fees earned (service revenue). |
| 19-May | Sold 370 coupon books for $25 each. Each book contains four coupons that enable the holder to play one round of disc golf. |
| 25-May | Withdrew $1,250 cash for personal use. |
| 30-May | Pay $2,500 as salaries for part-time employees. |
| 30-May | Paid Discs Are Us the full amount due. |
| 31-May | Received $31,000 cash for fees earned. |
| Note: The first two rows below are an example for cash. |
| Date | Accounts | Debit | Credit |
| 1-May | Cash | $20,000 |
| | Owner's Capital | | $20,000 |