Problem 2-3A – due in 14 hours – ACCOUNTING
DUE IN 14 HOURS
Complete the attached, Problem 2-3A Template. Please accredit to Ch. 2, in your arbiter for abundant instructions. Save your completed assignment and submit
Please alone acquire if you can complete in 6 hours. The affiliate is below:
2-3Journalizing and Announcement to Accounts
As illustrated, a transaction is aboriginal recorded in a journal. Periodically, the annual entries are transferred to the accounts in the ledger. The action of appointment the debits and credits from the annual entries to the accounts is alleged posting.
The December affairs of NetSolutions are acclimated to allegorize announcement from the annual to the ledger. By application the December transactions, an added analysis of allegory and journalizing affairs is provided.
Dynamic Exhibit 2-1Copyright © Cengage Learning. All Rights Reserved
The announcement of the above-mentioned December 1 transaction is apparent in Exhibit 5. Notice that the T annual anatomy is not acclimated in Exhibit 5. In practice, the T annual is usually replaced with a accepted four-column annual as apparent in Exhibit 5.
Exhibit 5Diagram of the Recording and Announcement of a Debit and a Acclaim Ledger, NetSolutions
The debits and credits for anniversary annual access are acquaint to the accounts in the adjustment in which they action in the journal. To illustrate, the debit allocation of the December 1 annual access is acquaint to the prepaid allowance annual in Exhibit 5 application the afterward four steps:
Step 1.The date (Dec. 1) of the annual access is entered in the Date cavalcade of Prepaid Insurance.
Step 2.The bulk (2,400) is entered into the Debit cavalcade of Prepaid Insurance.
Step 3.The annual folio cardinal (2) is entered in the Announcement Reference (Post. Ref.) cavalcade of Prepaid Insurance.
Step 4.The annual cardinal (15) is entered in the Announcement Reference (Post. Ref.) cavalcade in the journal.
As apparent in Exhibit 5, the acclaim allocation of the December 1 annual access is acquaint to the banknote annual in a agnate manner.
The actual December affairs for NetSolutions are analyzed and journalized in the afterward paragraphs. These affairs are acquaint to the antithesis afterwards in this affiliate (see Exhibit 6). To simplify, some of the December affairs are declared in arbitrary form. For example, banknote accustomed for casework is commonly recorded on a circadian basis. However, alone arbitrary totals are recorded at the average and end of the ages for NetSolutions.
Dynamic Exhibit 2-1Copyright © Cengage Learning. All Rights ReservedBusiness Connection
Microsoft's Unearned Revenue
Microsoft Corporation develops, manufactures, licenses, and supports a advanced ambit of computer software products, including, Word®, Excel®, and the Xbox® gaming system. Back Microsoft sells its products, it additionally provides abstruse abutment and alternate updates on those articles for a aeon of time. Thus, at the time of sale, a allocation of the gain is unearned (deferred) for these services. As time passes and casework are provided to customers, Microsoft annal a allocation of its unearned (deferred) acquirement as revenue.
To illustrate, the afterward extract was taken from a contempo banking annual of Microsoft:
Unearned acquirement … include(s) payments for: post-delivery abutment and consulting casework to be performed in the future; Xbox Live subscriptions and prepaid points; Microsoft Dynamics business solutions products; Office 365 subscriptions; Skype prepaid credits and subscriptions; Bundled Offerings; and alternative offerings for which we accept been paid in advance….
During a contempo year, Microsoft accustomed as acquirement $48,498 actor of unearned revenue, which is 57% of its absolute revenues. For a contempo year catastrophe June 30, Microsoft additionally appear on its antithesis area a accountability for unearned acquirement of $33,909 million. Thus, the recording of unearned acquirement is a cogent annual for Microsoft.
Source: Microsoft Corporation, Anatomy 10-K, For the Year Ended June 30, 2016.Link to Apple
In a contempo year, Apple incurred announcement bulk of $1.2 billion. Apple letters announcement bulk as allotment of Selling, General, and Administrative Expenses.
Computerized Accounting Systems
Computerized accounting systems are broadly acclimated by alike the aboriginal companies. These systems abridge the record-keeping action in that affairs are recorded in cyberbanking forms. Forms acclimated to bill barter for casework provided are generally completed application drop-down airheaded that annual casework that are commonly provided to customers. An auto-complete access affection may additionally be acclimated to ample in chump names. For example, blazon “ca” to affectation barter with names alpha with “Ca” (Caban, Cahill, Carey, and Caswell). And to abridge abstracts entry, entries are automatically acquaint to the antithesis accounts back the cyberbanking anatomy is completed.
One accepted accounting software amalgamation acclimated by small- to medium-sized businesses is QuickBooks®. Some examples of application QuickBooks to almanac accounting affairs are illustrated and discussed in Affiliate 5.
Dynamic Exhibit 2-1Copyright © Cengage Learning. All Rights ReservedExample Exercise 2-3
Journal Access for Fees Earned
Prepare a annual access on August 7 for the fees becoming on account, $115,000.
Follow My Archetype 2-3
Practice Exercises: PE 2-3A, PE 2-3B
Example Exercise 2-4
Journal Access for Owner's Withdrawal
Prepare a annual access on December 29 for the acquittal of $12,000 to the buyer of Smartstaff Consulting Services, Dominique Walsh, for claimed use.
Follow My Archetype 2-4
Practice Exercises: PE 2-4A, PE 2-4B
Exhibit 6 shows the December 31, 2018 antithesis for NetSolutions afterwards the affairs for both November and December accept been posted.
General Antithesis for NetSolutions on December 31, 2018
Example Exercise 2-5
Missing Bulk from an Account
On March 1, the banknote annual antithesis was $22,350. During March, banknote receipts totaled $241,880, and the March 31 antithesis was $19,125. Determine the banknote payments fabricated during March.
Follow My Archetype 2-5
AnswerUsing the afterward T account, break for the bulk of banknote payments (indicated by ? ):
Practice Exercises: PE 2-5A, PE 2-5B
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