Expert answer:Financial Statement IP
Expert answer:Complete a set of financial statements based on the transactions and general ledger from the Phase 4 IP. The financials to be completed on an Excel spreadsheet are the following:Income statementStatement of owners’ equityBalance sheetClick here for the Financial Statement Template.Based on the financial statements, prepare a memo to the President of LMO Company as to the financial performance of your company. Include the following:3 strategies that the company can employ to improve its performance and increase net incomeExplanation of who might use the financial statementsBe sure to include internal and external users.BELOW ARE THE TRANSACTIONS AND LEDGERS FROM PHASE 4. I have also attached a spreadsheet of unit 4 assignment for your use. Invested $50,000 in the businessPaid $100 for phone servicePurchased $35,000 equipment on creditPaid $3,000 for 3 months rentPaid $5,500 for 6 months of insurance Paid $1,000 for advertising on credit (Note: This is an expense to the company)Customer purchased $2,000 on accountCustomer in #7 paid $1,000 on accountPaid for #6 advertisingSold to customer and received $5,000 cash
ip_exmaple.xls
Unformatted Attachment Preview
LEDGER
ACCOUNT
Cash
Date
Item Ref
1/1/2017
A
2/1/2017
C
4/1/2017
G
5/1/2017
I
9/1/2017
Q
10/1/2017
R
ACC. NO. 1100
Debit
$50,000.00
Credit
$ 100.00
$ 3,000.00
$ 5,500.00
$ 1,000.00
$ 5,000.00
Balance
Debit
Credit
$50,000.00
$49,900.00
$46,900.00
$41,400.00
$40,400.00
$45,400.00
LEDGER
ACCOUNT
Accounts Receivable
Date
Item Ref
7/1/2017
L
8/1/2017
N
ACC. NO.1200
Debit
$ 2,000.00
$ 1,000.00
Credit
Balance
Debit
Credit
$ 2,000.00
$ 3,000.00
LEDGER
ACCOUNT
Loans Payable
Date
Item Ref
3/1/2017
E
6/1/2017
K
9/1/2017
P
ACC. NO. 1300
Debit
Credit
$ 35,000.00
$ 1,000.00
Debit
$ 1,000.00
Balance
Credit
$ 35,000.00
$ 36,000.00
$ 35,000.00
LEDGER
ACCOUNT
Utilities Expense – Phone
Date
Item Ref
2/1/2017
B
Debit
$
100.00
ACC. NO. 1601
Credit
Balance
Debit
Credit
$
100.00
LEDGER
ACCOUNT
Equipment Expense
Date
Item Ref
3/1/2017
D
ACC. NO. 1602
Debit
$ 35,000.00
Credit
Balance
Debit
Credit
$ 35,000.00
LEDGER
ACCOUNT
Date
Rent Expense
Item Ref
ACC. NO. 1603
Debit
Credit
Debit
Balance
Credit
4/1/2017
ACCOUNT
F
$ 3,000.00
Insurance Expense
Date
Item Ref
5/1/2017
H
ACCOUNT
$ 3,000.00
ACC. NO. 1604
Debit
$ 5,500.00
Credit
Balance
Debit
Credit
$ 5,500.00
Advertising Expense
Date
Item Ref
6/1/2017
J
ACC. NO. 1605
Debit
$ 1,000.00
Credit
Balance
Debit
Credit
$ 1,000.00
LEDGER
ACCOUNT
Inventory
Date
Item Ref
7/1/2017
M
8/1/2017
O
10/1/2017
S
ACC. NO. 3100
Debit
Credit
$ 2,000.00
$ 1,000.00
$ 5,000.00
Debit
Balance
Credit
$ 2,000.00
$ 1,000.00
$ (4,000.00)
JOURNAL
Page: 1
Date
1/1/2017
2/1/2017
3/1/2017
4/1/2017
5/1/2017
6/1/2017
7/1/2017
8/1/2017
9/1/2017
10/1/2017
Description
Invested $50,000 in the business
Cash
Paid $100 for phone service
Utilities Expense-Phone
Cash
Purchased $35,000 equipment on credit
Equipment Expense
Loans Payable
Paid $3,000 for 3 months rent
Rent Expense
Cash
Paid $5,500 for 6 months of insurance
Insurance Expense
Cash
Paid $1,000 for advertising on credit
Advertising Expense
Loans Payable
Customer purchased $2,000 on account
Accounts Receivable
Inventory
Customer paid additional $1,000 on account
Accounts Receivable
Inventory
Paid for credit for advertising
Loans Payable
Cash
Sold to customer and received $5,000 cash
Cash
Inventory
Post
Ref.
Debit
A
$50,000.00
B
C
$
D
E
$ 35,000.00
F
G
$ 3,000.00
H
I
$ 5,500.00
J
K
$ 1,000.00
L
M
$ 2,000.00
N
O
$ 1,000.00
P
Q
$ 1,000.00
R
S
$ 5,000.00
Credit
100.00
$
100.00
$ 35,000.00
$ 3,000.00
$ 5,500.00
$ 1,000.00
$ 2,000.00
$ 1,000.00
$ 1,000.00
$ 5,000.00
JOURNAL
Page: 2
Date
Description
Post
Ref.
Debit
Credit
Account Name
Cash
Accounts Receivable
Equipment Expense
Advertising Expense
Inventory
Loans Payable
Utilities Expense – Phone
Rent Expense
Insurance Expense
Totals
Debit
$ 45,400.00
$ 3,000.00
$ 35,000.00
$ 1,000.00
$ (4,000.00)
$ 80,400.00
Credit
$ 35,000.00
$
100.00
$ 3,000.00
$ 5,500.00
$ 43,600.00
…
Purchase answer to see full
attachment
How it works
- Paste your instructions in the instructions box. You can also attach an instructions file
- Select the writer category, deadline, education level and review the instructions
- Make a payment for the order to be assignment to a writer
- Download the paper after the writer uploads it
Will the writer plagiarize my essay?
You will get a plagiarism-free paper and you can get an originality report upon request.
Is this service safe?
All the personal information is confidential and we have 100% safe payment methods. We also guarantee good grades