Instructions for the Microsoft Excel Templates by Rex A Schildhouse

Be advised, the template workbooks and worksheets are not protected. Overtyping any data may remove it.
Extensive detail and information is contained within the help function of Microsoft Excel and in the provided text. You should enter your name, date, instructor's name, and course into the cells at the top of the page. This information will be printed on the top of each page if the template requires more than one page. Each template is set to print with File Name, Page # of # Page(s), the print date, and the print time to assist in assembly of multiple pages. If more than one page is required by the template, manual page breaks have been set to provide consistent presentation. All of the cells have been correctly formatted for presentation and should not require any adjustment. For example, if the text requires one, two, or three significant digits in a presentation, the template has been set for that presentation in the appropriate cells. In general, the yellow highlighted cells are the cells which work and effort should be presented. These entries may include date(s), account title(s), values, memorandum appropriate to the entry, or text answers to questions. And information or data which may be required by the solution will be entered in cells with borders to help identify them. Where a yellow highlighted cell shows "Date" enter the appropriate date for that step of the challenge. This may be any date format that Microsoft Excel accepts. Some of these formats include "1/1/12", "01/01/12", and "01/01/2012." All of these will return January 01, 2012, in the format set in the template. Where a yellow highlighted cell shows "Acct Nbr" enter the appropriate account number, provided in the template and in the text for that step of the challenge. This is entry may be a "Look to" formula to another cell where that information has been provided or previously entered. Where a yellow highlighted cell shows "Account Title" enter the appropriate account title for that step of the challenge. This is a text entry and most of those cells are set for the proper indentation for that step. Frequently the chart of accounts appropriate to the challenge is provided and you can use the "look to" formula to reference the appropriate account title without typing it. Check with your instructor to see if abbreviated account titles are acceptable. For example "A/R" for Accounts Receivable, "A/P" for Accounts Payable. If your instructor is using a comparison process between workbooks for grading, these abbreviates may not be acceptable. Where a yellow highlighted cell shows titles such as "Values," "Amounts," or "Quantities" enter the appropriate numerical value for that step of the challenge. The cell is formatted for proper presentation of the entered information. If a dollar sign is appropriate, it should not be entered, Microsoft Excel will place it there through formatting. Commas and significant digits (decimals) are also set through formatting for common presentation. Since the formatting of the templates is not protected by any password, you may change any of the formatting found in the templates to meet your desires. Where a yellow highlighted cell shows titles such as "Formula" you may enter the appropriate formula or enter a numerical value appropriate for that step of the challenge. Most of the values necessary for the appropriate formula are located on the template in cells with borders or in other yellow highlighted cells. The formula may be a simple "Look to" formula, an equal sign and a cell reference, "=E27" or more complex as "=E27*5," or something similar to the time-value-of-money formula. These are addressed in the tutorial text provided for Microsoft Excel.

Where a yellow highlighted cell shows titles such as "Formula" you may enter the appropriate formula or enter a numerical value appropriate for that step of the challenge. Most of the values necessary for the appropriate formula are located on the template in cells with borders or in other yellow highlighted cells. The formula may be a simple "Look to" formula, an equal sign and a cell reference, "=E27" or more complex as "=E27*5," or something similar to the time-value-of-money formula. These are addressed in the tutorial text provided for Microsoft Excel. Where a yellow highlighted cell shows "Text" enter the appropriate text for that step of the challenge. This may be a memorandum entry for a journal entry or a lengthy text answer discussing the results of an analysis of a company's financials. These titles can simply be typed over. Where a yellow highlighted cell shows titles such as "Journal Number" or "Journ #" you should enter the appropriate number provided in the template and in the text for that step of the challenge. In general this will appear in instances such as "Record the following events in General Journal number six." The print area is defined to fit onto 8 1/2" 11" sheets in portrait or landscape mode as required. Margins are generally set to no less than 1/2" so most printers can print them without a problem. If you printer cannot accept margins less than 1" you may have to reformat the margins through Page Setup. The display may have "Freeze Pane" invoked so column titles remain visible during data entry. This can be removed by utilizing the View menu and selecting "Unfreeze Panes" under "Freeze Panes." When negative values are required, enter them by starting with a minus sign, "-". Negative values may be shown as ($400) or -$400. Negative values in formulas can be created by putting a minus sign in front of the cell reference - "=E10*-E11" will return a negative value if both cells E10 and E11 contain positive values. Microsoft Office and Microsoft Excel are products of, and copyrighted by, Microsoft Corporation, One Microsoft Way, Redmond, Washington 98052-6399

Solution Name: Date: Instructor: Course: th Intermediate Accounting, 14 Edition by Kieso, Weygandt, and Warfield Primer on Using Excel in Accounting by Rex A Schildhouse
E3-5 (Adjusting Entries) The ledger of Chopin Rental Agency on March 31 of the current year includes the following selected accounts before adjusting entries have been prepared. Debit Credit Prepaid Insurance $3,600 Supplies 2,800 Equipment 25,000 Accumulated Depreciation - Equipment $8,400 Notes Payable 20,000 Unearned Rent Revenue 6,300 Rent Revenue 60,000 Interest Expense 0 Salaries and Wage Expense 14,000 Totals: $45,400 $94,700 An analysis of the accounts shows the following: 1. The equipment depreciation per month is: 2. One-third of the unearned rent was earned during the quarter. 3. Interest accrued for the month on notes payable is: 4. Supplies on hand total: 5. The monthly insurance expiration rate is:

$250 $500 $650 $300

Instructions: Prepare the adjusting entries at March 31, assuming that adjusting entries are made quarterly. Additional accounts are: (Omit explanations.) Depreciation Expense Interest Payable Insurance Expense Supplies Expense 1 750 Depreciation Expense ($250 per month 3 months) Accumulated Depreciation - Equipment End of quarter adjusting entry - Depreciation Expense / Equipment 2,100 Unearned Rent Revenue ($6,300 / 3) Rent Revenue End of quarter adjusting entry - Unearned Rent Revenue / Rent Revenue 500 Interest Expense Interest Payable End of quarter adjusting entry - Interest Expense / Interest Payable Supplies Expense ($2,800 - $650) Supplies End of quarter adjusting entry - Supplies Expense / Supplies 2,150 2,150

750

2,100

500

900 Insurance Expense ($300 per month 3 months) Prepaid Insurance End of quarter adjusting entry - Insurance Expense / Prepaid Insurance

900

150435521.xlsx.ms_office, E3-5 Solution, Page 3 of 12, 6/7/2013, 6:13 PM

Name: Date: Instructor: Course: th Intermediate Accounting, 14 Edition by Kieso, Weygandt, and Warfield Primer on Using Excel in Accounting by Rex A Schildhouse
E3-5 (Adjusting Entries) The ledger of Chopin Rental Agency on March 31 of the current year includes the following selected accounts before adjusting entries have been prepared. Debit Credit Prepaid Insurance $3,600 Supplies 2,800 Equipment 25,000 Accumulated Depreciation - Equipment $8,400 Notes Payable 20,000 Unearned Rent Revenue 6,300 Rent Revenue 60,000 Interest Expense 0 Salaries and Wage Expense 14,000 Totals: $45,400 $94,700 An analysis of the accounts shows the following: 1. The equipment depreciation per month is: 2. One-third of the unearned rent was earned during the quarter. 3. Interest accrued for the month on notes payable is: 4. Supplies on hand total: 5. The monthly insurance expiration rate is:

$250 $500 $650 $300

Instructions: Prepare the adjusting entries at March 31, assuming that adjusting entries are made quarterly. Additional accounts are: (Omit explanations.) Depreciation Expense Interest Payable Insurance Expense Supplies Expense 1 Account Title Account Title Text / Memo Line - Optional Account Title Account Title Text / Memo Line - Optional Account Title Account Title Text / Memo Line - Optional Account Title Account Title Text / Memo Line - Optional Account Title Account Title Text / Memo Line - Optional Amount Amount

Amount Amount

Amount Amount

Amount Amount

Amount Amount

150435521.xlsx.ms_office, E3-5, Page 4 of 12, 6/7/2013, 6:13 PM

Solution Name: Date: Instructor: Course: Intermediate Accounting, 14th Edition by Kieso, Weygandt, and Warfield Primer on Using Excel in Accounting by Rex A Schildhouse
E3-8 (Adjusting Entries) William Bryant is the new owner of Ace Computer Services. At the end of August 2012, his first month of ownership, Bryant is trying to prepare monthly financial statements. Below is some information related to unrecorded expenses that the business incurred during August. 1. At August 31, Bryant owed his employees salaries and wages that will be paid on September 1 in the $2,900 2. At the end of the month he had not yet received the month's utility bill. Based on past experience, he estimated the bill would be approximately: $600 from a local bank on a 3. On August 1, Bryant borrowed $60,000 15 -year mortgage. The annual interest rate is 8% covering August charges is unpaid at 4. A telephone bill in the amount of $117 August 31. Instructions: Prepare the adjusting journal entries as of August 31, 2012. Salaries and Wages Expense Salaries and Wages Payable To record wages payable at 08/31 Utilities Expense Accounts Payable To record utilities payable at 08/31 Interest Expense ($60,000 8.00% (1/12)) Interest Payable To record interest payable at 08/31 Utilities Expense Accounts Payable To record telephone expense / payable at 08/31 2,900 2,900

600 600

400 400

117 117

150435521.xlsx.ms_office, E3-8 Solution, Page 5 of 12, 6/7/2013, 6:13 PM

Name: Date: Instructor: Course: Intermediate Accounting, 14th Edition by Kieso, Weygandt, and Warfield Primer on Using Excel in Accounting by Rex A Schildhouse
E3-8 (Adjusting Entries) William Bryant is the new owner of Ace Computer Services. At the end of August 2012, his first month of ownership, Bryant is trying to prepare monthly financial statements. Below is some information related to unrecorded expenses that the business incurred during August. 1. At August 31, Bryant owed his employees salaries and wages that will be paid on September 1 in the $2,900 2. At the end of the month he had not yet received the month's utility bill. Based on past experience, he estimated the bill would be approximately: $600 from a local bank on a 3. On August 1, Bryant borrowed $60,000 15 -year mortgage. The annual interest rate is 8% covering August charges is unpaid at 4. A telephone bill in the amount of $117 August 31. Instructions: Prepare the adjusting journal entries as of August 31, 2012. Account Title Account Title Text / Memo line Account Title Account Title Text / Memo line Account Title Account Title Text / Memo line Account Title Account Title Text / Memo line Amount Amount

Amount Amount

Amount Amount

Amount Amount

150435521.xlsx.ms_office, E3-8, Page 6 of 12, 6/7/2013, 6:13 PM

Solution Name: Date: Instructor: Course: Intermediate Accounting, 14th Edition by Kieso, Weygandt, and Warfield Primer on Using Excel in Accounting by Rex A Schildhouse
P3-2 (Adjusting Entries and Financial Statements) Mason Advertising Agency was founded in January 2008. Presented below are adjusted and unadjusted trial balances as of December 31, 2012. MASON ADVERTISING AGENCY Trial Balance December 31, 2012 Unadjusted Debit Credit Cash $11,000 Accounts Receivable 20,000 Supplies 8,400 Prepaid Insurance 3,350 Equipment 60,000 Accumulated Depreciation - Equipment $28,000 Accounts Payable 5,000 Interest Payable 0 Notes Payable 5,000 Unearned Service Revenue 7,000 Salaries and Wages Payable 0 Common Stock 10,000 Retained Earnings 3,500 Service Revenue 58,600 Salaries and Wages Expense 10,000 Insurance Expense Interest Expense 350 Depreciation Expense Supplies Expense Rent Expense 4,000 Totals: $117,100 $117,100

Adjusted Debit Credit $11,000 23,500 3,000 2,500 60,000 $33,000 5,000 150 5,000 5,600 1,300 10,000 3,500 63,500 11,300 850 500 5,000 5,400 4,000 $127,050 $127,050

Instructions: (a) Journalize the annual adjusting entries that were made. (Omit explanations.) Accounts Receivable Dec 31 Service Revenue Dec 31 Unearned Service Revenue Service Revenue Supplies Expense Supplies Depreciation Expense Accumulated Depreciation - Equipment Interest Expense Interest Payable

3,500 3,500 1,400 1,400 5,400 5,400 5,000 5,000 150 150

Dec 31

Dec 31

Dec 31

150435521.xlsx.ms_office, Problem 3-2 Solution, Page 7 of 12, 6/7/2013, 6:13 PM

Solution Name: Date: Instructor: Course: th Insurance Expense 850 Intermediate Accounting , 14 Edition by Kieso, Weygandt, and Warfield Dec 31
Prepaid Insurance Dec 31 Salaries and Wages Expense Salaries and Wages Payable 1,300

850

1,300

(b) Prepare an income statement and a statement of retained earnings for the year ending December 31, 2012, and an unclassified balance sheet at December 31. MASON ADVERTISING AGENCY Income Statement For the Year Ended December 31, 2012 Revenues Service Revenue Expenses Salaries and Wages Expense Supplies Expense Depreciation Expense Rent Expense Insurance Expense Interest Expense Total expenses Net income $63,500 $11,300 5,400 5,000 4,000 850 500 27,050 $36,450

MASON ADVERTISING AGENCY Statement of Retained Earnings For the Year Ended December 31, 2012 Retained Earnings, Jan 1 Net Income Add: Retained Earnings, Dec 31 MASON ADVERTISING AGENCY Balance Sheet December 31, 2012 Assets Cash Accounts Receivable Supplies Prepaid Insurance Equipment Less: Accumulated Depreciation - Equipment Total Assets

$3,500 36,450 $39,950

$11,000 23,500 3,000 2,500 $60,000 33,000 27,000 $67,000

150435521.xlsx.ms_office, Problem 3-2 Solution, Page 8 of 12, 6/7/2013, 6:13 PM

Solution Name: Date: Instructor: Course: Liabilities and Stockholders' Equity Intermediate Accounting, 14th Edition by Kieso, Weygandt, and Warfield
Liabilities Notes Payable Accounts Payable Unearned Service Revenue Salaries and Wages Payable Interest Payable Total Liabilities Stockholders' Equity Common Stock Retained Earnings Total liabilities and stockholders' equity (c) Answer the following questions: (1) If the note has been outstanding $5,000 5,000 5,600 1,300 150 $17,050

$10,000 39,950

49,950 $67,000

months, what is the annual interest rate on that note?

Interest is ($150 / 3 months) $50 per month or ($5,000 / $50) 1.00% of the note payable. This 1.00% 12 months equals an annual interest rate of 12.00% interest per year.

in salaries and wages in 2012, what was the balance in Salaries and (2) If the company paid $12,500 Wages Payable on December 31, 2011? Salaries and Wages Expense, $11,300 less Salaries and Wages Payable 12/31/12, $1,300 = $10,000. Total payments, $12,500 - $10,000 = $2,500 Salaries and Wages Payable 12/31/11.

150435521.xlsx.ms_office, Problem 3-2 Solution, Page 9 of 12, 6/7/2013, 6:13 PM

Name: Date: Instructor: Course: Intermediate Accounting, 14th Edition by Kieso, Weygandt, and Warfield Primer on Using Excel in Accounting by Rex A Schildhouse
P3-2 (Adjusting Entries and Financial Statements) Mason Advertising Agency was founded in January 2008. Presented below are adjusted and unadjusted trial balances as of December 31, 2012. MASON ADVERTISING AGENCY Trial Balance December 31, 2012 Unadjusted Debit Credit Cash $11,000 Accounts Receivable 20,000 Supplies 8,400 Prepaid Insurance 3,350 Equipment 60,000 Accumulated Depreciation - Equipment $28,000 Accounts Payable 5,000 Interest Payable 0 Notes Payable 5,000 Unearned Service Revenue 7,000 Salaries and Wages Payable 0 Common Stock 10,000 Retained Earnings 3,500 Service Revenue 58,600 Salaries and Wages Expense 10,000 Insurance Expense Interest Expense 350 Depreciation Expense Supplies Expense Rent Expense 4,000 Totals: $117,100 $117,100

Adjusted Debit Credit $11,000 23,500 3,000 2,500 60,000 $33,000 5,000 150 5,000 5,600 1,300 10,000 3,500 63,500 11,300 850 500 5,000 5,400 4,000 $127,050 $127,050

Instructions: (a) Journalize the annual adjusting entries that were made. (Omit explanations.) Account Title Amount Dec 31 Account Title Dec 31 Account Title Account Title Account Title Account Title Account Title Account Title Account Title Account Title Amount

Amount

Amount Amount Amount Amount Amount Amount Amount

Dec 31

Dec 31

Dec 31

150435521.xlsx.ms_office, Problem 3-2, Page 10 of 12, 6/7/2013, 6:13 PM

Name: Date: Instructor: Course: Account Title , 14th Edition by Kieso, Weygandt, and Warfield Amount Intermediate Accounting Dec 31
Account Title Dec 31 Account Title Account Title Amount

Amount

Amount

(b) Prepare an income statement and a statement of retained earnings for the year ending December 31, 2012, and an unclassified balance sheet at December 31. MASON ADVERTISING AGENCY Income Statement For the Year Ended December 31, 2012 Revenues Account Title Expenses Account Title Account Title Account Title Account Title Account Title Account Title Total expenses Net income Amount Amount Amount Amount Amount Amount Amount Formula Formula

MASON ADVERTISING AGENCY Statement of Retained Earnings For the Year Ended December 31, 2012 Retained Earnings, Jan 1 Title Add: Retained Earnings, Dec 31 MASON ADVERTISING AGENCY Balance Sheet December 31, 2012 Assets Account Title Account Title Account Title Account Title Account Title Account Title Total Assets

Amount Amount Formula

Amount Amount Amount Amount Amount Amount Formula Formula

150435521.xlsx.ms_office, Problem 3-2, Page 11 of 12, 6/7/2013, 6:13 PM

Name: Date: Instructor: Course: Liabilities and Stockholders' Equity Intermediate Accounting, 14th Edition by Kieso, Weygandt, and Warfield
Liabilities Account Title Account Title Account Title Account Title Account Title Total Liabilities Stockholders' Equity Account Title Account Title Total liabilities and stockholders' equity (c) Answer the following questions: (1) If the note has been outstanding Enter text answer here. Amount Amount Amount Amount Amount Formula

Amount Amount

Formula Formula

months, what is the annual interest rate on that note?

in salaries and wages in 2012, what was the balance in Salaries and (2) If the company paid $12,500 Wages Payable on December 31, 2011? Enter text answer here.

150435521.xlsx.ms_office, Problem 3-2, Page 12 of 12, 6/7/2013, 6:13 PM