Case Study Instructions
1. Download the bookkeeping workbook for “Circuit Computers.”
2. Complete the bookkeeping workbook by:
a. Completing the Reconciliation tasks. Missing values are indicated below.
b. Transfer reconciliation results to the journal.
c. Create journal entries based on the information provided below.
d. Calculate the updated trial balance for all accounts.
e. Create the balance sheet and income statement.
f. Calculate gross, operating, and net margin for January, February, and March.
3. Complete the quiz. Note: You will need your completed bookkeeping workbook to answer the questions in the quiz.
For the Reconciliation Tab (Missing value)
1. Use the bank statement and general ledger cash account to fill in the blank spaces (in yellow) on the Reconciliation form in order to reconcile the discrepancies between the two accounts. Hint: you should find 2 errors
2. Remember to go line by line to compare and follow the Reconciliation form instructions for calculating the adjusted balance per Bank and balance per Book side.
3. Put the information that’s needed into the Reconciliation form and calculate the appropriate values requested (in yellow). Hint: Some empty space values will be $0
4. Once you have the updated adjusted balances for both accounts (they should match), you will need to add the corrections to the journal. Hint: Use the journal space below the Reconciliation form to create the entries, then copy them over to the Journal Entries tab
Information Provided from the Business (Missing value)
Use the information below to complete the missing Journal Entries and subsequent tabs.
1. On March 6th, Circuit Computers paid $20,000 by check to Pinnacle Advertising Group for last quarter’s advertising/marketing campaign (selling expenses).
2. On March 25th, client B&G paid their outstanding invoice for $25,776.87 by check.
3. On March 25th, Circuit Computers used credit to restock $75,000 worth of circuit boards from their supplier.
4. Also on March 25th, Circuit Computers sold $35,000 worth of circuit boards to a customer and sent them an invoice (#2531). The total cost of circuit boards sold were $20,000.
5. On March 26th, Circuit Computers made their monthly $4,500 Note payment to FCA Credit Union by check. Their interest amount was $500.
Trial Balance
When bringing numbers for each account from the General Ledger to the Trial Balance, make sure you find the debit
or
credit balance first. For example, if the Bank account in the General Ledger had a debit of $2,000 and a credit of $500, you would put a $1,500 debit balance in the Trial Balance. If Accounts Payable had a $600 credit, a $100 debit, and a $200 debit, then the Trial Balance should be a $300 credit balance.