Speedy Car Wash



Speedy Car Wash Accounting Simulation

This accounting simulation should be used for beginning accounting students.  The forms needed to complete this simulation are in excel documents.  The links below will take you directly to the different excel documents.  Look at the tabs listed on the excel page to find the appropriate form needed to complete the simulation tasks.

SPEEDY CAR WASH

Accounting Project

CHART OF ACCOUNTS    ACCOUNT BALANCES – AS OF JUNE 1

ASSETS

|101 |CASH |$ 2,000 |

|102 |ACCOUNTS RECEIVABLE-Adams Bros. | 1,500 |

|110 |SUPPLIES | 300 |

|115 |CAR WASH EQUIPMENT | 5,000 |

LIABILITIES

|201 |ACCOUNTS PAYABLE-Randolph Supply Co.  |$ 500 |

|202 |ACCOUNTS PAYABLE- CarWash Equip. Co. | |

OWNER’S EQUITY

|301 |RALPH SPEEDY, CAPITAL |$ 8,300 |

|302 |RALPH SPEEDY, DRAWING | |

|303 |Income Summary | |

REVENUE

|404 |CAR WASH REVENUE | |

EXPENSES

|520 |SALARIES EXPENSE | |

|521 |RENT EXPENSE | |

|522 |LAUNDRY EXPENSE | |

|523 |UTILITIES EXPENSE | |

|524 |SUPPLIES EXPENSE | |

Activity Entries

• Record the following transactions for the month of June for Speedy Car Wash.

• Post to the General Ledger.

• Prepare a Trail Balance on the Worksheet.

• Adjust the Supplies (Asset Account #110) to reflect the use of $280 worth of supplies in June. On the worksheet adjustment column, credit Supplies for $280 and debit Supplies Expense (Acct # 524) for $280.

***In your General Journal debit Supplies Expense for $280 and credit Supplies for $280. Post to your ledger accounts.

• Extend the up-to-date account balances to the Income Statement, & Balance Sheet section.

• Prepare an Income Statement, Balance Sheet and Statement of Capital.

• Journalize and Post Closing Entries.

• Prepare a Post-Closing Trail Balance.

Entries:

|June   2 |Received $1,000 for car wash revenue for the week ending today receipt #131. |

|June 3 |Paid monthly rent of $200 to Ajax Realty Co. with check #301. |

|June 5 |Received a check for $500 from Adams Bros. In part payment of their obligation to us receipt #132. |

|June 9 |Received $1,000 for car wash revenue for the week ending today receipt #133. |

|June 9 |Paid salaries for two weeks ending today amounting to $480 with check #302. |

|June 14 |Sent a check for $300 in payment for our obligation to Randolph Supply Co. due today with check #303. |

|June 15 |Ralph Speedy took $500 out of the business for personal use check #304. |

|June 16 |Received $950 for car wash revenue for the week ending today receipt #134. |

|June 23 |Paid salaries for two weeks ending today amounting to $480 with check #305. |

|June 23 |Received $1,000 for car wash revenue for the week ending today receipt #135. |

|June 26 |Paid monthly water bill amounting to $85 with check #306. |

|June 27 |Sent the Clean Towel Co. a check for $60 for the monthly laundry expenses with check #307. |

|June 28 |Purchased a new wind machine for $1,200 and agreed to pay Car Wash Equipment Co. in thirty days – Invoice #202.|

|June 29 |Bought car wash supplies consisting of soap powder and liquid wax for the amount of $120 with check #308. |

|June 30 |Received $950 for car wash revenue for the week ending today receipt #136. |

|June 30 |Paid monthly electric bill amounting to $45 with check #309. |

|June 30 |Ralph Speedy took $500 out of the business for personal use check #310. |

[pic][pic][pic]

................
................

In order to avoid copyright disputes, this page is only a partial summary.

Google Online Preview   Download