Amberton University Fundamentals of Financial Accounting General information The individual project is designed to allow you to demonstrate your knowledge of financial accounting concepts

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Amberton University Fundamentals of Financial Accounting General information The individual project is designed to allow you to demonstrate your knowledge of financial accounting concepts. The project will require organization, critical thinking, good written communication skills, and an understanding of financial accounting concepts. This project is consistent with the following objectives outlined in our course • • • • Applying the rules of debits and credits used in a double entry accounting system. Demonstrating the ability to record a journal entry for basic accounting transactions Identifying accounts from the chart of accounts and their appropriate financial statement. Preparing a balance sheet, income statement, and statement of owner’s equity. The project is graded for completeness, professionalism, and accuracy (as well as the usual elements of grammar and style). Be sure to thoroughly address all of the requirements outlined and offer complete support for your discussion. Total points for this project are 130. This is an individual project and the final product is your individual responsibility. To avoid plagiarism: • Always make note of the source used. • Use quotations when text is directly excerpted from a source. • When paraphrasing read the original passage several times. Get a complete understanding of the content and the context of the passage. Use your own words to reflect the idea of the passage (still cite the source). • Ask a friend or family member to proofread your work and the sources used. DUE DATE: This paper cannot be completed in one evening. Plan your time accordingly. Having a plan will help to ensure that this project is completed on time with thoughtful professional quality. Your completed project must be submitted to the dropbox in our Moodle course. How to submit your project: • Submit your response using either Word or Excel. Do NOT submit a PDF file. • Submit only ONE file. If you use Excel for calculations and Word for your discussion, you must consolidate your work into ONE file. • Label journal entries to correspond with the appropriate letter, i.e. a, b, and c. Note that this project cannot be successfully completed the night before it is due! Late papers will not be accepted. Following is data for Wicker Academy (WA). Use the data below to answer each of the enumerated requirements. Wicker Academy (WA), a school owned by Terry Wicker, provides training to individuals who pay tuition directly to the school. WA also offers training to groups in off-site locations. WA initially records prepaid expenses and unearned revenues in balance sheet accounts. Its unadjusted trial balance as of December 31 follows along with descriptions of items a through h that require adjusting entries on December 31. Additional Information Items a. b. c. d. e. An analysis of WA's insurance policies shows that $3,335 of coverage has expired. An inventory count shows that teaching supplies costing $2,891 are available at year-end. Annual depreciation on the equipment is $13,342. Annual depreciation on the professional library is $6,671. On September 1, WA agreed to do five courses for a client for $2,700 each. Two of the courses will start immediately and finish before the end of the year. Three of the courses will not begin until next year. The client paid $13,500 cash in advance for all five courses on September 1, and WA credited Unearned Training Fees. f. On October 15, WA agreed to teach a four-month class (beginning immediately) for an executive with payment due at the end of the class. At December 31, $9,653 of the tuition has been earned by WA. g. WA's two employees are paid weekly. As of the end of the year, two days' salaries have accrued at the rate of $100 per day for each employee. h. The balance in the Prepaid Rent account represents rent for December. Wicker Academy Required: 1. Prepare the required adjusting journal entries for items a thru h. 2. Prepare the Adjusted Trial Balance 3. Prepare the Income Statement for the year end 4. Prepare the Statement of Owner’s Equity for the year 5. Prepare the Balance Sheet as of December 31 6. A classmate states, “Since financial accounting has so many rules and requirements, ethics is not an issue”. Is ethics an issue in accounting? Explain. Do not exceed one page (double-spaced).