Page 1
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Granite Bay Jet Ski, Inc.
Level II
Answer Book
5th Edition
Student Documents
and
Evaluation Answers
Page 2
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Notes to Professors:
The year to dates of the financial documents in the Answer Book will not reflect the current year, but will show a year to date of 2008. The financial documents printed by your students will show a year to date of the current year plus one.
Page 3
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Student Documents
for
June 3 – 9
Module 1
The student is not required to print any documents for June 3 – 9. These documents would be printed for audit purposes only.
Answer Book
Page 4
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Granite Bay Jet Ski II
Trial Balance
June 9, 2008
Account Titles Debit Credit --------------------------------------------------------------- Cash 78,940.41
Petty Cash 100.00
Short-Term Investments 15,200.00
Accounts Receivable 56,319.02
Allowance for Doubtful Accounts 81.82
Accts. Receivable, Credit Card Co. 8,124.00
Merchandise Inventory 217,836.02
Prepaid Insurance 4,375.00
Prepaid Property Tax 650.00
Store and Shop Supplies 3,102.92
Store Equipment and Fixtures 69,018.00
Accum. Deprec., Store Equip. and Fix. 13,570.00
Shop Equipment 34,250.00
Accum. Depreciation, Shop Equipment 7,750.00
Trucks 42,300.00
Accumulated Depreciation, Trucks 7,250.00
Accounts Payable 74,045.92
Notes Payable 12,000.00
Sales Tax Payable 4,267.26
Unearned Storage Fees 13,740.00
Long-term Notes Payable 70,000.00
Common Stock 225,000.00
Retained Earnings 73,224.77
Dividends Declared 2,400.00
Watercraft and Accessory Sales 226,719.80
Sales Returns and Allowances 2,117.00
Service Fees Earned 8,368.50
Cost of Goods Sold 160,222.40
Transportation-In 604.00
Salaries and Wages Expense 14,730.50
Truck and Equipment Operating Exp. 899.95
Advertising Expense 2,183.50
Delivery Expense 541.50
Credit Card Expense 1,112.00
Tools Expense 40.00
Rent Expense 15,600.00
Electricity and Gas Expense 877.05
Telephone Expense 423.00
Bank Service Charges 75.00
License Expense 416.00
Professional Services Expense 403.00
Cash Short and Over 18.00
Discounts Lost 35.00
Miscellaneous Expense 27.80
Interest Earned 217.00
Dividends Earned 638.00
Page 5
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Miscellaneous Revenue 20.00
Income Taxes Expense 3,250.00
Interest Expense 702.00
---------- ----------
Total 736,893.07 736,893.07
========== ==========
Page 6
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II General Journal
Date Accounts and Explanation PR Debit Credit
----------------------------------------------------------------------------------
June 3 Cash 101 105.30
Service Fees Earned 411 97.50
Sales Tax Payable 205 7.80
Invoice: G4010
June 2 Cash 101 19.50
Miscellaneous Expense 635 19.50
Invoice: 23339
June 2 Advertising Expense 604 19.50
Cash 101 19.50
Check: ERROR
Invoice: 23339
June 3 Store Equipment and Fixtures 131 268.00
Store and Shop Supplies 127 115.42
Accounts Payable 201 383.42
Invoice: A4761
Vendor: 20110
Andregg Supply
June 4 Cash 101 10,125.00
Watercraft and Accessory Sales 401 9,375.00
Sales Tax Payable 205 750.00
Invoice: G4011
June 4 Cost of Goods Sold 501 7,500.00
Merchandise Inventory 115 7,500.00
Invoice: G4011
June 4 Petty Cash 102 50.00
Store and Shop Supplies 127 23.50
Delivery Expense 606 18.75
Cash 101 92.25
Check: 31217
Invoice: PCASH
June 4 Allowance for Doubtful Accounts 106 1,005.50
Accounts Receivable 105 1,005.50
Invoice: WROFF
Customer: 11340
Buster Jenkins
June 4 Cash 101 1,090.00
Unearned Storage Fees 221 1,090.00
Invoice: G4012
Page 7
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
June 5 Merchandise Inventory 115 3,564.00
Accounts Payable 201 3,564.00
Invoice: S2717
Vendor: 28600
Starlight Sports
June 6 Cash 101 525.00
Dividends Earned 713 525.00
Invoice: CASHD
June 6 Cash 101 623.59
Watercraft and Accessory Sales 401 421.40
Service Fees Earned 411 156.00
Sales Tax Payable 205 46.19
Invoice: G4013
June 6 Cost of Goods Sold 501 210.70
Merchandise Inventory 115 210.70
Invoice: G4013
June 6 Merchandise Inventory 115 46,180.00
Transportation-In 505 100.00
Accounts Payable 201 46,280.00
Invoice: K4461
Vendor: 24500
Kawasaki USA
June 6 Accounts Receivable 105 349.27
Watercraft and Accessory Sales 401 323.40
Sales Tax Payable 205 25.87
Invoice: G4014
Customer: 11780
Royal Bar Jetters
June 6 Cost of Goods Sold 501 161.70
Merchandise Inventory 115 161.70
Invoice: G4014
Customer: 11780
Royal Bar Jetters
June 7 Cash 101 15,120.00
Watercraft and Accessory Sales 401 14,000.00
Sales Tax Payable 205 1,120.00
Invoice: G4015
June 7 Cost of Goods Sold 501 11,200.00
Merchandise Inventory 115 11,200.00
Invoice: G4015
June 7 Cash 101 25,000.00
Common Stock 301 25,000.00
Invoice: CMSTK
June 8 Accum. Deprec., Store Equip. and Fix. 132 950.00
Store Equipment and Fixtures 131 950.00
Invoice: DONAT
Page 8
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
June 9 Advertising Expense 604 350.00
Cash 101 350.00
Check: 31218
Invoice: 90866
June 9 Dividends Payable 207 2,400.00
Cash 101 2,400.00
Check: 31219
Invoice: DIVPD
Page 9
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II Schedule of Accounts Receivable
Last Activity Date: June 6, 2008
Number Name Balance
10300 Arlene Burnet $ .00
10550 Browns Ravine Jet Skiers .00
10890 Sean Dee 75.25
10930 Folsom Lake Skimmers .00
11100 Charles Grubonski 17,650.00
11220 Isabelle Hart .00
11340 Buster Jenkins .00
11560 Chris Nelson 12,100.00
11640 Paul Owens 202.50
11685 Hazel Peske .00
11780 Royal Bar Jetters 851.27
11850 Sierra Jet Set .00
11960 Don Temple .00
11990 Waterrippers, Inc. 25,440.00
----------
Total Accounts Receivable $ 56,319.02
==========
Page 10
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II Schedule of Accounts Payable Last Activity Date: June 6, 2008
Number Name Balance
20110 Andregg Supply $ 498.92
20950 Bonnie's Marine Supply 2,725.00
22400 Clear Water, Inc. .00
24100 Jacoby, Incorporated .00
24500 Kawasaki USA 46,280.00
26950 Larson Sports Equipment 1,673.00
27400 Riordan Marine, Inc. .00
28600 Starlight Sports 3,564.00
29650 Water Dancer Jetcraft 19,305.00
----------
Total Accounts Payable $ 74,045.92
==========
Page 11
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Student Documents
for
June 10 – 16
Module 2
The student is required to print all documents shown for June 10 – 16 except the
General Journal entries.
Page 12
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II Trial Balance June 16, 2008
Account Titles Debit Credit --------------------------------------------------------------- Cash 62,934.38
Petty Cash 100.00
Short-Term Investments 10,000.00
Accounts Receivable 38,076.35
Allowance for Doubtful Accounts 1,411.82
Merchandise Inventory 200,287.22
Prepaid Insurance 4,375.00
Prepaid Property Tax 650.00
Store and Shop Supplies 3,102.92
Store Equipment and Fixtures 66,913.00
Accum. Deprec., Store Equip. and Fix. 12,370.00
Shop Equipment 37,510.00
Accum. Depreciation, Shop Equipment 7,750.00
Trucks 42,300.00
Accumulated Depreciation, Trucks 7,250.00
Accounts Payable 4,896.92
Notes Payable 12,000.00
Sales Tax Payable 5,353.63
Unearned Storage Fees 13,740.00
Long-term Notes Payable 70,000.00
Common Stock 225,000.00
Retained Earnings 73,224.77
Dividends Declared 2,400.00
Watercraft and Accessory Sales 240,104.80
Sales Returns and Allowances 2,195.40
Service Fees Earned 8,641.50
Cost of Goods Sold 170,891.20
Transportation-In 604.00
Salaries and Wages Expense 15,176.85
Truck and Equipment Operating Exp. 899.95
Advertising Expense 2,183.50
Delivery Expense 666.10
Credit Card Expense 1,355.72
Tools Expense 40.00
Dep. Expense, Store Equipment and Fix. 80.00
Rent Expense 15,600.00
Electricity and Gas Expense 877.05
Telephone Expense 423.00
Bank Service Charges 75.00
License Expense 416.00
Professional Services Expense 403.00
Cash Short and Over 18.00
Discounts Lost 230.00
Miscellaneous Expense 27.80
Interest Earned 217.00
Dividends Earned 638.00
Page 13
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Gain on Short-Term Investments 2,260.00
Miscellaneous Revenue 100.00
Income Taxes Expense 3,250.00
Interest Expense 702.00
Loss on Sale/Disposal of Assets 195.00
---------- ----------
Total 684,958.44 684,958.44
========== ==========
Page 14
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II General Journal
Date Accounts and Explanation PR Debit Credit
----------------------------------------------------------------------------------
June 10 Dep. Expense, Store Equipment and Fix. 610 80.00
Accum. Deprec., Store Equip. and Fix. 132 80.00
Invoice: DEPRE
June 10 Cash 101 630.00
Accum. Deprec., Store Equip. and Fix. 132 1,280.00
Loss on Sale/Disposal of Assets 821 195.00
Store Equipment and Fixtures 131 2,105.00
Invoice: ASALE
June 10 Delivery Expense 606 124.60
Cash 101 124.60
Check: 31220
Invoice: R3449
June 10 Cash 101 7,460.00
Short-Term Investments 103 5,200.00
Gain on Short-Term Investments 731 2,260.00
Invoice: STINV
June 10 Accounts Receivable 105 1,330.00
Allowance for Doubtful Accounts 106 1,330.00
Invoice: RECOV
Customer: 11685
Hazel Peske
June 10 Cash 101 1,330.00
Accounts Receivable 105 1,330.00
Invoice: RECOV
Customer: 11685
Hazel Peske
June 11 Accounts Payable 201 19,305.00
Discounts Lost 633 195.00
Cash 101 19,500.00
Check: 31221
Invoice: W6428
Vendor: 29650
Water Dancer Jetcraft
June 11 Cash 101 7,880.28
Credit Card Expense 607 243.72
Accts. Receivable, Credit Card Co. 107 8,124.00
Invoice: CC202
June 13 Shop Equipment 135 3,260.00
Page 15
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Cash 101 3,260.00
Check: 31222
Invoice: EXTRA
June 14 Cash 101 5,000.00
Accounts Receivable 105 7,852.00
Watercraft and Accessory Sales 401 11,900.00
Sales Tax Payable 205 952.00
Invoice: G4016
Customer: 10300
Arlene Burnet
June 14 Cost of Goods Sold 501 9,520.00
Merchandise Inventory 115 9,520.00
Invoice: G4016
Customer: 10300
Arlene Burnet
June 14 Accounts Payable 201 6,880.00
Merchandise Inventory 115 6,880.00
Invoice: K4461
Debit Memo: DM601
Vendor: 24500
Kawasaki USA
June 14 Salaries and Wages Expense 601 446.35
Cash 101 446.35
Check: 31223
Invoice: WAGES
June 15 Accounts Receivable 105 5,080.00
Cash 101 5,000.00
Miscellaneous Revenue 741 80.00
Check: BADCK
Invoice: G4016
Customer: 10300
Arlene Burnet
June 15 Accounts Payable 201 3,564.00
Cash 101 3,564.00
Check: 31224
Invoice: S2771
Vendor: 28600
Starlight Sports
June 16 Accounts Payable 201 39,400.00
Cash 101 39,400.00
Check: 31225
Invoice: K4461
Vendor: 24500
Kawasaki USA
June 16 Cash 101 5,650.00
Accounts Receivable 105 5,650.00
Invoice: G3906
Customer: 11100 Charles Grubonski
Page 16
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
June 16 Cash 101 1,898.64
Service Fees Earned 411 273.00
Watercraft and Accessory Sales 401 1,485.00
Sales Tax Payable 205 140.64
Invoice: G4017
June 16 Cost of Goods Sold 501 1,188.00
Merchandise Inventory 115 1,188.00
Invoice: G4017
June 16 Cash 101 25,440.00
Accounts Receivable 105 25,440.00
Invoice: G3954
Customer: 11990
Waterrippers, Inc.
June 16 Sales Returns and Allowances 402 78.40
Sales Tax Payable 205 6.27
Accounts Receivable 105 84.67
Invoice: G4014
Credit Memo: CM601
Customer: 11780
Royal Bar Jetters
June 16 Merchandise Inventory 115 39.20
Cost of Goods Sold 501 39.20
Invoice: G4014
Debit Memo: CM601
Customer: 11780
Royal Bar Jetters
Page 17
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Ledger Card
Account: 105 Accounts Receivable
Date Explanation Debit Credit Balance
June 2 Beginning Balance 56,975.25
June 4 11340 WROFF 1,005.50 55,969.75
June 6 11780 G4014 349.27 56,319.02
June 10 11685 RECOV 1,330.00 57,649.02
June 10 11685 RECOV 1,330.00 56,319.02
June 14 10300 G4016 7,852.00 64,171.02
June 15 BADCK 10300 G4016 5,080.00 69,251.02
June 16 11100 G3906 5,650.00 63,601.02
June 16 11990 G3954 25,440.00 38,161.02
June 16 11780 G4014 CM601 84.67 38,076.35
Page 18
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Ledger Card
Account: 107 Accounts Receivable, Credit Card Companies
Date Explanation Debit Credit Balance
June 2 Beginning Balance 8,124.00
June 11 CC202 8,124.00 0.00
Page 19
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Ledger Card
Account: 115 Merchandise Inventory
Date Explanation Debit Credit Balance
June 2 Beginning Balance 187,164.42
June 4 G4011 7,500.00 179,664.42
June 5 28600 S2717 3,564.00 183,228.42
June 6 G4013 210.70 183,017.72
June 6 24500 K4461 46,180.00 229,197.72
June 6 11780 G4014 161.70 229,036.02
June 7 G4015 11,200.00 217,836.02
June 14 10300 G4016 9,520.00 208,316.02
June 14 24500 K4461 DM601 6,880.00 201,436.02
June 16 G4017 1,188.00 200,248.02
June 16 11780 G4014 CM601 39.20 200,287.22
Page 20
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Ledger Card
Account: 201 Accounts Payable
Date Explanation Debit Credit Balance
June 2 Beginning Balance 23,818.50
June 3 20110 A4761 383.42 24,201.92
June 5 28600 S2717 3,564.00 27,765.92
June 6 24500 K4461 46,280.00 74,045.92
June 11 31221 29650 W6428 19,305.00 54,740.92
June 14 24500 K4461 DM601 6,880.00 47,860.92
June 15 31224 28600 S2771 3,564.00 44,296.92
June 16 31225 24500 K4461 39,400.00 4,896.92
Page 21
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Ledger Card
Account: 401 Watercraft and Accessory Sales
Date Explanation Debit Credit Balance
June 2 Beginning Balance 202,600.00
June 4 G4011 9,375.00 211,975.00
June 6 G4013 421.40 212,396.40
June 6 11780 G4014 323.40 212,719.80
June 7 G4015 14,000.00 226,719.80
June 14 10300 G4016 11,900.00 238,619.80
June 16 G4017 1,485.00 240,104.80
Page 22
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Ledger Card
Account: 501 Cost of Goods Sold
Date Explanation Debit Credit Balance
June 2 Beginning Balance 141,150.00
June 4 G4011 7,500.00 148,650.00
June 6 G4013 210.70 148,860.70
June 6 11780 G4014 161.70 149,022.40
June 7 G4015 11,200.00 160,222.40
June 14 10300 G4016 9,520.00 169,742.40
June 16 G4017 1,188.00 170,930.40
June 16 11780 G4014 CM601 39.20 170,891.20
Page 23
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Ledger Card
Account: 505 Transportation-In
Date Explanation Debit Credit Balance
June 2 Beginning Balance 504.00
June 6 24500 K4461 100.00 604.00
Page 24
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Ledger Card
Account: 606 Delivery Expense
Date Explanation Debit Credit Balance
June 2 Beginning Balance 522.75
June 4 31217 PCASH 18.75 541.50
June 10 31220 R3449 124.60 666.10
Page 25
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II Schedule of Accounts Receivable
Last Activity Date: June 16, 2008
Number Name Balance
10300 Arlene Burnet $ 12,932.00
10550 Browns Ravine Jet Skiers .00
10890 Sean Dee 75.25
10930 Folsom Lake Skimmers .00
11100 Charles Grubonski 12,000.00
11220 Isabelle Hart .00
11340 Buster Jenkins .00
11560 Chris Nelson 12,100.00
11640 Paul Owens 202.50
11685 Hazel Peske .00
11780 Royal Bar Jetters 766.60
11850 Sierra Jet Set .00
11960 Don Temple .00
11990 Waterrippers, Inc. .00
----------
Total Accounts Receivable $ 38,076.35
==========
Page 26
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II All Accounts Receivable Customers Number: 10300
Name: Arlene Burnet Address: 455 Sierra Blvd. Rocklin, CA Date Explanation Debit Credit Balance
______________________________________________________________________ June 2 Balance 0.00
June 14 G4016 7,852.00 7,852.00
June 15 G4016 BADCK 5,080.00 12,932.00 ______________________________________________________________________
Number: 10550
Name: Browns Ravine Jet Skiers
Address: 4455 Gold Pan St. Colfax, CA
Date Explanation Debit Credit Balance ______________________________________________________________________ June 2 Balance 0.00 ______________________________________________________________________
Number: 10890
Name: Sean Dee
Address: 100 Sierra Views Blvd. Roseville, CA
Date Explanation Debit Credit Balance ______________________________________________________________________ May 30 G4000 75.25 75.25 ______________________________________________________________________
Number: 10930
Name: Folsom Lake Skimmers
Address: 620 Riverside Drive Folsom, CA
Date Explanation Debit Credit Balance ______________________________________________________________________ June 2 Balance 0.00 ______________________________________________________________________
Number: 11100
Name: Charles Grubonski
Address: 10 Gold Rush Plaza Orangevale, CA
Date Explanation Debit Credit Balance ______________________________________________________________________ May 3 G3906 17,650.00 17,650.00
June 16 G3906 5,650.00 12,000.00 ______________________________________________________________________
Number: 11220
Name: Isabelle Hart
Address: 356 Hill Rd. Auburn, CA
Date Explanation Debit Credit Balance ______________________________________________________________________ June 2 Balance 0.00 ______________________________________________________________________
Page 27
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Number: 11340
Name: Buster Jenkins
Address: PO Box 267 Apple Hill, CA
Date Explanation Debit Credit Balance ______________________________________________________________________ March 5 G3697 1,005.50 1,005.50
June 4 WROFF 1,005.50 0.00 ______________________________________________________________________
Number: 11560
Name: Chris Nelson
Address: 124 Cedar Dr. Granite Bay, CA
Date Explanation Debit Credit Balance ______________________________________________________________________ May 29 G3995 12,100.00 12,100.00 ______________________________________________________________________
Number: 11640
Name: Paul Owens
Address: 1800 Ridge Road Loomis, CA
Date Explanation Debit Credit Balance ______________________________________________________________________ May 12 G3924 202.50 202.50 ______________________________________________________________________
Number: 11685
Name: Hazel Peske
Address: 900 Ranch Road Auburn, CA
Date Explanation Debit Credit Balance ______________________________________________________________________ June 2 Balance 0.00
June 10 RECOV 1,330.00 1,330.00
June 10 RECOV 1,330.00 0.00 ______________________________________________________________________
Number: 11780
Name: Royal Bar Jetters
Address: 10 Royal Bar Blvd. Penryn, CA
Date Explanation Debit Credit Balance ______________________________________________________________________ May 21 G3971 502.00 502.00
June 6 G4014 349.27 851.27
June 16 G4014 CM601 84.67 766.60 ______________________________________________________________________
Number: 11850
Name: Sierra Jet Set
Address: PO Box 341A Truckee, CA
Date Explanation Debit Credit Balance ______________________________________________________________________ June 2 Balance 0.00 ______________________________________________________________________
Number: 11960
Name: Don Temple
Address: 1369 Laird Road Lommis, CA
Date Explanation Debit Credit Balance
Page 28
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
______________________________________________________________________ June 2 Balance 0.00 ______________________________________________________________________
Number: 11990
Name: Waterrippers, Inc.
Address: 245 Redwing Ct. Penryn, CA
Date Explanation Debit Credit Balance ______________________________________________________________________ May 17 G3954 25,440.00 25,440.00
June 16 G3954 25,440.00 0.00 ______________________________________________________________________
Page 29
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II Schedule of Accounts Payable Last Activity Date: June 16, 2008
Number Name Balance
20110 Andregg Supply $ 498.92
20950 Bonnie's Marine Supply 2,725.00
22400 Clear Water, Inc. .00
24100 Jacoby, Incorporated .00
24500 Kawasaki USA .00
26950 Larson Sports Equipment 1,673.00
27400 Riordan Marine, Inc. .00
28600 Starlight Sports .00
29650 Water Dancer Jetcraft .00
----------
Total Accounts Payable $ 4,896.92
==========
Page 30
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Vendor Data
Number: 20110 Name: Andregg Supply
Address: 100 Watt Avenue Sacramento, CA Net 30
Date Explanation Debit Credit Balance _______________________________________________________________________ May 28 A4435 115.50 115.50
June 3 A4761 383.42 498.92 _______________________________________________________________________
Number: 20950
Name: Bonnie's Marine Supply
Address: 240 Shasta Lake Lane Redding, CA Net 30
Date Explanation Debit Credit Balance _______________________________________________________________________ June 1 B9524 2,725.00 2,725.00 _______________________________________________________________________
Number: 22400
Name: Clear Water, Inc.
Address: 900 Stadium Drive Auburn, CA 2/10, n/30
Date Explanation Debit Credit Balance _______________________________________________________________________ June 2 Balance 0.00 _______________________________________________________________________
Number: 24100
Name: Jacoby, Incorporated
Address: 3700 Gold Rush Ave. Gold Hill, Ca Net 10
Date Explanation Debit Credit Balance _______________________________________________________________________ June 2 Balance 0.00 _______________________________________________________________________
Number: 24500
Name: Kawasaki USA
Address: 4772 Oak Drive Hover City, CA 2/10, n/30
Date Explanation Debit Credit Balance _______________________________________________________________________ June 2 Balance 0.00
June 6 K4461 46,280.00 46,280.00
Page 31
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
June 14 K4461 DM601 6,880.00 39,400.00
June 16 31225 K4461 39,400.00 0.00 _______________________________________________________________________
Number: 26950
Name: Larson Sports Equipment
Address: 3588 Vista View Drive Eureka, CA Net 30
Date Explanation Debit Credit Balance _______________________________________________________________________ June 2 M1201 1,673.00 1,673.00 _______________________________________________________________________
Number: 27400
Name: Riordan Marine, Inc.
Address: 5234 Almond Street Corning, Ca Net 30
Date Explanation Debit Credit Balance _______________________________________________________________________ June 2 Balance 0.00 _______________________________________________________________________
Number: 28600
Name: Starlight Sports
Address: 2233 Starlight Rd. Red Bluff, Ca 1/10, n/30
Date Explanation Debit Credit Balance _______________________________________________________________________ June 2 Balance 0.00
June 5 S2717 3,564.00 3,564.00
June 15 31224 S2771 3,564.00 0.00 _______________________________________________________________________
Number: 29650
Name: Water Dancer Jetcraft
Address: 1560 Olive Hurst Ave. Oroville, CA 1/10, n/30
Date Explanation Debit Credit Balance _______________________________________________________________________ May 13 W6438 19,305.00 19,305.00
June 11 31221 W6428 19,305.00 0.00 _______________________________________________________________________
Page 32
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Inventory Item: JET SKI STX-15F Stock Number: A1100
Reorder Point: 5
Units Dr/Cr
Date In Out Check Vendor Customer Invoice Memo
Balance 5
June 04 1 CASH G4011
June 06 3 24500 K4461 ____________________________________________________________
Beginning Units: 5 Unit Balance: 7
Units In: 3 Unit Cost: 7,500.00
Units Out: 1 FIFO Value: 52,500.00 ____________________________________________________________
Page 33
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Inventory Item: JET SKI 800 SX-R Stock Number: AS888
Reorder Point: 3
Units Dr/Cr
Date In Out Check Vendor Customer Invoice Memo
Balance 4
June 14 2 10300 G4016 ____________________________________________________________
Beginning Units: 4 Unit Balance: 2
Units In: 0 Unit Cost: 4,760.00
Units Out: 2 FIFO Value: 9,520.00 ____________________________________________________________
Page 34
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Inventory Item: JET SKI ULTRA 150 Stock Number: AU150
Reorder Point: 2
Units Dr/Cr
Date In Out Check Vendor Customer Invoice Memo
Balance 3
June 06 1 24500 K4461
June 14 1 24500 K4461 DM601 ____________________________________________________________
Beginning Units: 3 Unit Balance: 3
Units In: 1 Unit Cost: 6,880.00
Units Out: 1 FIFO Value: 20,640.00 ____________________________________________________________
Page 35
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Inventory Item: JS BATTERY Stock Number: KW001
Reorder Point: 3
Units Dr/Cr
Date In Out Check Vendor Customer Invoice Memo
Balance 3 ____________________________________________________________
Beginning Units: 3 Unit Balance: 3
Units In: 0 Unit Cost: 29.40
Units Out: 0 FIFO Value: 88.20 ____________________________________________________________
Page 36
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Inventory Item: NOZZEL EXTENSION Stock Number: KW003
Reorder Point: 2
Units Dr/Cr
Date In Out Check Vendor Customer Invoice Memo
Balance 2
June 06 1 CASH G4013
June 06 1 11780 G4014 ____________________________________________________________
Beginning Units: 2 Unit Balance: 0
Units In: 0 Unit Cost: 122.50
Units Out: 2 FIFO Value: 0.00 ____________________________________________________________
Page 37
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Inventory Item: ZXi FUEL TANK Stock Number: KW800
Reorder Point: 2
Units Dr/Cr
Date In Out Check Vendor Customer Invoice Memo
Balance 4 ____________________________________________________________
Beginning Units: 4 Unit Balance: 4
Units In: 0 Unit Cost: 75.95
Units Out: 0 FIFO Value: 303.80 ____________________________________________________________
Page 38
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Inventory Item: GRANITE BAY CAPS Stock Number: R1500
Reorder Point: 9
Units Dr/Cr
Date In Out Check Vendor Customer Invoice Memo
Balance 35 ____________________________________________________________
Beginning Units: 35 Unit Balance: 35
Units In: 0 Unit Cost: 4.00
Units Out: 0 FIFO Value: 140.00 ____________________________________________________________
Page 39
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Mid Project Evaluation
Questions and Answers
Page 40
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
MID-PROJECT EVALUATION NAME_______________________________________
GRANITE BAY JET SKI II CLASS DAY AND TIME__________DATE________
1. Do the totals on your Trial Balance match the figures shown in the Y
"Check It Out" box? Answer Y for Yes or N for No.
2. What was the correct balance of the Cash account at the close of $40,421.82
business on June 4? On the web-based examinations show all dollar amounts and inventory counts in a numeric format.)
3. On the Cash ledger card, what item was paid with check number B
31223?
A. Petty Cash B. Wages C. Accounts Payable D. Accounts Receivable E. None of the above
4. On June 16 what invoice was paid in full with check number 31225? K4461
5. What has been the cost to Granite Bay Jet Ski, Inc., for customer use $1,355.72
of credit cards?
6. How much have freight costs for the purchase of merchandise added $604.00
to the Cost of Goods Sold?
7. How much has it cost Granite Bay Jet Ski, Inc., to send merchandise $666.10
to customers?
8. Identify by customer number, the customer that made a partial cash 11100
payment on invoice G3906?
9. What date was the payment made on invoice G3906? D
A. June 13 B. June 14 C. June 15 D. June 16 E. None of the above
10. Does the balance of the Schedule of Accounts Receivable match the Y balance of the Accounts Receivable account? Answer Y for Yes or N for No
Page 41
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
MID-PROJECT EVALUATION GRANITE BAY JET SKI II
11. What is the balance of Sean Dee’s account? $75.25
12. How many customers currently have outstanding account balances? C
A. 2 B. 4 C. 6 D. 7 E. None of the above
13. If Granite Bay Jet Ski, Inc., extends 30-day credit to all charge B
customers, which customer currently has the largest past-due
account over 30 days)?
A. Burnet
B. Grobonski
C. Jenkins
D. Nelson
E. None of the above
14. What was the balance of the Kawaski USA account after the $39,400.00
recording of the debit memo?
15. If the control system in place for handling invoices had been B
followed, the Water Dancer Jet Craft invoice W6438) should have
been paid by what date?
A. May 22 B. May 23 C. May 24 D. June 2 E. None of the above
16. Granite Bay Jet Ski attempts to pay all invoices on time to take every E discount. On what date is the May 28 invoice from Andregg Supply invoice due and payable?
A. June 26 B. June 28 C. July 3 D. July 5 E. None of the above
Page 42
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
MID-PROJECT EVALUATION GRANITE BAY JET SKI II
17. If the Kawasaki, USA invoice K4461, was recorded net terms of E
2/10, n/30), and after the debit memorandum, was paid on June 16,
how much was saved by earning the discount?
A. $944.49
B. $925.60
C. $834.66
D. $744.49
E. None of the above
18. What is the last date the balance owed to Larson Sports is due and C
payable?
A. June 30
B. July 1
C. July 2
D. July 5
E. None of the above
19. Are any of the current Accounts Payable account balances past due? N Answer Y for Yes or N for No.
20. How many inventory items are at or below the reorder point? 10
21. How many inventory items are currently “out of stock”? 3
22. If all of the R1500 Granite Bay Caps currently in stock were sold, $200,147.22
what would be the new value of the June 16 total ending inventory?
23. Should a purchase order be sent to Kawasaki, USA for additional Y
inventory of batteries KW001)? Answer Y for Yes or N for No.
24. To what inventory item has stock number KW800 been assigned? A
A. ZXi Fuel Tank B. Pad Kit C. Granite Bay Bag D. Stage 2 Kit E. None of the above
Page 43
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
MID-PROJECT EVALUATION GRANITE BAY JET SKI II
25. On the inventory stock card how many units of stock number AU150 E
are listed as returned to the vendor?
A. 2
B. 3
C. 4
D. 5
E. None of the above
26. How many AS888 Jet Ski units have been sold since you began 2
working on this project?
27. One order of Jet Ski STX-15F A1100) has been received since June A
2. The jet skies were purchased on account from which vendor?
A. 24500
B. 26950
C. 27400
D. 28600
E. None of the above
28. How many KW003 units were sold on June 06? C
A. 5
B. 4
C. 2
D. 1
E. None of the above
29. When a credit customer returns merchandise, what document is issued B
to the customer by Granite Bay Jet Ski?
A. debit memorandum
B. credit memorandum
C. an invoice
D. a check
E. None of the above
30. When Granite Bay Jet Ski returns merchandise to a vendor, what A
document accompanies that merchandise on the return?
A. debit memorandum B. a check C. an invoice D. a credit memorandum E. None of the above
Page 44
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
MID PROJECT EVALUATION ANSWER KEY Granite Bay Jet Ski II
Score:
Question Your Number Answer ----------------------------------------------------------------------
1. Do the totals on your Trial Balance match the Y
figures shown in the `Check It Out` box? Answer Y
for Yes and N for No.
2. What was the correct balance of the Cash account $40,421.82
at the close of business on June 4? On the
web-based examinations show all dollar amounts
and inventory counts in a numeric format.)
3. On the Cash ledger card, what item was paid with B
check number 31223? A) Petty Cash B) Wages C) Accounts Payable D) Accounts Receivable E) None of the above
4. On June 16 what invoice was paid in full with K4461
check number 31225?
5. What has been the cost to Granite Bay Jet Ski, $1,355.72
Inc., for customer use of credit cards?
6. How much have freight costs for the purchase of $604.00
merchandise added to the Cost of Goods Sold?
7. How much has it cost Granite Bay Jet Ski, Inc., $666.10
to send merchandise to customers?
8. Identify by customer number, the customer that 11100
made a partial cash payment on invoice G3906?
9. What date was the payment made on invoice G3906?D A) June 13 B) June 14 C) June 15 D) June 16 E) None of the above
10. Does the balance of the Schedule of Accounts Y
Receivable match the balance of the Accounts
Receivable account? Answer Y for Yes or N for No
Page 45
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
11. What is the balance of Sean Dee’s account? $75.25
12. How many customers currently have outstanding C
account balances? A) 2 B) 4 C) 6 D) 7 E) None of the above
13. If Granite Bay Jet Ski, Inc., extends 30-day B
credit to all charge customers, which customer
currently has the largest past-due account over 30 days)?
A) Burnet B) Grobonski C) Jenkins D) Nelson E) None of the above
14. What was the balance of the Kawaski USA account $39,400.00
after the recording of the debit memo?
15. If the control system in place for handling B
invoices had been followed, the Water Dancer Jet Craft invoice W6438) should have been paid by what date?
A) May 22 B) May 23 C) May 24 D) June 2 E) None of the above
16. Granite Bay Jet Ski attempts to pay all invoices E
on time to take every discount. On what date is
the May 28 invoice from Andregg Supply invoice
due and payable? A) June 26 B) June 28 C) July 3 D) July 5 E) None of the above
17. If the Kawasaki, USA invoice K4461, was recorded E
net terms of 2/10, n/30), and after the debit
memorandum, was paid on June 16, how much was
saved by earning the discount?
A) $944.49
B) $925.60
C) $834.66
D) $744.49
E) None of the above
18. What is the last date the balance owed to Larson C
Sports is due and payable?
A) June 30
Page 46
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
B) July 1 C) July 2 D) July 5 E) None of the above
19. Are any of the current Accounts Payable account N
balances past due? Answer Y for Yes or N for No.
20. How many inventory items are at or below the 10
reorder point?
21. How many inventory items are currently `out of 3
stock`?
22. If all of the R1500 Granite Bay Caps currently in $200,147.22
stock were sold, what would be the new value of
the June 16 total ending inventory?
23. Should a purchase order be sent to Kawasaki, USA Y
for additional inventory of batteries KW001)?
Answer Y for Yes or N for No.
24. To what inventory item has stock number KW800 A
been assigned? A) ZXi Fuel Tank B) Pad Kit C) Granite Bay Bag D) Stage 2 Kit E) None of the above
25. On the inventory stock card how many units of E
stock number AU150 are listed as returned to the
vendor?
A) 2
B) 3
C) 4
D) 5
E) None of the above
26. How many AS888 Jet Ski units have been sold since 2
you began working on this project?
27. One order of Jet Ski STX-15F A1100) has been A
received since June 2. The Jet Skies were
purchased on account from which vendor? A) 24500 B) 26950 C) 27400 D) 28600 E) None of the above
28. How many KW003 units were sold on June 06? C A) 5 B) 4 C) 2 D) 1
Page 47
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights
reserved. www.pklsoftware.com Last Revised: January 18,
2020
E) None of the above
29. When a credit customer returns merchandise, what B document is issued to the customer by Granite Bay Jet Ski?
A) debit memorandum B) credit memorandum C) an invoice D) a check E) None of the above
30. When Granite Bay Jet Ski returns merchandise to a A vendor, what document accompanies that merchandise on the return?
A) debit memorandum B) a check C) an invoice D) a credit memorandum E) None of the above
Page 48
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Student Documents
for
June 17 – 23
Module 3
The student is not required to print any documents for June 17 – 23. These documents would be printed for audit purposes only.
Page 49
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II Trial Balance June 23, 2008
Account Titles Debit Credit --------------------------------------------------------------- Cash 49,854.31
Petty Cash 100.00
Short-Term Investments 10,000.00
Accounts Receivable 53,829.37
Allowance for Doubtful Accounts 1,411.82
Accts. Receivable, Credit Card Co. 692.55
Notes Receivable 10,000.00
Merchandise Inventory 167,775.42
Prepaid Insurance 4,375.00
Prepaid Property Tax 650.00
Store and Shop Supplies 3,699.42
Store Equipment and Fixtures 71,967.40
Accum. Deprec., Store Equip. and Fix. 12,370.00
Shop Equipment 35,310.00
Accum. Depreciation, Shop Equipment 5,920.00
Trucks 55,005.00
Accumulated Depreciation, Trucks 4,070.00
Accounts Payable 6,657.62
Sales Tax Payable 8,751.03
Unearned Storage Fees 14,940.00
Long-term Notes Payable 70,000.00
Common Stock 225,000.00
Retained Earnings 73,224.77
Dividends Declared 2,400.00
Watercraft and Accessory Sales 282,361.05
Sales Returns and Allowances 2,195.40
Service Fees Earned 8,852.75
Cost of Goods Sold 204,567.20
Transportation-In 604.00
Salaries and Wages Expense 15,176.85
Truck and Equipment Operating Exp. 899.95
Advertising Expense 2,183.50
Delivery Expense 666.10
Credit Card Expense 1,355.72
Tools Expense 40.00
Dep. Expense, Store Equipment and Fix. 80.00
Depreciation Expense, Shop Equipment 260.00
Depreciation Expense, Trucks 240.00
Rent Expense 15,600.00
Electricity and Gas Expense 877.05
Telephone Expense 423.00
Bank Service Charges 75.00
License Expense 926.00
Professional Services Expense 403.00
Cash Short and Over 18.00
Page 50
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Discounts Lost 230.00
Page 51
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Miscellaneous Expense 27.80
Interest Earned 217.00
Dividends Earned 638.00
Gain on Sale of Assets 210.00
Gain on Short-Term Investments 2,260.00
Miscellaneous Revenue 100.00
Income Taxes Expense 3,250.00
Interest Expense 1,032.00
Loss on Sale/Disposal of Assets 195.00
---------- ----------
Total 716,984.04 716,984.04
========== ==========
Page 52
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II General Journal
Date Accounts and Explanation PR Debit Credit
----------------------------------------------------------------------------------
June 17 Notes Payable 203 12,000.00
Interest Expense 813 330.00
Cash 101 12,330.00
Check: 31226
Invoice: NTPAY
June 18 Accounts Receivable 105 21,250.35
Watercraft and Accessory Sales 401 19,676.25
Sales Tax Payable 205 1,574.10
Invoice: G4018
Customer: 11850
Sierra Jet Set
June 18 Cost of Goods Sold 501 15,741.00
Merchandise Inventory 115 15,741.00
Invoice: G4018
Customer: 11850
Sierra Jet Set
June 19 Cash 101 1,200.00
Unearned Storage Fees 221 1,200.00
Invoice: G4019
June 20 Cash 101 417.33
Accounts Receivable 105 417.33
Invoice: G3971
Customer: 11780
Royal Bar Jetters
June 20 Accts. Receivable, Credit Card Co. 107 692.55
Watercraft and Accessory Sales 401 430.00
Service Fees Earned 411 211.25
Sales Tax Payable 205 51.30
Invoice: G4020
June 20 Cost of Goods Sold 501 215.00
Merchandise Inventory 115 215.00
Invoice: G4020
June 21 Depreciation Expense, Trucks 612 240.00
Accumulated Depreciation, Trucks 140 240.00
Invoice: DEPRE
June 21 Trucks 139 17,505.00
Accumulated Depreciation, Trucks 140 3,420.00
Cash 101 16,125.00
Page 53
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Trucks 139 4,800.00
Check: 31227
Invoice: W3571
June 21 License Expense 628 510.00
Cash 101 510.00
Check: 31228
Invoice: DMV06
June 21 Store Equipment and Fixtures 131 5,054.40
Cash 101 5,054.40
Check: 31229
Invoice: 79002
June 21 Merchandise Inventory 115 635.00
Accounts Payable 201 635.00
Invoice: M3093
Vendor: 26950
Larson Sports Equipment
June 22 Store and Shop Supplies 127 635.40
Accounts Payable 201 635.40
Invoice: A5049
Vendor: 20110
Andregg Supply
June 22 Cash 101 13,922.00
Notes Receivable 109 10,000.00
Watercraft and Accessory Sales 401 22,150.00
Sales Tax Payable 205 1,772.00
Invoice: G4021
June 22 Cost of Goods Sold 501 17,720.00
Merchandise Inventory 115 17,720.00
Invoice: G4021
June 23 Merchandise Inventory 115 529.20
Accounts Payable 201 529.20
Invoice: C5217
Vendor: 22400
Clear Water, Inc.
June 23 Cash 101 5,080.00
Accounts Receivable 105 5,080.00
Invoice: BADCK
Customer: 10300
Arlene Burnet
June 23 Accounts Payable 201 38.90
Store and Shop Supplies 127 38.90
Invoice: A5049
Vendor: 20110
Andregg Supply
June 23 Depreciation Expense, Shop Equipment 611 260.00
Accum. Depreciation, Shop Equipment 136 260.00
Invoice: DEPRE
Page 54
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
June 23 Cash 101 320.00
Accum. Depreciation, Shop Equipment 136 2,090.00
Shop Equipment 135 2,200.00
Gain on Sale of Assets 721 210.00
Invoice: ASALE
Page 55
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II Schedule of Accounts Receivable
Last Activity Date: June 23, 2008
Number Name Balance
10300 Arlene Burnet $ 7,852.00
10550 Browns Ravine Jet Skiers .00
10890 Sean Dee 75.25
10930 Folsom Lake Skimmers .00
11100 Charles Grubonski 12,000.00
11220 Isabelle Hart .00
11340 Buster Jenkins .00
11560 Chris Nelson 12,100.00
11640 Paul Owens 202.50
11685 Hazel Peske .00
11780 Royal Bar Jetters 349.27
11850 Sierra Jet Set 21,250.35
11960 Don Temple .00
11990 Waterrippers, Inc. .00
----------
Total Accounts Receivable $ 53,829.37
==========
Page 56
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II Schedule of Accounts Payable Last Activity Date: June 23, 2008
Number Name Balance
20110 Andregg Supply $ 1,095.42
20950 Bonnie's Marine Supply 2,725.00
22400 Clear Water, Inc. 529.20
24100 Jacoby, Incorporated .00
24500 Kawasaki USA .00
26950 Larson Sports Equipment 2,308.00
27400 Riordan Marine, Inc. .00
28600 Starlight Sports .00
29650 Water Dancer Jetcraft .00
----------
Total Accounts Payable $ 6,657.62
==========
Page 57
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Student Documents
for
June 24 – 30
Module 4
The student is not required to print any documents for June 24 – 30. These documents would be printed for audit purposes only.
Page 58
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II Trial Balance June 30, 2009
Account Titles Debit Credit --------------------------------------------------------------- Cash 81,841.77
Petty Cash 100.00
Short-Term Investments 2,000.00
Accounts Receivable 30,195.07
Allowance for Doubtful Accounts 1,411.82
Accts. Receivable, Credit Card Co. 15,394.05
Notes Receivable 10,000.00
Merchandise Inventory 159,956.82
Prepaid Insurance 6,175.00
Prepaid Property Tax 650.00
Store and Shop Supplies 3,786.92
Store Equipment and Fixtures 71,967.40
Accum. Deprec., Store Equip. and Fix. 12,370.00
Shop Equipment 35,310.00
Accum. Depreciation, Shop Equipment 5,920.00
Trucks 55,005.00
Accumulated Depreciation, Trucks 4,070.00
Accounts Payable 16,856.12
Sales Tax Payable 1,818.30
Unearned Storage Fees 15,640.00
Long-term Notes Payable 70,000.00
Common Stock 225,000.00
Retained Earnings 73,224.77
Dividends Declared 2,400.00
Watercraft and Accessory Sales 304,888.55
Sales Returns and Allowances 2,254.20
Service Fees Earned 9,112.75
Cost of Goods Sold 222,412.80
Transportation-In 604.00
Salaries and Wages Expense 15,585.91
Truck and Equipment Operating Exp. 1,263.65
Advertising Expense 3,558.50
Delivery Expense 953.10
Credit Card Expense 1,355.72
Tools Expense 40.00
Dep. Expense, Store Equipment and Fix. 80.00
Depreciation Expense, Shop Equipment 260.00
Depreciation Expense, Trucks 240.00
Rent Expense 15,600.00
Electricity and Gas Expense 877.05
Telephone Expense 423.00
Bank Service Charges 75.00
License Expense 926.00
Professional Services Expense 908.00
Cash Short and Over 21.05
Discounts Lost 230.00
\
Page 59
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Miscellaneous Expense 35.30
Interest Earned 217.00
Dividends Earned 638.00
Gain on Sale of Assets 210.00
Gain on Short-Term Investments 5,485.00
Miscellaneous Revenue 100.00
Income Taxes Expense 3,250.00
Interest Expense 1,032.00
Loss on Sale/Disposal of Assets 195.00
---------- ----------
Total 746,962.31 746,962.31
========== ==========
Page 60
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II General Journal
Date Accounts and Explanation PR Debit Credit
----------------------------------------------------------------------------------
June 24 Truck and Equipment Operating Exp. 603 363.70
Cash 101 363.70
Check: 31230
Invoice: 67676
June 24 Advertising Expense 604 1,375.00
Cash 101 1,375.00
Check: 31231
Invoice: W3200
June 24 Professional Services Expense 629 505.00
Cash 101 505.00
Check: 31232
Invoice: P1764
June 24 Prepaid Insurance 121 1,800.00
Cash 101 1,800.00
Check: 31233
Invoice: 66633
June 24 Merchandise Inventory 115 2,107.00
Accounts Payable 201 2,107.00
Invoice: K5050
Vendor: 24500
Kawasaki USA
June 25 Cash 101 9,099.00
Watercraft and Accessory Sales 401 8,425.00
Sales Tax Payable 205 674.00
Invoice: G4022
June 25 Cost of Goods Sold 501 6,740.00
Merchandise Inventory 115 6,740.00
Invoice: G4022
June 25 Cash 101 12,000.00
Accounts Receivable 105 12,000.00
Invoice: G3906
Customer: 11100
Charles Grubonski
June 26 Accounts Receivable 105 529.20
Watercraft and Accessory Sales 401 490.00
Sales Tax Payable 205 39.20
Invoice: G4023
Customer: 11560
Page 61
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Chris Nelson
June 26 Cost of Goods Sold 501 245.00
Merchandise Inventory 115 245.00
Invoice: G4023
Customer: 11560
Chris Nelson
June 27 Sales Tax Payable 205 8,751.03
Cash 101 8,751.03
Check: 31234
Invoice: TAXES
June 27 Accounts Payable 201 115.50
Cash 101 115.50
Check: 31235
Invoice: A4435
Vendor: 20110
Andregg Supply
June 28 Cash 101 700.00
Unearned Storage Fees 221 700.00
Invoice: G4024
June 28 Merchandise Inventory 115 7,920.00
Accounts Payable 201 7,920.00
Invoice: S3488
Vendor: 28600
Starlight Sports
June 29 Accts. Receivable, Credit Card Co. 107 14,701.50
Watercraft and Accessory Sales 401 13,612.50
Sales Tax Payable 205 1,089.00
Invoice: G4025
June 29 Cost of Goods Sold 501 10,890.00
Merchandise Inventory 115 10,890.00
Invoice: G4025
June 28 Delivery Expense 606 287.00
Accounts Payable 201 287.00
Invoice: J1400
Vendor: 24100
Jacoby, Incorporated
June 28 Cash 101 280.80
Service Fees Earned 411 260.00
Sales Tax Payable 205 20.80
Invoice: G4026
June 28 Cash 101 12,100.00
Accounts Receivable 105 12,100.00
Invoice: G3995
Customer: 11560
Chris Nelson
June 29 Salaries and Wages Expense 601 409.06
Page 62
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Cash 101 409.06
Check: 31236
Invoice: WAGES
June 30 Store and Shop Supplies 127 87.50
Miscellaneous Expense 635 7.50
Cash Short and Over 631 3.05
Cash 101 98.05
Check: 31237
Invoice: PCASH
June 30 Cash 101 11,225.00
Short-Term Investments 103 8,000.00
Gain on Short-Term Investments 731 3,225.00
Invoice: INVST
June 30 Sales Returns and Allowances 402 58.80
Sales Tax Payable 205 4.70
Accounts Receivable 105 63.50
Invoice: G4023
Credit Memo: CM602
Customer: 11560
Chris Nelson
June 30 Merchandise Inventory 115 29.40
Cost of Goods Sold 501 29.40
Invoice: G4023
Debit Memo: CM602
Customer: 11560
Chris Nelson
June 30 Cash 101 63.80
Interest Earned 711 63.80
Invoice: BKS06
June 30 Credit Card Expense 607 338.35
Bank Service Charges 627 45.60
Cash 101 383.95
Check: BKS06
Invoice: BKS06
Page 63
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II Schedule of Accounts Receivable
Last Activity Date: June 30, 2008
Number Name Balance
10300 Arlene Burnet $ 7,852.00
10550 Browns Ravine Jet Skiers .00
10890 Sean Dee 75.25
10930 Folsom Lake Skimmers .00
11100 Charles Grubonski .00
11220 Isabelle Hart .00
11340 Buster Jenkins .00
11560 Chris Nelson 465.70
11640 Paul Owens 202.50
11685 Hazel Peske .00
11780 Royal Bar Jetters 349.27
11850 Sierra Jet Set 21,250.35
11960 Don Temple .00
11990 Waterrippers, Inc. .00
----------
Total Accounts Receivable $ 30,195.07
==========
Page 64
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II Schedule of Accounts Payable Last Activity Date: June 28, 2008
Number Name Balance
20110 Andregg Supply $ 979.92
20950 Bonnie's Marine Supply 2,725.00
22400 Clear Water, Inc. 529.20
24100 Jacoby, Incorporated 287.00
24500 Kawasaki USA 2,107.00
26950 Larson Sports Equipment 2,308.00
27400 Riordan Marine, Inc. .00
28600 Starlight Sports 7,920.00
29650 Water Dancer Jetcraft .00
----------
Total Accounts Payable $ 16,856.12
==========
Page 65
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
BANK RECONCILIATION NAME__________________________
GRANITE BAY JET SKI INCORPORATED SECTION_________DATE________
BANK RECONCILIATION
GRANITE BAY JET SKI INCORPORATED
JUNE 30
Book Balance: $81,841.77
Add: Interest Earned 63.80
Total $81,905.57
Deduct: Bank Service Charge $45.60
Credit Card Expense $338.35
$383.95
Reconciled Book Balance $81,521.62
==============
Bank Balance: $70,919.23
Add: Late Deposit $11,225.00
Total $82,144.23
Deduct: Outstanding Checks
Check No. 31235 $115.50
Check No. 31236 $409.06
Check No. 31237 $98.05 $622.61
Reconciled Bank Balance $81,521.62
==============
Page 66
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II Trial Balance After Bank Reconcilation June 30, 2008
Account Titles Debit Credit --------------------------------------------------------------- Cash 81,521.62
Petty Cash 100.00
Short-Term Investments 2,000.00
Accounts Receivable 30,195.07
Allowance for Doubtful Accounts 1,411.82
Accts. Receivable, Credit Card Co. 15,394.05
Notes Receivable 10,000.00
Merchandise Inventory 159,956.82
Prepaid Insurance 6,175.00
Prepaid Property Tax 650.00
Store and Shop Supplies 3,786.92
Store Equipment and Fixtures 71,967.40
Accum. Deprec., Store Equip. and Fix. 12,370.00
Shop Equipment 35,310.00
Accum. Depreciation, Shop Equipment 5,920.00
Trucks 55,005.00
Accumulated Depreciation, Trucks 4,070.00
Accounts Payable 16,856.12
Sales Tax Payable 1,818.30
Unearned Storage Fees 15,640.00
Long-term Notes Payable 70,000.00
Common Stock 225,000.00
Retained Earnings 73,224.77
Dividends Declared 2,400.00
Watercraft and Accessory Sales 304,888.55
Sales Returns and Allowances 2,254.20
Service Fees Earned 9,112.75
Cost of Goods Sold 222,412.80
Transportation-In 604.00
Salaries and Wages Expense 15,585.91
Truck and Equipment Operating Exp. 1,263.65
Advertising Expense 3,558.50
Delivery Expense 953.10
Credit Card Expense 1,694.07
Tools Expense 40.00
Dep. Expense, Store Equipment and Fix. 80.00
Depreciation Expense, Shop Equipment 260.00
Depreciation Expense, Trucks 240.00
Rent Expense 15,600.00
Electricity and Gas Expense 877.05
Telephone Expense 423.00
Bank Service Charges 120.60
License Expense 926.00
Professional Services Expense 908.00
Cash Short and Over 21.05
Discounts Lost 230.00
Page 67
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Miscellaneous Expense 35.30
Interest Earned 280.80
Dividends Earned 638.00
Gain on Sale of Assets 210.00
Gain on Short-Term Investments 5,485.00
Miscellaneous Revenue 100.00
Income Taxes Expense 3,250.00
Interest Expense 1,032.00
Loss on Sale/Disposal of Assets 195.00
---------- ----------
Total 747,026.11 747,026.11
========== ==========
Page 68
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Student Documents
for
Adjusting and Closing Entries
Module 5 The student is required to print all documents shown for Adjusting and Closing entries
except the General Journal entries.
Page 69
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II Adjusted Trial Balance June 30, 2009
Account Titles Debit Credit --------------------------------------------------------------- Cash 81,521.62
Petty Cash 100.00
Short-Term Investments 2,000.00
Accounts Receivable 30,195.07
Allowance for Doubtful Accounts 2,190.50
Accts. Receivable, Credit Card Co. 14,932.23
Notes Receivable 10,000.00
Interest Receivable 18.89
Merchandise Inventory 159,956.82
Prepaid Insurance 3,780.00
Prepaid Advertising 985.00
Store and Shop Supplies 2,135.00
Store Equipment and Fixtures 71,967.40
Accum. Deprec., Store Equip. and Fix. 14,620.00
Shop Equipment 35,310.00
Accum. Depreciation, Shop Equipment 7,300.00
Trucks 55,005.00
Accumulated Depreciation, Trucks 4,406.00
Accounts Payable 16,856.12
Sales Tax Payable 1,818.30
Salaries and Wages Payable 96.05
Income Taxes Payable 2,640.00
Unearned Storage Fees 5,190.00
Long-term Notes Payable 70,000.00
Common Stock 225,000.00
Retained Earnings 73,224.77
Dividends Declared 2,400.00
Watercraft and Accessory Sales 304,888.55
Sales Returns and Allowances 2,254.20
Service Fees Earned 9,112.75
Storage Fees Earned 10,450.00
Cost of Goods Sold 222,412.80
Transportation-In 604.00
Salaries and Wages Expense 15,681.96
Store and Shop Supplies Expense 1,651.92
Truck and Equipment Operating Exp. 1,263.65
Advertising Expense 2,573.50
Delivery Expense 953.10
Credit Card Expense 2,155.89
Tools Expense 40.00
Dep. Expense, Store Equipment and Fix. 2,330.00
Depreciation Expense, Shop Equipment 1,640.00
Depreciation Expense, Trucks 576.00
Rent Expense 15,600.00
Insurance Expense 2,395.00
Bad Debt Expense 778.68
Page 70
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Property Tax Expense 650.00
Electricity and Gas Expense 877.05
Telephone Expense 423.00
Bank Service Charges 120.60
License Expense 926.00
Professional Services Expense 908.00
Cash Short and Over 21.05
Discounts Lost 230.00
Miscellaneous Expense 35.30
Interest Earned 299.69
Dividends Earned 638.00
Gain on Sale of Assets 210.00
Gain on Short-Term Investments 5,485.00
Miscellaneous Revenue 100.00
Income Taxes Expense 5,890.00
Interest Expense 1,032.00
Loss on Sale/Disposal of Assets 195.00
---------- ----------
Total 754,525.73 754,525.73
========== ==========
Page 71
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
General Journal
Date Accounts and Explanation PR Debit Credit ----------------------------------------------------------------------------------
June 30 Insurance Expense 622 2,395.00
Prepaid Insurance 121 2,395.00
Adjusting Entry
June 30 Store and Shop Supplies Expense 602 1,651.92
Store and Shop Supplies 127 1,651.92
Adjusting Entry
June 30 Prepaid Advertising 125 985.00
Advertising Expense 604 985.00
Adjusting Entry
June 30 Property Tax Expense 624 650.00
Prepaid Property Tax 124 650.00
Adjusting Entry
June 30 Salaries and Wages Expense 601 96.05
Salaries and Wages Payable 209 96.05
Adjusting Entry
June 30 Unearned Storage Fees 221 10,450.00
Storage Fees Earned 421 10,450.00
Adjusting Entry
June 30 Dep. Expense, Store Equipment and Fix. 610 2,250.00
Accum. Deprec., Store Equip. and Fix. 132 2,250.00
Adjusting Entry
June 30 Depreciation Expense, Shop Equipment 611 1,380.00
Accum. Depreciation, Shop Equipment 136 1,380.00
Adjusting Entry
June 30 Depreciation Expense, Trucks 612 336.00
Accumulated Depreciation, Trucks 140 336.00
Adjusting Entry
June 30 Interest Receivable 113 18.89
Interest Earned 711 18.89
Adjusting Entry
June 30 Income Taxes Expense 811 2,640.00
Income Taxes Payable 213 2,640.00
Adjusting Entry
June 30 Credit Card Expense 607 461.82
Accts. Receivable, Credit Card Co. 107 461.82
Page 72
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Adjusting Entry
June 30 Bad Debt Expense 623 778.68
Allowance for Doubtful Accounts 106 778.68
Adjusting Entry
Page 73
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II General Journal
Date Accounts and Explanation PR Debit Credit
----------------------------------------------------------------------------------
June 30 Watercraft and Accessory Sales 401 304,888.55
Service Fees Earned 411 9,112.75
Storage Fees Earned 421 10,450.00
Interest Earned 711 299.69
Dividends Earned 713 638.00
Gain on Sale of Assets 721 210.00
Gain on Short-Term Investments 731 5,485.00
Miscellaneous Revenue 741 100.00
Income Summary 901 331,183.99
Closing Entry
June 30 Income Summary 901 284,218.70
Sales Returns and Allowances 402 2,254.20
Cost of Goods Sold 501 222,412.80
Transportation-In 505 604.00
Salaries and Wages Expense 601 15,681.96
Store and Shop Supplies Expense 602 1,651.92
Truck and Equipment Operating Exp. 603 1,263.65
Advertising Expense 604 2,573.50
Delivery Expense 606 953.10
Credit Card Expense 607 2,155.89
Tools Expense 608 40.00
Dep. Expense, Store Equipment and Fix. 610 2,330.00
Depreciation Expense, Shop Equipment 611 1,640.00
Depreciation Expense, Trucks 612 576.00
Rent Expense 621 15,600.00
Insurance Expense 622 2,395.00
Bad Debt Expense 623 778.68
Property Tax Expense 624 650.00
Electricity and Gas Expense 625 877.05
Telephone Expense 626 423.00
Bank Service Charges 627 120.60
License Expense 628 926.00
Professional Services Expense 629 908.00
Cash Short and Over 631 21.05
Discounts Lost 633 230.00
Miscellaneous Expense 635 35.30
Income Taxes Expense 811 5,890.00
Interest Expense 813 1,032.00
Loss on Sale/Disposal of Assets 821 195.00
Closing Entry
June 30 Income Summary 901 46,965.29
Retained Earnings 305 46,965.29
Closing Entry
Page 74
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
June 30 Retained Earnings 305 2,400.00
Dividends Declared 311 2,400.00
Closing Entry
Page 75
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Income Statement
For the Quarter Ended June 30, 2009
Revenues: Watercraft and Accessory Sales $ 304,888.55
Less: Sales Returns and Allowances 2,254.20
----------
Net Sales $ 302,634.35
----------
Cost of Goods Sold:
Cost of Goods Sold $ 222,412.80
Transportation-In 604.00
----------
Total Cost of Good Sold 223,016.80
----------
Gross Profit From Sales $ 79,617.55
Fees Earned: Service Fees Earned $ 9,112.75
Storage Fees Earned 10,450.00
----------
Total Fees Earned 19,562.75
----------
Total Gross Profit From Sales and Fees Earned $ 99,180.30
----------
Operating Expenses:
Selling Expenses:
Salaries and Wages Expense $ 15,681.96
Store and Shop Supplies Expense 1,651.92
Truck and Equipment Operating Expense 1,263.65
Advertising Expense 2,573.50
Delivery Expense 953.10
Credit Card Expense 2,155.89
Tools Expense 40.00
Depreciation Expense, Store & Shop Equipment 2,330.00
Depreciation Expense, Shop Equipment 1,640.00
Depreciation Expense, Trucks 576.00
----------
Total Selling Expense $ 28,866.02
----------
General and Adminstrative Expenses:
Rent Expense $ 15,600.00
Insurance Expense 2,395.00
Bad Debt Expense 778.68
Property Tax Expense 650.00
Electricity and Gas Expense 877.05
Telephone Expense 423.00
Bank Service Charges 120.60
License Expense 926.00
Professional Services Expense 908.00
Cash Short and Over 21.05
Page 76
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Discounts Lost 230.00
Miscellaneous Expense 35.30
----------
Total General and Adminstrative Expenses $ 22,964.68
----------
Total Operating Expenses $ 51,830.70
----------
Income From Operations $ 47,349.60
----------
Other Revenues and Expenses:
Interest Earned $ 299.69
Dividends Earned 638.00
Gain on Sale of Assets 210.00
Gain on Short-Term Investments 5,485.00
Miscellaneous Revenue 100.00
----------
Total Other Revenues: $ 6,732.69
----------
Income Taxes Expense $ 5,890.00
Interest Expense 1,032.00
Loss on Sale/Disposal of Assets 195.00
Loss on Short-Term Investments 0.00
----------
Total Other Expenses: $ 7,117.00
---------- Net Other Expenses 384.31
---------- Net Income $ 46,965.29
==========
Page 77
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II Balance Sheet
June 30, 2009
ASSETS Current Assets:
Cash $ 81,521.62
Petty Cash 100.00
Short-Term Investments 2,000.00
Accounts Receivable $ 30,195.07
Allowance for Doubtful Accounts 2,190.50
----------
Net Realizable Value of Accounts Receivable 28,004.57
Accts. Rec., Credit Card Comp. 14,932.23
Notes Receivable 10,000.00
Interest Receivable 18.89
Merchandise Inventory 159,956.82
Prepaid Insurance 3,780.00
Prepaid Property Tax 0.00
Prepaid Advertising 985.00
Store and Shop Supplies 2,135.00
----------
Total Current Assets $ 303,434.13
Plant and Equipment Store Equipment and Fixtures $ 71,967.40
Accumulated Depreciation 14,620.00
----------
Book Value $ 57,347.40
---------- Shop Equipment 35,310.00
Accumulated Depreciation 7,300.00
----------
Book Value $ 28,010.00
----------
Trucks 55,005.00
Accumulated Depreciation 4,406.00
----------
Book Value $ 50,599.00
----------
Total Plant and Equipment 135,956.40
----------
Total Assets $ 439,390.53
==========
LIABILITIES
Current Liabilities Accounts Payable $ 16,856.12 Notes Payable 0.00
Sales Tax Payable 1,818.30
Dividends Payable 0.00
Salaries and Wages Payable 96.05
Estimated Property Tax Payable 0.00
Page 78
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Income Taxes Payable 2,640.00
Interest Payable 0.00
Unearned Storage Fees 5,190.00
----------
Total Current Liabilities $ 26,600.47
Long-term Notes Payable 70,000.00
----------
Total Liabilities $ 96,600.47
STOCKHOLDERS'EQUITY Common Stock $ 225,000.00
Retained Earnings 117,790.06
----------
Total Stockholder's Equity 342,790.06
----------
Total Liabilities and Owner's Equity $ 439,390.53
==========
Page 79
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II Retained Earnings Statement For the Quarter Ended June 30, 2009 --------------------------------------------------------------------------- Retained earnings, March 31, 2009 $ 73,224.77
Add: Net Income $ 46,965.29
Less: Dividends declared 2,400.00 ----------
Net increase in retained earnings 44,565.29
----------
Retained earnings, June 30, 2009 $ 117,790.06
==========
Page 80
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II Schedule of Accounts Receivable
Last Activity Date: June 30, 2009
Number Name Balance
10300 Arlene Burnet $ 7,852.00
10550 Browns Ravine Jet Skiers .00
10890 Sean Dee 75.25
10930 Folsom Lake Skimmers .00
11100 Charles Grubonski .00
11220 Isabelle Hart .00
11340 Buster Jenkins .00
11560 Chris Nelson 465.70
11640 Paul Owens 202.50
11685 Hazel Peske .00
11780 Royal Bar Jetters 349.27
11850 Sierra Jet Set 21,250.35
11960 Don Temple .00
11990 Waterrippers, Inc. .00
----------
Total Accounts Receivable $ 30,195.07
==========
Page 81
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II All Accounts Receivable Customers Number: 10300
Name: Arlene Burnet Address: 455 Sierra Blvd. Rocklin, CA Date Explanation Debit Credit Balance
______________________________________________________________________ June 2 Balance 0.00
June 14 G4016 7,852.00 7,852.00
June 15 G4016 BADCK 5,080.00 12,932.00
June 23 BADCK 5,080.00 7,852.00 ______________________________________________________________________
Number: 10550
Name: Browns Ravine Jet Skiers
Address: 4455 Gold Pan St. Colfax, CA
Date Explanation Debit Credit Balance ______________________________________________________________________ June 2 Balance 0.00 ______________________________________________________________________
Number: 10890
Name: Sean Dee
Address: 100 Sierra Views Blvd. Roseville, CA
Date Explanation Debit Credit Balance ______________________________________________________________________ May 30 G4000 75.25 75.25
______________________________________________________________________
Number: 10930
Name: Folsom Lake Skimmers
Address: 620 Riverside Drive Folsom, CA
Date Explanation Debit Credit Balance ______________________________________________________________________
June 2 Balance 0.00 ______________________________________________________________________
Number: 11100
Name: Charles Grubonski
Address: 10 Gold Rush Plaza Orangevale, CA Date Explanation Debit Credit Balance
______________________________________________________________________ May 3 G3906 17,650.00 17,650.00
June 16 G3906 5,650.00 12,000.00
June 25 G3906 12,000.00 0.00 ______________________________________________________________________
Number: 11220
Name: Isabelle Hart
Address: 356 Hill Rd. Auburn, CA
Date Explanation Debit Credit Balance ______________________________________________________________________ June 2 Balance 0.00
Page 82
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
______________________________________________________________________
Number: 11340
Name: Buster Jenkins
Address: PO Box 267 Apple Hill, CA
Date Explanation Debit Credit Balance
______________________________________________________________________ March 5 G3697 1,005.50 1,005.50
June 4 WROFF 1,005.50 0.00 ______________________________________________________________________
Number: 11560
Name: Chris Nelson
Address: 124 Cedar Dr. Granite Bay, CA
Date Explanation Debit Credit Balance
______________________________________________________________________ May 29 G3995 12,100.00 12,100.00
June 26 G4023 529.20 12,629.20
June 28 G3995 12,100.00 529.20
June 30 G4023 CM602 63.50 465.70 ______________________________________________________________________
Number: 11640
Name: Paul Owens
Address: 1800 Ridge Road Loomis, CA Date Explanation Debit Credit Balance
______________________________________________________________________ May 12 G3924 202.50 202.50 ______________________________________________________________________
Number: 11685
Name: Hazel Peske Address: 900 Ranch Road Auburn, CA
Date Explanation Debit Credit Balance ______________________________________________________________________ June 2 Balance 0.00
June 10 RECOV 1,330.00 1,330.00
June 10 RECOV 1,330.00 0.00 ______________________________________________________________________
Number: 11780
Name: Royal Bar Jetters
Address: 10 Royal Bar Blvd. Penryn, CA
Date Explanation Debit Credit Balance ______________________________________________________________________ May 21 G3971 502.00 502.00
June 6 G4014 349.27 851.27
June 16 G4014 CM601 84.67 766.60
June 19 G3971 417.33 349.27 ______________________________________________________________________
Number: 11850
Name: Sierra Jet Set
Address: PO Box 341A Truckee, CA
Date Explanation Debit Credit Balance ______________________________________________________________________ June 2 Balance 0.00
Page 83
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
June 18 G4018 21,250.35 21,250.35 ______________________________________________________________________
Number: 11960
Name: Don Temple
Address: 1369 Laird Road Lommis, CA
Date Explanation Debit Credit Balance ______________________________________________________________________ June 2 Balance 0.00
______________________________________________________________________
Number: 11990
Name: Waterrippers, Inc.
Address: 245 Redwing Ct. Penryn, CA
Date Explanation Debit Credit Balance ______________________________________________________________________ May 17 G3954 25,440.00 25,440.00
June 16 G3954 25,440.00 0.00
______________________________________________________________________
Page 84
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II Schedule of Accounts Payable Last Activity Date: June 28, 2009
Number Name Balance
20110 Andregg Supply $ 979.92
20950 Bonnie's Marine Supply 2,725.00
22400 Clear Water, Inc. 529.20
24100 Jacoby, Incorporated 287.00
24500 Kawasaki USA 2,107.00
26950 Larson Sports Equipment 2,308.00
27400 Riordan Marine, Inc. .00
28600 Starlight Sports 7,920.00
29650 Water Dancer Jetcraft .00
----------
Total Accounts Payable $ 16,856.12
==========
Page 85
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II Vendor Data
Number: 20110 Name: Andregg Supply
Address: 100 Watt Avenue Sacramento, CA Net 30
Date Explanation Debit Credit Balance _______________________________________________________________________ May 28 A4435 115.50 115.50
June 3 A4761 383.42 498.92
June 22 A5049 635.40 1,134.32
June 23 A5049 38.90 1,095.42
June 27 31235 A4435 115.50 979.92 _______________________________________________________________________
Number: 20950
Name: Bonnie's Marine Supply
Address: 240 Shasta Lake Lane Redding, CA Net 30
Date Explanation Debit Credit Balance _______________________________________________________________________ June 1 B9524 2,725.00 2,725.00 _______________________________________________________________________
Number: 22400
Name: Clear Water, Inc. Address: 900 Stadium Drive Auburn, CA 2/10, n/30
Date Explanation Debit Credit Balance _______________________________________________________________________
June 2 Balance 0.00
June 23 C5217 529.20 529.20 _______________________________________________________________________
Number: 24100
Name: Jacoby, Incorporated Address: 3700 Gold Rush Ave. Gold Hill, Ca Net 10
Date Explanation Debit Credit Balance _______________________________________________________________________ June 2 Balance 0.00
June 28 J1400 287.00 287.00 _______________________________________________________________________
Number: 24500
Name: Kawasaki USA
Address: 4772 Oak Drive Hover City, CA 2/10, n/30
Page 86
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Date Explanation Debit Credit Balance
_______________________________________________________________________ June 2 Balance 0.00
June 6 K4461 46,280.00 46,280.00
June 14 K4461 DM601 6,880.00 39,400.00
June 16 31225 K4461 39,400.00 0.00
June 24 K5050 2,107.00 2,107.00 _______________________________________________________________________
Number: 26950
Name: Larson Sports Equipment
Address: 3588 Vista View Drive Eureka, CA Net 30
Date Explanation Debit Credit Balance
_______________________________________________________________________ June 2 M1201 1,673.00 1,673.00
June 21 M3093 635.00 2,308.00 _______________________________________________________________________
Number: 27400
Name: Riordan Marine, Inc.
Address: 5234 Almond Street Corning, Ca Net 30
Date Explanation Debit Credit Balance _______________________________________________________________________ June 2 Balance 0.00 _______________________________________________________________________
Number: 28600
Name: Starlight Sports Address: 2233 Starlight Rd. Red Bluff, Ca 1/10, n/30
Date Explanation Debit Credit Balance _______________________________________________________________________
June 2 Balance 0.00
June 5 S2717 3,564.00 3,564.00
June 15 31224 S2771 3,564.00 0.00
June 28 S3488 7,920.00 7,920.00
_______________________________________________________________________
Number: 29650
Name: Water Dancer Jetcraft
Address: 1560 Olive Hurst Ave. Oroville, CA 1/10, n/30
Date Explanation Debit Credit Balance _______________________________________________________________________ May 13 W6438 19,305.00 19,305.00
June 11 31221 W6428 19,305.00 0.00 _______________________________________________________________________
Page 87
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Inventory Item: JET SKI STX-15F Stock Number: A1100
Reorder Point: 5
Units Dr/Cr
Date In Out Check Vendor Customer Invoice Memo
Balance 5
June 04 1 CASH G4011
June 06 3 24500 K4461 ____________________________________________________________
Beginning Units: 5 Unit Balance: 7
Units In: 3 Unit Cost: 7,500.00
Units Out: 1 FIFO Value: 52,500.00 ____________________________________________________________
Page 88
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Inventory Item: JET SKI 900 STX Stock Number: A900T
Reorder Point: 3
Units Dr/Cr
Date In Out Check Vendor Customer Invoice Memo
Balance 4
June 06 3 24500 K4461
June 07 2 CASH G4015 ____________________________________________________________
Beginning Units: 4 Unit Balance: 5
Units In: 3 Unit Cost: 5,600.00
Units Out: 2 FIFO Value: 28,000.00 ____________________________________________________________
Page 89
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Inventory Item: STARLIGHT TRAILER T Stock Number: AL800
Reorder Point: 2
Units Dr/Cr
Date In Out Check Vendor Customer Invoice Memo
Balance 0
June 05 3 28600 S2717
June 16 1 CASH G4017 ____________________________________________________________
Beginning Units: 0 Unit Balance: 2
Units In: 3 Unit Cost: 1,188.00
Units Out: 1 FIFO Value: 2,376.00 ____________________________________________________________
Page 90
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Inventory Item: JET SKI ULTRA 150 Stock Number: AU150
Reorder Point: 2
Units Dr/Cr
Date In Out Check Vendor Customer Invoice Memo
Balance 3
June 06 1 24500 K4461
June 14 1 24500 K4461 DM601
June 22 2 CASH G4021 ____________________________________________________________
Beginning Units: 3 Unit Balance: 1
Units In: 1 Unit Cost: 6,880.00
Units Out: 3 FIFO Value: 6,880.00 ____________________________________________________________
Page 91
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Inventory Item: JS BATTERY Stock Number: KW001
Reorder Point: 3
Units Dr/Cr
Date In Out Check Vendor Customer Invoice Memo
Balance 3
June 24 30 24500 K5050
June 26 3 11560 G4023
June 30 1 11560 G4023 CM602 ____________________________________________________________
Beginning Units: 3 Unit Balance: 31
Units In: 31 Unit Cost: 29.40
Units Out: 3 FIFO Value: 911.40 ____________________________________________________________
Page 92
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Inventory Item: NOZZEL EXTENSION Stock Number: KW003
Reorder Point: 2
Units Dr/Cr
Date In Out Check Vendor Customer Invoice Memo
Balance 2
June 06 1 CASH G4013
June 06 1 11780 G4014
June 24 10 24500 K5050 ____________________________________________________________
Beginning Units: 2 Unit Balance: 10
Units In: 10 Unit Cost: 122.50
Units Out: 2 FIFO Value: 1,225.00 ____________________________________________________________
Page 93
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II Post-Closing Trial Balance June 30, 2009
Account Titles Debit Credit --------------------------------------------------------------- Cash 81,521.62
Petty Cash 100.00
Short-Term Investments 2,000.00
Accounts Receivable 30,195.07
Allowance for Doubtful Accounts 2,190.50
Accts. Receivable, Credit Card Co. 14,932.23
Notes Receivable 10,000.00
Interest Receivable 18.89
Merchandise Inventory 159,956.82
Prepaid Insurance 3,780.00
Prepaid Advertising 985.00
Store and Shop Supplies 2,135.00
Store Equipment and Fixtures 71,967.40
Accum. Deprec., Store Equip. and Fix. 14,620.00
Shop Equipment 35,310.00 Accum. Depreciation, Shop Equipment 7,300.00
Trucks 55,005.00
Accumulated Depreciation, Trucks 4,406.00
Accounts Payable 16,856.12
Sales Tax Payable 1,818.30
Salaries and Wages Payable 96.05
Income Taxes Payable 2,640.00
Unearned Storage Fees 5,190.00
Long-term Notes Payable 70,000.00
Common Stock 225,000.00
Retained Earnings 117,790.06
---------- ----------
Total 467,907.03 467,907.03
========== ==========
Page 94
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Ledger Card
Account: 101 Cash
Date Explanation Debit Credit Balance
June 2 Beginning Balance 29,193.77
June 3 G4010 105.30 29,299.07
June 2 23339 19.50 29,318.57
June 2 ERROR 23339 19.50 29,299.07
June 4 G4011 10,125.00 39,424.07
June 4 31217 PCASH 92.25 39,331.82
June 4 G4012 1,090.00 40,421.82
June 6 CASHD 525.00 40,946.82
June 6 G4013 623.59 41,570.41
June 7 G4015 15,120.00 56,690.41
June 7 CMSTK 25,000.00 81,690.41
June 9 31218 90866 350.00 81,340.41
June 9 31219 DIVPD 2,400.00 78,940.41
June 10 ASALE 630.00 79,570.41
June 10 31220 R3449 124.60 79,445.81
June 10 STINV 7,460.00 86,905.81
June 10 11685 RECOV 1,330.00 88,235.81
June 11 31221 29650 W6428 19,500.00 68,735.81
June 11 CC202 7,880.28 76,616.09
June 13 31222 EXTRA 3,260.00 73,356.09
June 14 10300 G4016 5,000.00 78,356.09
June 14 31223 WAGES 446.35 77,909.74
June 15 BADCK 10300 G4016 5,000.00 72,909.74
June 15 31224 28600 S2771 3,564.00 69,345.74
June 16 31225 24500 K4461 39,400.00 29,945.74
June 16 11100 G3906 5,650.00 35,595.74
June 16 G4017 1,898.64 37,494.38
June 16 11990 G3954 25,440.00 62,934.38
June 17 31226 NTPAY 12,330.00 50,604.38
June 19 G4019 1,200.00 51,804.38
June 19 11780 G3971 417.33 52,221.71
June 21 31227 W3571 16,125.00 36,096.71
June 21 31228 DMV06 510.00 35,586.71
June 21 31229 79002 5,054.40 30,532.31
June 22 G4021 13,922.00 44,454.31
June 23 10300 BADCK 5,080.00 49,534.31
June 23 ASALE 320.00 49,854.31
June 24 31230 67676 363.70 49,490.61
June 24 31231 W3200 1,375.00 48,115.61
June 24 31232 P1764 505.00 47,610.61
June 24 31233 66633 1,800.00 45,810.61
June 25 G4022 9,099.00 54,909.61
June 25 11100 G3906 12,000.00 66,909.61
June 27 31234 TAXES 8,751.03 58,158.58
June 27 31235 20110 A4435 115.50 58,043.08
June 28 G4024 700.00 58,743.08
Page 95
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
June 28 G4026 280.80 59,023.88
June 28 11560 G3995 12,100.00 71,123.88
June 29 31236 WAGES 409.06 70,714.82
June 30 31237 PCASH 98.05 70,616.77
June 30 INVST 11,225.00 81,841.77
June 30 BKS06 63.80 81,905.57
June 30 BKS06 BKS06 383.95 81,521.62
Page 96
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Ledger Card
Account: 105 Accounts Receivable
Date Explanation Debit Credit Balance
June 2 Beginning Balance 56,975.25
June 4 11340 WROFF 1,005.50 55,969.75
June 6 11780 G4014 349.27 56,319.02
June 10 11685 RECOV 1,330.00 57,649.02
June 10 11685 RECOV 1,330.00 56,319.02
June 14 10300 G4016 7,852.00 64,171.02
June 15 BADCK 10300 G4016 5,080.00 69,251.02
June 16 11100 G3906 5,650.00 63,601.02
June 16 11990 G3954 25,440.00 38,161.02
June 16 11780 G4014 CM601 84.67 38,076.35
June 18 11850 G4018 21,250.35 59,326.70
June 19 11780 G3971 417.33 58,909.37
June 23 10300 BADCK 5,080.00 53,829.37
June 25 11100 G3906 12,000.00 41,829.37
June 26 11560 G4023 529.20 42,358.57
June 28 11560 G3995 12,100.00 30,258.57
June 30 11560 G4023 CM602 63.50 30,195.07
Page 97
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Ledger Card
Account: 115 Merchandise Inventory
Date Explanation Debit Credit Balance
June 2 Beginning Balance 187,164.42
June 4 G4011 7,500.00 179,664.42
June 5 28600 S2717 3,564.00 183,228.42
June 6 G4013 210.70 183,017.72
June 6 24500 K4461 46,180.00 229,197.72
June 6 11780 G4014 161.70 229,036.02
June 7 G4015 11,200.00 217,836.02
June 14 10300 G4016 9,520.00 208,316.02
June 14 24500 K4461 DM601 6,880.00 201,436.02
June 16 G4017 1,188.00 200,248.02
June 16 11780 G4014 CM601 39.20 200,287.22
June 18 11850 G4018 15,741.00 184,546.22
June 20 G4020 215.00 184,331.22
June 21 26950 M3093 635.00 184,966.22
June 22 G4021 17,720.00 167,246.22
June 23 22400 C5217 529.20 167,775.42
June 24 24500 K5050 2,107.00 169,882.42
June 25 G4022 6,740.00 163,142.42
June 26 11560 G4023 245.00 162,897.42
June 28 28600 S3488 7,920.00 170,817.42
June 29 G4025 10,890.00 159,927.42
June 30 11560 G4023 CM602 29.40 159,956.82
Page 98
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Ledger Card
Account: 201 Accounts Payable
Date Explanation Debit Credit Balance
June 2 Beginning Balance 23,818.50
June 3 20110 A4761 383.42 24,201.92
June 5 28600 S2717 3,564.00 27,765.92
June 6 24500 K4461 46,280.00 74,045.92
June 11 31221 29650 W6428 19,305.00 54,740.92
June 14 24500 K4461 DM601 6,880.00 47,860.92
June 15 31224 28600 S2771 3,564.00 44,296.92
June 16 31225 24500 K4461 39,400.00 4,896.92
June 21 26950 M3093 635.00 5,531.92
June 22 20110 A5049 635.40 6,167.32
June 23 22400 C5217 529.20 6,696.52
June 23 20110 A5049 38.90 6,657.62
June 24 24500 K5050 2,107.00 8,764.62
June 27 31235 20110 A4435 115.50 8,649.12
June 28 28600 S3488 7,920.00 16,569.12
June 28 24100 J1400 287.00 16,856.12
Page 99
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Ledger Card
Account: 305 Retained Earnings
Date Explanation Debit Credit Balance
June 2 Beginning Balance 73,224.77
June 30 Closing Entry 46,965.29 120,190.06
June 30 Closing Entry 2,400.00 117,790.06
Page 100
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Ledger Card
Account: 401 Watercraft and Accessory Sales
Date Explanation Debit Credit Balance
June 2 Beginning Balance 202,600.00
June 4 G4011 9,375.00 211,975.00
June 6 G4013 421.40 212,396.40
June 6 11780 G4014 323.40 212,719.80
June 7 G4015 14,000.00 226,719.80
June 14 10300 G4016 11,900.00 238,619.80
June 16 G4017 1,485.00 240,104.80
June 18 11850 G4018 19,676.25 259,781.05
June 20 G4020 430.00 260,211.05
June 22 G4021 22,150.00 282,361.05
June 25 G4022 8,425.00 290,786.05
June 26 11560 G4023 490.00 291,276.05
June 29 G4025 13,612.50 304,888.55
June 30 Closing Entry 304,888.55 0.00
Page 101
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Ledger Card
Account: 411 Service Fees Earned
Date Explanation Debit Credit Balance
June 2 Beginning Balance 8,115.00
June 3 G4010 97.50 8,212.50
June 6 G4013 156.00 8,368.50
June 16 G4017 273.00 8,641.50
June 20 G4020 211.25 8,852.75
June 28 G4026 260.00 9,112.75
June 30 Closing Entry 9,112.75 0.00
Page 102
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
Granite Bay Jet Ski II
Ledger Card
Account: 602 Store and Shop Supplies Expense
Date Explanation Debit Credit Balance
June 2 Beginning Balance 0.00
June 30 Adjusting Entry 1,651.92 1,651.92
June 30 Closing Entry 1,651.92 0.00
Page 103
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Final Project Evaluation
Questions and Answers
Page 104
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
FINAL EVALUATION NAME_______________________________________
GRANITE BAY JET SKI II CLASS DAY AND TIME__________DATE________
1. What is the net realizable value of the Accounts Receivable? $28,004.57
2. On the June 30, Balance Sheet, what is the "net worth" or "net $342,790.06
assets" of the business?
3. What is the book value of Shop Equipment? $28,010.00
4. What is the current ratio for Granite Bay Jet Ski, Incorporated? C
A. 10.56 B. 11.01 C. 11.41 D. 11.91 E. None of the above
5. What is the acid test quick) ratio of the business? D
A. 4.56
B. 5.01
C. 5.08
D. 5.13
E. None of the above
6. Does Granite Bay Jet Ski have enough cash on hand to meet current Y
debt? Answer Y for Yes or N for No.
7. Identify by customer number, the customer who has the smallest 10890
outstanding balance on June 30?
8. Does any customer currently have a balance that is past due? Granite Y
Bay Jet Ski, Incorporated, extends net 30 terms to all customers. Answer Y for Yes or N for No.
9. Examine the Royal Bar Jetters account. On or before what date E
should the balance of invoice G3971 be received?
A. June 16
B. July 17 C. July 18 D. July 19 E. None of the above
Page 105
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
FINAL PROJECT EVALUATION GRANITE BAY JET SKI II
10. What was the balance owed to Andregg Supply before the return of $1,134.32
$38.90 worth of supplies on June 23?
11. If paid on time, identify by invoice number the invoice that must be A4761
paid no later than July 3.
12. If the Kawasaki USA account is not paid in full within the discount $43.00
period for the single outstanding invoice, what will be the total
amount of the discount lost?
13. The single unit of inventory itemAL800, that was sold for cash on G4017
June 16, was listed on what sales invoice? Identify by number.)
14. What is the FIFO inventory value of the AL800 trailers in stock? $2,376.00
15. How many KW001 units were sold during June? 3
16. How many KW001 units were returned during June? 1
17. How many Granite Bay T-shirts are in stock? 19
18. How many A1100 Jet Ski STX-15F units were purchased during 3
June?
19. How many individual inventory items are now out of stock? C
A. 0 B. 2 C. 3 D. 5 E. None of the above
20. If the transportation-in costs had been reduced to zero through more $80,221.55
successful negotiation of merchandise contracts, what would be the
new Gross Profit on Sales?
21. Total Cost of Goods Sold is what percent of Net Sales? A
A. 73.69% B. 74.15% C. 75.86% D. 76.45% E. None of the above
Page 106
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
FINAL PROJECT EVALUATION GRANITE BAY JET SKI II
22. Gross Profit from Sales is what percent of Net Sales? B
A. 25.09%
B. 26.31%
C. 27.54%
D. 28.55%
E. None of the above
23. Income From Operations is what percent of Total Net Revenues Net C
Sales and Total Fees Earned)?
A. 8.89%
B. 11.67%
C. 14.70%
D. 17.65%
E. None of the above
24. Sales Return and Allowances is what percent of Watercraft and C
Accessory Sales?
A. Less than .5%
B. .5%
C. .74%
D. 2.00%
E. None of the above
25. Last quarter the Total Selling Expenses were 7.75% of Total Net N
Sales and Fees Earned. Has this quarter, ending June 30, 2008, been
an improvement over last quarter? Answer Y for Yes or N for No.
26. Compared to June 2 merchandise inventory of $187,164.42, the June E
30 merchandise inventory has decreased by what percent?
A. 5.17% B. 6.99% C. 7.28% D. 8.46% E. None of the above
27. If the total for Service Fees Earned and Storage Fees Earned could be $51,640.29
increased by 25% with only a $450 increase in Salaries and Wages
Expense, and a $150 increase in Advertising Expense, what would be
the new total for Income From Operations?
Page 107
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
FINAL PROJECT EVALUATION GRANITE BAY JET SKI II
28. A 1% increase in Net Sales and Fees Earned combined with a 1% $51,089.88
decrease in Total Operating Expenses, would result in an increase to
Income From Operations to what amount?
29. If $800 of Delivery Expense charges were found to be recorded in the $46,965.29
Transportation In account, the Cost of Goods Sold and Gross Profit
would change by $800. If this error was corrected, what would be the
balance of the Net Income?
30. If an audit determined that due to "shrinkage" the ending inventory B
was overstated by $1,500, the reported Net Income of the business
would be:
A. Understated B. Overstated C. Unchanged D. None of the above
31. If "shrinkage" of $1,000 was reported after the inventory was B officially counted on June 30, 2008, the Merchandise Inventory account would be credited for the $1,000. The missing inventory item/s would be accounted for in the entry and the perpetual inventory system would be brought up-to-date. In the journal entry, what account would be debited for the shrinkage?
A. Cash B. Cost of Goods Sold C. Income Summary D. Merchandise Inventory E. None of the above
32. If the ending inventory is understated, the Income from Operations B will be:
A. Overstated B. Understated C. Unchanged D. None of the above
Page 108
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
FINAL PROJECT EVALUATION GRANITE BAY JET SKI II
33. After closing the books, what is the balance of Dividends Declared? C
A. $2,400
B. $400
C. $0
D. None of the above
34. What must be the last account listed on the Granite Bay Jet Ski, Inc., E
Post-Closing Trial Balance?
A. Income Summary
B. Common Stock
C. Dividends Declared
D. Merchandise Inventory
E. None of the above
35. After closing, what is the balance of the Income Summary account? E A. $225,000.00 B. $467,907.03 C. $439,390.14 D. $46,965.29 E. None of the above
Page 109
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
Answer Book
FINAL PROJECT EVALUATION ANSWER KEY Granite Bay Jet Ski II
Score:
Question Your Number Answer ----------------------------------------------------------------------
1. What is the net realizable value of the Accounts $28,004.57
Receivable?
2. On the June 30, Balance Sheet, what is the $342,790.06
`net worth` or `net assets` of the business?
3. What is the book value of Shop Equipment? $28,010.00
4. What is the current ratio for Granite Bay Jet C Ski, Incorporated?
A) 10.56 B) 11.01 C) 11.41 D) 11.91
E) None of the above
5. What is the acid test quick) ratio of the D
business?
A) 4.56
B) 5.01
C) 5.08
D) 5.13
E) None of the above
6. Does Granite Bay Jet Ski have enough cash on hand Y
to meet current debt? Answer Y for Yes or N for
No.
7. Identify by customer number, the customer who has 10890
the smallest outstanding balance on June 30?
8. Does any customer currently have a balance that Y
is past due? Granite Bay Jet Ski, Incorporated,
extends net 30 terms to all customers. Answer Y
for Yes or N for No.
9. Examine the Royal Bar Jetters account. On or E before what date should the balance of invoice
G3971 be received? A) June 16 B) July 17 C) July 18 D) July 19
Page 110
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
E) None of the above
10. What was the balance owed to Andregg Supply $1,134.32
before the return of $38.90 worth of supplies on
June 23?
11. If paid on time, identify by invoice number the A4761
invoice that must be paid no later than July 3
12. If the Kawasaki USA account is not paid in full $43.00
within the discount period for the single
outstanding invoice, what will be the total
amount of the discount lost?
13. The single unit of inventory item AL800, that was G4017
sold for cash on June 16, was listed on what
sales invoice? Identify by number.)
14. What is the FIFO inventory value of the AL800 $2,376.00
trailers in stock?
15. How many KW001 units were sold during June? 3
16. How many KW001 units were returned during June? 1
17. How many Granite Bay T-shirts are in stock? 19
18. How many A1100 Jet Ski STX-15F units were 3
purchased during June?
19. How many individual inventory items are now out C
of stock? A) 0 B) 2 C) 3 D) 5 E) None of the above
20. If the transportation-in costs had been reduced $80,221.55
to zero through more successful negotiation of
merchandise contracts, what would be the new
Gross Profit on Sales?
21. Total Cost of Goods Sold is what percent of Net A
Sales? A) 73.69% B) 74.15% C) 75.86%
D) 76.45% E) None of the above
22. Gross Profit from Sales is what percent of Net B Sales?
A) 25.09% B) 26.31% C) 27.54% D) 28.55%
Page 111
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
E) None of the above
23. Income From Operations is what percent of Total C
Net Revenues Net Sales and Total Fees Earned)?
A) 8.89%
B) 11.67%
C) 14.70%
D) 17.65%
E) None of the above
24. Sales Return and Allowances is what percent of C
Watercraft and Accessory Sales?
A) Less than .5%
B) .5%
C) .74%
D) 2.00%
E) None of the above
25. Last quarter the Total Selling Expenses were N
7.75% of Total Net Sales and Fees Earned. Has
this quarter, ending June 30, 2008, been an improvement over last quarter? Answer Y for Yes
or N for No.
26. Compared to June 2 merchandise inventory of E
$187,164.42, the June 30 merchandise inventory
has decreased by what percent? A) 5.17%
B) 6.99% C) 7.28% D) 8.46% E) None of the above
27. If the total for Service Fees Earned and Storage $51,640.29
Fees Earned could be increased by 25% with only a
$450 increase in Salaries and Wages Expense, and
a $150 increase in Advertising Expense, what
would be the new total for Income From
Operations?
28. A 1% increase in Net Sales and Fees Earned $51,089.88
combined with a 1% decrease in Total Operating
Expenses, would result in an increase to Income
From Operations to what amount?
29. If $800 of Delivery Expense charges were found to $46,965.29
be recorded in the Transportation In account, the
Cost of Goods Sold and Gross Profit would change
by $800. If this error was corrected, what would
be the balance of the Net Income?
30. If an audit determined that due to `shrinkage` B
the ending inventory was overstated by $1,500,
the reported Net Income of the business would be: A) Understated B) Overstated
C) Unchanged
Page 112
Granite Bay Jet Ski, Inc., Level II Answer Book Copyright © 2010 - 2020 PKL Software, Incorporated. All rights reserved.
www.pklsoftware.com Last Revised: January 18, 2020
D) None of the above
31. If `shrinkage` of $1,000 was reported after the B
inventory was officially counted on June 30,
2008, the Merchandise Inventory account would be
credited for the $1,000. The missing inventory
item/s would be accounted for in the entry and
the perpetual inventory system would be brought
up-to-date. In the journal entry, what account
would be debited for the shrinkage?
A) Cash B) Cost of Goods Sold C) Income Summary D) Merchandise Inventory E) None of the above
32. If the ending inventory is understated, the B
Income from Operations will be: A) Overstated B) Understated C) Unchanged D) Done of the above
33. After closing the books, what is the balance of C
Dividends Declared?
A) $2,400
B) $400 C) $0
D) None of the above
34. What must be the last account listed on the E
Granite Bay Jet Ski, Inc., Post-Closing Trial
Balance?
A) Income Summary B) Common Stock
C) Dividends Declared D) Merchandise Inventory
E) None of the above
35. After closing, what is the balance of the Income E
Summary account?
A) $225,000.00
B) $467,907.03
C) $439,390.14
D) $46,965.29
E) None of the above