ACCT 550 Course Project Balance Sheet and Single-Step Income Statement

ACCT 550 Course Project Balance Sheet and Single-Step Income Statement


Course Project Title: Balance Sheet and Single-Step Income Statement




To prepare a comprehensive balance sheet and Single-Step Income Statement presented in good form and derived from a list of various accounts. The amounts relative to each account will be given and the student will learn to determine whether an account is a balance sheet account or a temporary account that belongs to the income statement. The accounts will be comprised of all the various subgroupings in the balance sheet (Current Assets, Investment, Fixed Assets, Intangibles, and Other Assets, as well as Current Liabilities, Long-term Liabilities, and the Equity sections).




  • Obtain the list of accounts under the title of Course Project in Doc Sharing
  • Determine which accounts belong to the Balance Sheet and which accounts belong to the Income Statement
  • Determine to which subgroup each account belongs
  • Arrange the accounts in proper order and functionality
  • Prepare a Comprehensive Balance Sheet in good form
  • Prepare a Single-step Income Statement in good form
  • Put the Course Project in the Dropbox for the project in Week 8


Grading Rubrics

Category Points % Description
Making proper selection of accounts relative to the balance sheet or the income statement  30  20 From the provided listing of accounts determine which accounts are Balance Sheet accounts and which accounts are Income Statement accounts.
Putting the accounts into the proper subgroup according to functionality  15 10 Each account belongs to a particular subgroup. The student is to determine which subgroup the account belongs. This should be done according to functionality.
Preparing the balance sheet in good form  45  30 Proper form is important in the preparation of the balance sheet. Examples can be found in the text.
Preparing the income statement in good form  45  30 Proper form is important in the preparation of the income statement. Examples can be found in the text.
Ensuring that the Balance Sheet and the Income Statement have been computed correctly 15  10 It is important that the balance sheet and income statement are computed correctly and have the correct totals. An incorrect total in any part of the financials can invalidate the entire project.
Total  150 100 A quality project will meet or exceed all of the above requirements.



Course Project Listing of Accounts:


Accounts Payable                                           $197,532

Account Receivable                                       165,824

Accrued Interest on Notes Payable                500

Accrued Liabilities                                           9,500

Accumulated Depreciations                           341,200

Additional Paid-in Capital                                37,500

Administrative Expenses                                350,000

Allowance for doubtful accounts                    1,850

Building                                                           975,800

Cash                                                                42,485

Common Stock                                              400,000

Copyrights                                                       105,000

Cost of Goods Sold                            1,000,000

Customer Deposits

(expected to be paid next year)                      420

Deposits with Vendors

(based on a long-term purchase contract) 50,000

Depreciation Expense

(40% – Selling, 60% – Administrative)            100,000

Dividend Income                                             30,000

Goodwill                                                          100,000

Income Tax Expense                                     82,250

Income Taxes Payable                                   62,520

Interest Revenue                                            25,000

Inventories                                                      499,493

Investments in Warren Co.                             87,500

Land                                                                125,000

Mortgage Payable ($1,500 per month)          308,000

Notes Payable to Banks                                 50,000

Notes Receivable (due next year)                  23,000

Patents                                                            125,000

Preferred Stock, 7%                                       300,000

Prepaid Expenses                                           16,252

Rental Income                                                            50,000

Retained Earnings                                          162,582

Selling Expenses                                            300,000

Salaries Payable                                             52,000

Sales Discounts                                              120,000

Sales Revenue                                   2,000,000

Securities (available for sale) – at fair

Market value                                       28,250

Trademarks                                                    80,000

Twenty-year, 12% Bonds, due 1/1/2013        500,000