Solved by verified expert :Case 2-1Bar Harbor Blueberry Farm
The Bar Harbor Blueberry
Farm is a family-owned, 200-acre farm that grows and sells blueberries to
grocery stores, blueberry wholesalers, and small roadside stands. Bar Harbor
has 25 full-time employees and hires 150 to 200 seasonal workers for the
harvest.
For the past six
summers, you have picked berries for Bar Harbor. When you graduated, you were
hired full-time as the accountant/office manager. Until now, Bar Harbor kept
most of its accounting records in a big file box. Jack Phillips, the owner,
would like a more organized approach to the farm’s accounting records. He asked
you to establish a proper set of books. You decide to start by establishing
appropriate journals and ledgers for these transactions.
Presented below are a
set of vendor invoices and a few partially completed journals and ledgers. Your
job is to record these transactions and update the appropriate ledgers. Be sure
to leave a proper audit trail. You may also use Excel, Great Plains, Peachtree,
QuickBooks, or another accounting software package of your choosing to complete
this problem.
Vendor
Invoices
Date
Supplier Invoice
Supplier Name
Supplier Address
Amount
March 7
AJ34
Bud’s Soil Prep
PO Box 34
$2,067.85
March 11
14568
Osto Farmers Supply
45 Main
$ 67.50
March 14
893V
Whalers Fertilizer
Route 34
$5,000.00
March 21
14699
Osto Farmers Supply
45 Main
$3,450.37
March 21
10102
IFM Wholesale
587 Longview
$4,005.00
March 24
10145
IFM Wholesale
587 Longview
$ 267.88
urchases Journal
Page
1
Date
Supplier
Supplier
Invoice
Account
Number
Post
Ref
Amount
March
7
Bud’s
Soil Prep
AJ34
$2,067.85
General Ledger
Accounts
Payable
Account
Number: 300
Date
Description
Post
Ref
Debit
Credit
Balance
March
1
Balance
Forward
$18,735.55
General Ledger
Purchases
Account
Number: 605
Date
Description
Post
Ref
Debit
Credit
Balance
March
1
Balance
Forward
$54,688.49
Accounts Payable
Subsidiary Ledger
Account
No: 23
Bud’s
Soil Prep
PO
Box 34
Terms:
2/10, Net 30
Date
Description
Debit
Credit
Balance
Account
No: 24
Terms:
2/10, Net 30
Account
No: 36
Terms:
2/10, Net 30
Date
Description
Debit
Credit
Balance
Account No: 38
Terms: 2/10, Net 30
Date
Description
Debit
Credit
Balance
