Accounts payable 79000

Accounts receivable 104000

Accumulated depreciation – equipment 28000

Depreciation expense 800

Interest revenue 1925

Cash 80500

Common stock (10,000 shares outstanding) 100000

Cost of merchandise sold 635550

Dividend 19100

Equipment 139450

General expenses 114250

Interest expense 5600

Merchandise inventory 154250

Prepaid insurance 11225

Retained earnings ?

Salaries Payable 14550

Sales 960250

Selling expenses 140700

The president of AISExperts Inc., has asked you to develop a flexible financial statement package (call the file yourlastnameyourfirstnameFinState07), using Excel that includes:

• a data entry sheet

• a trial balance,

• a single-step income statement,

• a multi-step income statement,

• a statement of retained earnings,

• a classified balance sheet, and

• a post-close trial balance (a trial balance with only accounts not “closed”)

Each statement must be on one sheet in the file and this file should allow the financial statements to be prepared quickly by entering account balances in the appropriate cells on the first sheet of the file (book) – data entry sheet.

Include percentages in the Income Statement (vertical analysis) i.e. gross profit percentage, % of selling expenses to sales, etc. (common sizing and vertical analysis are basically the same analysis techniques – every number in the multi-step income statement are divided by sales).

Your file must contain documentation with comments (Excel commands: INSERT, COMMENT). The comments should be included where you think explanation is required i.e. earnings per share on the bottom of the income statement should probably be explained or retained earnings might require some additional comments.

Use the financial information above as input for your statements. Only formulas/cell references should appear on all sheets except your data entry sheet (except titles and dates) – no hard coded numbers in the financial statements.