Create a mock merchandising company and demonstrate your

Required (All 12 steps must be performed using EXCEL)

1) Write a list of at least 10 original transactions spanning a fiscal quarter (e.g. Jan.1 – March 31) and following the guidelines above. The first transaction should be a financing transaction (issue stock or borrow).

2) Journalize each transaction.

3) Post the journal entries to accounts and compute the ending balance (March 31) in each account.

4) Prepare a trial balance from ending account balances.

5) Write a list of at least 5 adjusting entries for the quarter-ended March 31 related to transactions prepared in step 1. Note that adjusting entries do not have an effect on the cash account.

6) Journalize the adjusting entries. Note that adjusting entries do not affect the cash account.