SOLUTION'S MANUAL For Computer Accounting with Sage 50 Complete Accounting 2013 [Formerly Peachtree] by digitaldownload87

SOLUTION'S MANUAL For Computer Accounting with Sage 50 Complete Accounting 2013 [Formerly Peachtree]. 17th Edition. Carol Yacht, M.A.

CHAPTER 1 INTRODUCTION TO BELLWETHER GARDEN SUPPLY In Chapter 1, students are introduced to Sage 50 Complete Accounting 2013. Throughout the textbook the abbreviation SCA is used to identify the software. Chapter 1 and all subsequent chapters begin with Learning Objectives. LEARNING OBJECTIVES 1. Start Sage 50 Complete Accounting 2013 (SCA). Comment If Sage 50 Complete Accounting 2013 is not installed, refer to textbook pages vi-xv; or, Appendix A, pages 441 - IMK to 450 - IMK, steps 1-24. The sample company, Bellwether Garden Supply, must be installed to complete Chapter 1.

2. Explore the sample company, Bellwether Garden Supply. 3. Make sure global options are set

4. Back up Bellwether Garden Supply data 5. 6. 7. 8. 9.

Restore data with Sage 50’s restore Wizard . Operate Sage 50’s menus, drop-down lists, toolbar, and navigation bar. Use Windows Explorer to see files sizes. Export Sage 50 reports to Excel, and save reports as Adobe PDF files. Make three backups, save three Excel files, and three PDF files.2

SCA TIPS, CHAPTER 1

 The software installation steps are consistent with the Windows 7

operating system. If you or your students are using Windows Vista or XP, the installation steps may differ slightly.

This icon, , means there is a Global Options video. Go online to http://www.mhhe.com/yacht2013. Link to Student Edition, select Chapter 1, Videos, Global Options. 2 Refer to the chart on textbook pages 2 and 3 for the size of files backed up and saved. Students should check with their instructor for his or her preference for receiving Excel (.xlsx) or Adobe (.pdf) files.

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© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

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Chapter 1

 Windows 7, Vista and XP program file and company data file locations

differ. For more information, see File Management, textbook pages xviiixxii.  If you have more than one section of students using the sample company, you should restore the starting data for Bellwether Garden Supply before beginning the next class. Instructions for making the first backup are on textbook pages 22-25. This backup is for Bellwether Garden Supply’s starting data. At this point in Chapter 1, students have not added any information to the sample company. The backup name is bgs.ptb.  The textbook shows detailed steps for backing up to a USB flash drive. For all backups in Chapters 1-18 and the projects, a 4GB USB flash drive is recommended.  Sage 50’s backups default to the hard drive. Students can back up to the default location, or specify a location for backing up, such as a network location or external media. For example, backups can be made to a CD-RW drive, DVD-RW drive, or USB drive.  See textbook pages 29 through 32 for Using Sage 50’s Restore Wizard. Sage 50’s Restore Wizard allows you to restore An Existing Company (the default); or, restore A New Company. For more information about restoring a new company (one that is not listed in Sage 50), refer to the Read Me box on textbook page 29 or page 18 - IMK. Read Me: Do your students need to restore? If your students are completing their Sage 50 work in the computer lab or classroom, they should restore backup files from their USB drive (or other location). In order for the student to start where they left off the last time data was backed up, use the restore feature. If students are working on their own computer or laptop, they probably can skip restore. For example, in Chapter 1 on textbook page 40, students added themselves as an employee. Students should display the employee list. If their name is shown, they can skip restore. If students are taking this course online, they probably do not have to restore each time it is shown in the textbook. Their PCs or laptops will accumulate Sage 50 data as they work through the book. The author suggests that students restore periodically. What should the instructor do? You may want to include in your syllabus whether or not you want students to restore backup files each time it is shown in the textbook. It may depend on whether students are working in the classroom or online on their own computers.

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 Students can restore from a back up file even if no Sage 50 company exists. From Sage 50’s start up window, select File; Restore. Select the location of the backup file. On the Restore Wizard’s Select Company window, select A New Company. The selection for “A New Company” allows you to restore backup data and set up the company at the same time.  Students can add their names to reports. Refer to textbook page 43, Add Your Name to Reports.

 After adding the student’s first and last name to Bellwether, the Directory field ends in \belgarsu. This will be shown when students open Bellwether Garden Supply - Student Name.  In Windows 7 and Vista, the computer owner is identified when files are backed up or saved. To see which user saved the file, right-click on the Start button, left-click Explore. Go to the location of the backup file; right-click on the filename, left-click Properties. The Details tab shows the Owner and Computer name. The time and date is also shown. The same steps can be used to check .ptb files (extension used for Sage 50 backups); Excel files (.xlsx or .xls extensions); Adobe files (PDF extension); and Word files (.docx and .doc extensions).  In Chapter 5 on textbook page 185, an Audit Trail Report is shown. Observe that the Transaction ID column shows CYACHT and MWOOD

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Chapter 1

in the Add, Maintain Employees rows; the Date and Time this entry was recorded is also shown. This information shows the employee added in Chapter 1, textbook page 40 Adding Yourself as an Employee and textbook page 51 (Exercise 1-2). Students are instructed to use their first initial and last name. CYACHT is shown on the Audit Trail Report because the author’s name is used. The date and times in the report below indicate when the author made changes. Your students Date and Time fields will differ. If your students are completing work after December 31, 2013, change the date range For the Period From Jan 1, 2006 to the student's current date.)

The Audit Trail Report is a way for instructors to check the integrity of individual student records. Use the Audit Trail Report to make sure that

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the student turning in the work is the one whose name appears on the Maintain Employees row. If two or more Audit Trail Reports have the same name, date and time, you probably have a paper trail to students sharing backup files. You may want students to turn in their Chapter 5.ptb file so that you can restore that file and check the Audit Trail Report. Another way to do this is to have the student restore the Chapter 5.ptb file in the computer lab, then display the Jan 1, 2006 through Dec 31, 2013 (if after 12/31/13, use that date) Audit Trail report to check the name, date, and time next to Maintain Employees. It is the goal of the textbook to make learning interactive. Throughout the textbook, numerous window illustrations are used to show the students how to complete the instructions successfully. The window illustrations in the textbook are done with Windows 7 and Sage 50 Complete Accounting 2013. Sage 50 Complete Accounting (SCA) is similar to other programs that use the Windows operating systems (XP, Vista, 7). Your students will see similarities in the Navigation Bar selections, menus, entering and saving data, and selecting icons. If your students are not familiar with Microsoft Windows, using SCA will help them become familiar with the Windows operating system. In Chapter 1, students use the sample company, Bellwether Garden Supply. Bellwether Garden Supply is one of the sample companies included when Sage 50 is installed. Your students will get a sampling of features that will be developed in greater detail as they complete the textbook. The purpose of the sample company, Bellwether Garden Supply, is to provide software familiarity rather than to test accounting knowledge. Comment: The work in Chapters 1-7 is cumulative. Students need to complete the activities within the chapter and the exercises at the end of the chapter. Completing all the work in Chapters 1-7 will ensure that your students’ work agrees with what is shown in the textbook.

EXPORTING SAGE 50 REPORTS TO MICROSOFT EXCEL AND WORD If Sage 50 report printouts are required for grading purposes, they can be exported to Excel then emailed to the instructor as an .xls (Excel 97-2008) or .xlsx (Excel 2007/2010) attachment. Refer to textbook pages 45-47, Exporting Sage 50 Reports to Microsoft Excel. Sage 50 reports include an Excel icon.

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Sage 50 reports can also be copied to Microsoft Word. Chapter 18 includes how to copy reports to Microsoft Word, textbook pages 656-657. SAVING REPORTS AS ADOBE PDF FILES Sage 50 reports can also be saved as PDF files. This may be the instructor's preference for collecting student work. Textbook pages 47-48 show the steps for saving PDF files. In Chapter 1, the following reports are saved as PDF files: the Employee List and the Chart of Accounts. Comment: In Exercise 1-2, page 52 below step 10, students are told to check with their instructor for his or her preference for receiving files. If instructors prefer Sage 50 reports attached for grading purposes, refer to textbook pages 45-47, Exporting Sage 50 Report Data to Microsoft Excel; or Saving Employee List as a PDF File, pages 47-48 To export two Sage 50 reports to one Excel file, see pages 85-87. For grading purposes, instructors may prefer receiving Adobe files (.pdf) or Excel files (.xlsx).

BACKING UP BELLWETHER GARDEN SUPPLY Before making changes to Bellwether Garden Supply, you should back up the sample company data. When using SCA, information is automatically saved to the hard drive of the computer. In a classroom, a number of students may be using the same computer. This means that when you return to the computer lab or classroom, your data will be gone. Backing up means saving a copy of the data to a hard drive, network drive, or external media. Backing up insures that you can start where you left off the last time Sage 50 was used. When backing up, you have choices − accept the hard-drive default location or back up to a USB drive (or other external media). In the steps that follow, backups are made to a USB drive also called flash drives, thumb drives, or pen/stick drives. In this book, the term USB flash drive is used to identify USB storage media. USB is an abbreviation of Universal Serial Bus.

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Comment: Backing up data to the hard-drive default location The author suggests backing up the sample company before any changes are made. In the textbook, backups are made to external media or a USB drive. Backups can also be made to the desktop or other locations. You may also backup to the default location at C:\Sage\Peachtree\Company\Sample\PCWS\BCS. Hint: To see the default directory where Bellwether is located, from the menu bar select Maintain, Company Information. The Directory field shows the location of the BCS folder. BCS is the folder where Bellwether Garden Supply data is stored. Education Version directory:

Student Version directory: When a back up is made, data is saved to the current point. To distinguish between backups, a different backup name (file name) should be used. Use Sage 50’s restore feature to retrieve information that was backed up. In the business world, backups are unique to each business: daily, weekly, monthly. Think of your backups this way and you will see why individual backups at different points in the data are necessary. You should never leave the computer lab or classroom without backing up your data.

Follow these steps to back up Bellwether Garden Supply. The text directions assume that you are backing up to a USB drive. You can also backup to the desktop, hard drive, or network location. One USB flash, thumb or pen drive, CD-R or DVD-R can be used for all backups in the textbook (Chapters 1-18 and the projects). The chart on pages 2 and 3 (Part 1 introduction) shows the size of each backup made in Chapters 1-8. 1. Insert a USB flash drive into the USB drive. 2. From the Navigation Bar, click . In the Back Up and Restore Data area, click . The Back Up

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Company window appears. If necessary, uncheck the box next to Include company name in the backup file name. 3. Click . The Save Backup for Bellwether Garden Supply as window appears. 4. In the Save in field, select your USB drive. The illustration below shows drive D, which is the location of the author's USB drive. Your USB drive letter may differ. Type bgs in the File name field.

Observe that the Save as type field shows that you are making a Sage 50 Backup (*.ptb), which is abbreviated ptb. This is the extension for Sage 50 backups.

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Comment If your Save as type field does not show Sage 50 Backup (*.ptb), follow these steps: 1. Right-click ; left-click Open Windows Explorer. (These instructions are consistent with Windows 7.) 2. From the menu bar, select Organize, Folder and Search Options. 3. Click on the View tab. Make sure the box next to Hide extensions for known file types is unchecked--

4. Click . Your PCA files will now have file extensions. 5. Close Windows Explorer.

Read Me: "Student Version" or "Educational Version" If you are backing up to the default hard-drive location, the Student Version hard-drive location for backups is C:\Sage\Company\Sample\PCWS\ BCS. If your folder shows …\Sample\PCWE, you are using the Educational Version's sample company data. Your hard-drive location may differ. Accept the hard-drive default for backing up. Click

5. Click

, then

6. A window appears that says This company backup will require approximately 1 diskette. (If students are backing up to USB flash drive, this window appears. If backing up to the default hard-drive location, this window does not appear.)

Click

. When the window prompts Please insert the first

disk, click . When Back Up Company scale is 100% complete, you have successfully backed up the sample company.

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Follow these steps to see the size of the backup file. 1. Right-click

; left -click Open Windows Explorer. In Windows 7

the folder icon on the Taskbar also opens Windows Explorer. (Hint: The textbook was written with Windows 7. If you are using a different Windows operating system, your start button differs.) 2. Select your USB drive (or the location where you backed up Bellwether Garden Supply). The Name of the file is bgs.ptb; the size of the file is 3,540 KB;3 and File Type is PTB File. Compare this information to the bcs folder on your hard drive, network drive, USB drive, or DVD. Your backup size may differ.

Refer to the chart on pages 2 and 3 for back up sizes. Sage 50 backs up to the current point in the data. The author suggests backing up to a USB flash drive, CD-R, DVD-R, or hard drive location. Follow these steps to exit Sage 50: 1. Close Windows Explorer. 2. From Sage 50’s menu bar, click File; Exit. You are returned to the desktop.

The size of your backup file may differ.

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COPYING THE BCS FOLDER TO A CD-RW OR DVD-RW DRIVE The instructions on pages 10 - IMK to 13 - IMK (textbook pages 22-25) show how to use Sage 50's Back Up feature. Sage 50's Back Up feature works with Restore, which is shown on pages 17 - IMK to 21 - IMK (textbook pages 29-32). Would you prefer that students copy all the company data files or Bellwether Garden Supply hard-drive folder? 1. Go to your Windows desktop. 2. Put your CD-R or DVD-R into the appropriate drive. In this example, Roxio Easy Media Creator is being used to copy files to a DVD-R. An AutoPlay window appears.

3. Select Add Files, then Data Disc.

4. Right-click

; left-click Open Windows Explorer. (Hint: In

Windows 7, the folder icon

also opens Windows Explorer.)

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5. Select the location of the BCS folder: C:\Sage\Peachtree\Company\Sample\PCWE (or \PCWS).

6. Copy/Paste or Drag Drop the BCS folder to the Easy Media Creator window. (Your window may differ. The Author is using Roxio Easy Media Creator software.)

7. Click to continue. The Project Running window appears while the folder is being copied to the CD-R or DVD-R. When the drive opens, the file is copied. Click , close the Easy Media Creator window. Do not save the current Data Disc project. 8. Close the Windows Explorer window.

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USING WINDOWS EXPLORER To see the size of the folder you copied, follow these steps. 1. Close your CD or DVD drive. When the AutoPlay window appears, select Open folder to view files using Windows Explorer. 2. On the CD or DVD drive window, there is a Files Currently on the Disc (1) area. Right-click on the BCS folder. Left-click Properties. The BCS Properties window appears. The Location and Size of the BCS folder is shown. (Your file size may differ.) 3. Click

to close the BCS Properties window.

USING SAGE 50’S RESTORE WIZARD

In order to start where you left off the last time you backed up, use Sage 50’s Restore Wizard. The instructor may prefer that students use Windows Explorer to copy/paste instead of Sage 50’s Restore feature. Students are reminded to check with their instructor on the preferred method. This textbook shows Sage 50’s Restore Wizard. Follow these steps to use Sage 50’s Restore Wizard. 1. Start Sage 50. (Hint: If another company opens, from the menu bar select File; Close Company to go to the startup window.) Open the sample company, Bellwether Garden Supply.

The arrow indicates a video at http://www.mhhe.com/yacht2013. Select Student Edition; Chapter 1, Videos, Restore.

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Read Me: What if Bellwether Garden Supply is not shown as an existing company or when you select Explore a sample company? Some schools delete company folders from the hard drive. For example, you have a back up file but the company, Bellwether Garden Supply, is not listed as a Sage 50 company. Follow these steps to restore a company from a backup file. 1. If necessary, click File; Close Company to go to the Startup window. To double check that Bellwether is not listed, select Open an existing company. Make sure Bellwether Garden Supply is not listed in the Company Name list. Click . 2. The startup window shows four menu bar options— . Select File; Restore. 3. Browse to the location of your backup file, select it. Click <Next>. 4. Restore A New Company. Compare your Select Company window with the one shown on textbook page 31 step 8. Select A New Company and the Company Name field shows Bellwether Garden Supply; click <Next>. Continue with step 10, textbook page 31.

2. Insert your USB flash drive. The steps that follow assume you are restoring from a USB drive. 3. From the Navigation Bar, click

. Click

. The Select Backup File window appears. Click . 4. The Open Backup File window appears. In the Look in field, select the location of your USB drive. Select the bgs.ptb file.

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6. The Restore Wizard – Select Backup File window appears showing the location of your backup file, X:\bgs.ptb. (Substitute X for your drive letter.)

7. Click

8. The Select Company window appears. Observe that An Existing Company is the default. The Company Name field shows Bellwether Garden Supply and the Location shows Bellwether’s location. Your Location field may differ.

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Chapter 1

9. Read the information on the Select Company window; click . 10. The Restore Options window appears. Make sure that the check mark is next to Company Data.

11. On the Restore Options window, click

12. The Confirmation window appears. The From field shows the USB drive location of the backup file. The To field shows the default installation location (your location may differ).

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13. Read the information on the Confirmation window, then click . Your backup data starts to restore. When the scale is 100% complete, the Bellwether Garden Supply data is restored. A window prompts that you can use this company in the student version of Sage 50 for the next 14 months and then it will expire.

Click . The Bellwether Garden Supply - Sage 50 Accounting window appears. Once Bellwether’s files are restored, you are ready to continue using the sample company. Remember before your students exit SCA, they should make a backup of their work. You may find a lecture outline helpful in organizing your presentation of Chapter 1. The Instructor’s Manual and Key includes a lecture outline for each chapter in the textbook, end-of-chapter report printouts, answers to the QA templates and analysis questions, going to the net exercises, and completed assessment rubrics. LECTURE OUTLINE FOR CHAPTER 1: INTRODUCTION TO BELLWETHER GARDEN SUPPLY A. Learning Objectives, page 5 (page numbers refer to the textbook). B. Mouse and Keyboard Basics, page 5 1. Using the Mouse, page 6 2. Using the Keyboard, page 6 3. Using Shortcut Keys, pages 6-7

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C. SCA's Startup Window, pages 7-8 D. The Windows Interface, pages 8-10 E. Typical SCA Windows, pages 11-13 F. The Sample Company: Bellwether Garden Supply, page 14 G. Getting Started, pages 14-16 H. Display Product Information, pages 16-18 I. Setting Global Options, pages 18-19 J. Sage 50's User Interface, page 20 K. Chart of Accounts, pages 21-22 L. Backing Up Bellwether Garden Supply, pages 22-26 M. Copying the BCS Folder to a CD-RW or DVD-RW Drive, pages 26-28 N. Using Windows Explorer, pages 28-29 O. Using Sage 50’s Restore Wizard, pages 29-33 P. Menu Bar, pages 33-37 Q. Becoming an Employee of Bellwether Garden Supply, pages 37-40 1. Adding Yourself as an Employee, pages 40-41 R. Back Up Chapter 1 Data, pages 41-42 S. Add Your Name to Reports, page 43 1. Troubleshooting (A): Why does the Directory field change?, page 44 2. Troubleshooting (B): Why do I get a Sage 50 Add-on message?, page 45

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T. Exporting Sage 50 Reports to Microsoft Excel, pages 45-47 U. Saving Employee List as an Adobe PDF File, pages 47-48 V. Manual vs. Computerized Accounting, pages 48-50 W. Online Learning Center (OLC): pages 50-51 Go online to www.mhhe.com/yacht2013, Student Edition, Select Chapter 1 1. Quizzes: Multiple Choice and True/False. 2. QA Templates: True/Make True questions and Analysis Questions 3. Feature Quizzes: Review user interface, business process, and accounting principles. 4. Videos: Global Options, Backup, Restore 5. Narrated PowerPoints 6. Going to the Net: Accounting career research 7. Assessment Rubric: review user interface, modules, journal entries, tasks, and reports. The OLC also includes links to the Appendixes:    

Appendix A: Troubleshooting Appendix B: Accounting Information Systems Appendix C: Review of Accounting Principles Appendix D: Glossary of Terms (words that are boldfaced and italicized in chapter)

X. Exercise 1-1, page 51 Y. Exercise 1-2, pages 51-52 Z. Chapter Index, pages 53-54

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SOLUTION TO EXERCISE 1-1 Students are asked to restore the Chapter 1.ptb file. This backup was made on textbook pages 41-42. After restoring data, students continue with Exercise 1-2. SOLUTION TO EXERCISE 1-2 (1)5 Students add the following new employee: Employee ID: Name: Address: City, ST Zip:

MWOOD Matthew Wood 3132 East Peachtree Blvd. Atlanta, GA 30307

The directions for adding a new employee are on textbook page 37-41, Becoming an Employee of Bellwether Garden Supply. Students are also reminded to back up Exercise 1-2. The suggested file name is Exercise 1-2.ptb. The Employee List is shown below. (Employees & Payroll Tasks; select , View and Edit Employees.)

The number in parenthesis refers to the step number in the textbook.

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SOLUTION TO EXERCISE 1-2 (2) – Employee List

In Chapter 1 and Exercise 1-2, students added two employees: their first and last name (shown as CYACHT, Yacht, Carol, above), and MWOOD, Wood, Matthew).

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ANSWERS TO GOING TO THE NET6 Access the Welcome to Careers in Accounting website at http://www.careers-in-accounting.com/. Read the article Welcome to Careers in Accounting. 1. List four activities that accountants engage in (not including recording transactions and preparing financial statements). Accountants engage in a wide variety of activities besides preparing financial statements and recording business transactions including computing costs and efficiency gains from new technologies, participating in strategies for mergers and acquisitions, quality management, developing and using information systems to track financial performance, tax strategy, and health care benefits management. 2.

Approximately how many people join public accounting firms each year? Over 20,000 people join public accounting firms in entry level jobs each year.

What key factors contribute to being hired as an accounting? Key hiring factors are major in college, communication skills and your grades.

Access Sage’s North American website at http://na.sage.com; select the Product and Services tab. 1. List Sage’s start-up and small business accounting software products. Include former name. Sage One Sage 50-U.S. Edition (formerly Sage Peachtree) Sage Simply Accounting (becoming Sage 50-Canadian Edition) 6

The textbook website at http://www.mhhe.com/yacht2013 has a link to Textbook Updates. Check this link for updated Going to the Net exercises.

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2. List Sage’s midsized and large business Accounting and Enterprise Resource Planning solutions. Include the former name. Midsized Businesses: Sage 100 Contractor (formerly Sage Master Builder) Sage 100 ERP (formerly Sage ERP MAS 90 and 200) Sage 100 Fund Accounting (formerly Sage Fund Accounting) Sage 300 Construction and Real Estate (formerly Sage Timberline Office) Sage 300 ERP (formerly Sage ERP Accpac) Sage 300 Trade Specialty (Formerly Sage Timberline Enterprise) Sage Estimating (formerly Sage Timberline Estimating) Larger Businesses: Sage 500 ERP (former Sage ERP MAS 500) Sage ERP X3 3. To learn more about the name change from Peachtree to Sage 50, go online to http://na.sage.com/sage-50-accounting-us/lp/BecomingSage50/?isnow=sage50us ANSWERS TO TRUE/MAKE TRUE QUESTIONS, CHAPTER 1 The Online Learning Center (www.mhhe.com/yacht2013) has a link to QA Templates which includes the chapter questions and chapter analysis questions. 1.

2. 3.

If the menu bar shows an underlined letter, hold down the <Ctrl> key and that letter to make a selection. If the menu bar includes an underlined letter, hold down the <Alt> key and the underlined letter to make a selection. Sage 50’s modular design is similar to other accounting software applications. True. Sage 50’s Restore Wizard allows you to restore existing companies only. There are two options when restoring Sage 50 backup files: 1) restore An Existing Company, or 2) restore A New Company. (See the Read Me box on page 18 - IMK for more information; this is also shown on textbook page 29.)

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4. 5. 6.

7. 8. 9.

10.

Chapter 1

The extension used for Adobe files saved in this chaptr is .xlsx. The extension used for Adobe files is .pdf not .xlsx. (.xlsx is the extension used for Excel 2007 and 2010 files) In this book, angle brackets are used to indicate individual keys on the keyboard; for example <Tab>. True. You can close the application you are working with by single clicking with the mouse on the close button ( ). True. The Business Status Navigation Center is also called the dashboard. True. In SCA, some icons are common to all windows while other icons are specific to a particular window. True. The Navigation Bar is located at the bottom of most Sage 50 windows. The Navigation Bar is located on the left side of most Sage 50 windows. The extension used for Sage 50 backups is .pdf. The extension used for Sage 50 backups is .ptb. (.pdf is the extension used for Adobe files.)

ANSWER TO ANALYSIS QUESTIONS 1.

How many active menu bar selections does Sage 50 Complete Accounting 2013 have? List the menu bar selections that are available. SCA has 10 active menu bar selections which include: File, Edit, Lists, Maintain, Tasks, Analysis, Options, Reports & Forms, Window, Help.

What is the Navigation Bar? Briefly describe its function. Sage 50’s Navigation Bar includes seven selections: Business Status, Customers & Sales, Vendors & Purchases, Inventory & Services, Employees & Payroll, Banking, and System. These selections open the Navigation Center pages.

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ASSESSMENT RUBRIC Complete the Assessment Rubric online at www.mhhe.com/yacht2013; Student Edition, select Chapter 1, Assessment Rubric link. To review Sage 50's journals, navigation centers, modules, and task windows, and reports complete the blank fields online. The assessment rubrics are also included in the chapter PowerPoint slides. Chart of Accounts or Account List Navigation Bar/Navigation Center Business Status, link to View Account List

Account ID 10200 11000 14000

Description Regular Checking Account Accounts Receivable Prepaid Expenses

15500

Buildings

20000

Accounts Payable Common Stock

39003 40000-AV 50000-AV 57500

Sales - Aviary Product Cost Aviary Freight

Type Cash Accounts Receivable Other Current Assets Fixed Assets Accounts Payable Equity-does not close Income Cost of Sales Expenses

Running Balance $23,389.83 $175,383.01 $14,221.30 $185,500.00 ($80,626.01)* ($5,000.00) ($51,652.86) $20,821.45 $50.00

*Parentheses indicate a credit balance. ONLINE LEARNING CENTER: http://www.mhhe.com/yacht2013 The Online Learning Center includes additional student and instructor resources for each chapter. Go online to http://www.mhhe.com/yacht2013 to see some of the resources for students and instructors. To obtain the password for the Instructor Edition, contact your McGraw-Hill sales representative (http://catalogs.mhhe.com/mhhe/findRep.do). The Online Learning Center works similarly in each chapter. In the

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information below, Chapter 1’s OLC is used as an example. Information Center 1. After going online to http://www.mhhe.com/yacht2013, the following Information Center links are included.             

Academic Site License About the Author Book Preface What's New Feature Summary Sample Chapter Supplements Table of Contents Conference Schedule Troubleshooting (Appendix A) Frequently Asked Questions Install Sage 50 17th Edition

2. You may want to look at the Troubleshooting and Frequently Asked Questions. Student Edition 1. The Student Edition link includes a Choose a Chapter field. Select Chapter 1. Quizzes and More Resources populate. 2. The Course-wide Content for each chapter includes the following links: o Accounting Information Systems (Appendix B) o Accounting Principles Review (Appendix C) o Glossary (Appendix D) o Videos - This is a link to Sage 50 software videos. o Text Updates - Check this link for textbook updates. o Practice Set: This is a source document practice set. It includes merchandising business documents which are best completed after Chapter 15.

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3. The Quizzes for each chapter include: o Interactive multiple choice quizzes. They are graded and can be emailed to the instructor. o Interactive true or false quizzes. They are graded and can be emailed to the instructor. 4. More Resources includes the following links. o QA Templates include the end-of-chapter True/Make True, Multiple Choice, and Short Answer questions in the textbook's Summary and Review section. The QA templates also include the end-of-chapter analysis questions. Students can open or save the QA Templates Word file, then attach answers to their instructor. o Feature Quizzes include a review of the user interface, accounting principles and business processes. The feature quizzes provide immediate feedback to each answer. o Videos include step-by-step videos showing Sage 50 features. They can be viewed using an Internet browser, iPad, or iPod. In Chapter 1 the videos are Global Options, Backing up, and Restoring data. o PowerPoint Presentations for each chapter. o Going to the Net Exercises are shown in the Summary and Review section of the textbook. o Assessment Rubric are also in the Summary and Review section of the textbook. They can be completed online and emailed to the instructor for grading purposes. Instructor Edition The instructor Edition is password-protected. In order to obtain a password, contact your McGraw-Hill sale representative http://catalogs.mhhe.com/mhhe/findRep.do. Once you are registered for the Instructor Edition site, numerous resources are available. 1. In the Choose a Chapter field, select Chapter 1. This populates the Instructor Resources, Course-wide Content, Quizzes, and More Resources lists. 2. The Instructor Resources list includes the following links:  Email Author

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

 

Chapter 1

Install Sage 50 Academic Site License (for multi-user Sage 50 version) Syllabi: 12 and 15-week syllabi for on-ground classes, syllabi for online classes, an Accounting Information System and Sage 50 syllabus, and a QuickBooks and Sage 50 syllabus. Instructor's Manual: The Instructor's Manual includes Learning Objectives, Sage 50 Tips, printouts of Sage 50 reports, answers to analysis questions, answers to assessment rubrics, and endof-chapter exercises. Additional material is also included in the front matter and appendixes. The Instructor's Manual is a PDF file and all of it or parts can be printed. Solution Files and Sage 50 Backups: These are all the files backed up in the book -- Chapters 1-18, Projects 1, 2, 3, 4 and the practice set. The .ptb backup files are zipped and need to be extracted using WinZip. Adobe PDF Files: These are the Sage 50 reports saved as PDF files. Excel Reports: These are the Sage 50 reports saved as Excel files. The file extension is .xlsx. If you are using Excel 2003, Excel 2007 files can be opened after you download Microsoft’s compatibility pack. This website, http://support.microsoft.com/kb/923505, includes information about how to install the Microsoft Office Compatibility Pack so that you can use earlier versions of Excel, PowerPoint, and Word to open and to save files from 2007 and 2010 Office programs.

 

Instructions: This is a Word file that explains how to use the Online Learning Center's password-protected Instructor Edition and the Instructor's Resource CD, ISBN No. 007763201X. QA Templates Answers: This includes the answers to the Summary and Review true/make true, multiple choice, and shortanswer questions and Analysis Questions. The QA Template Answers are also included in the Instructor's Manual. Test Bank: A test bank includes multiple-choice and true/false questions that are written for Chapters 1-18. These are additional objective questions and have not been used before. Text updates: Check this link for updates to the textbook.

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

Assessment Rubric Answers: There is an Assessment Rubric chart at the end of each chapter. This link shows the completed rubric. The Assessment Rubric Answers are also included in the Instructor's Manual.  Practice Set: This is a source document practice set for a merchandising business. It could be used after Chapter 15. 3. Course-wide Content includes these links.  Glossary  Videos  Text Updates  Practice Set 4. Select Chapter 1 and additional resources are available:  Instructor Resources: Chapter 1's Instructor's Manual and PowerPoint Presentation.  Quizzes: Interactive Multiple Choice and True False quizzes.  More Resources: QA Templates, Features Quizzes, Videos, PowerPoint Presentations, Going to the Net, and Assessment Rubric. SOLUTION FILES The Solution Files are located at http://www.mhhe.com/yacht2013; Instructor Edition link. For a username and password for the Instructor Edition website, contact your McGraw-Hill sales representative. To locate your sales representative, go online to http://catalogs.mhhe.com/mhhe/findRep.do. The Solution Files are also included on the Instructor Resources CD (ISBN 007763201X). There are a couple ways to use the Solution Files: 1. The Solution Files could be used as starting data. The chart on textbook page 2 shows the page number where each Part 1 (Chapters 1 through 8) backup is completed. For example, let’s say you want students to complete Chapters 1, 2, and 3, but skip Chapters 4 and 5. Students could restore the Exercise 5-2.ptb solution made on textbook page 188 to continue with Chapter 6 on page 191. 2. If students need help with their work, have them restore the

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appropriate solution file. Appendix B, How to Use the Solution Files, on pages 475 - IMK - 478 - IMK includes detailed steps for using the solution files completed in Chapters 1-18 and Projects 1-4. The chart on the next page shows the Chapter 1 backups (.ptb), Excel files (.xlsx), and files saved Adobe (.pdf). Backup (.ptb) Chapter Excel (.xlsx) and Adobe (.pdf) 1 bgs.ptb8 Chapter 1.ptb Chapter 1_Employee List.xlsx Chapter 1_Employee List.pdf Exercise 1-2.ptb Exercise 1-2_Employee List.xlsx Exercise 1-2_Employee List.pdf Exercise 1-2_Chart of Accounts.xlsx Exercise 1-2_Chart of Accounts.pdf

Kilobytes7 3,540 KB 3,594 KB 14 KB 68 KB 3,575 KB KB 7 KB 17 KB 13 KB

Textbook Page Nos. 23-25 41-42 45-47 47-48 52 52 52 52 52

Sage 50 backup files are identified with the extension .ptb; Excel 2007 and 2010 files include the extension .xlsx (.xls for Excel 2003); Adobe files include the extension .pdf.

Backup file sizes may differ. This is the first backup and includes starting data for Bellwether Garden Supply.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

CHAPTER 2 VENDORS Chapter 2 introduces students to the basic way that SCA works with vendor transactions. The first thing the students do is select from the Navigation Bar to go to the Vendors & Purchases Navigation Center. After recording a purchase order, students record a vendor invoice using the Purchases/Receive Inventory window. The Purchases/Receive Inventory window is also the Purchase Journal. The Apply to Purchases tab is the default. The lower half of the window shows fields for Quantity, Item (inventory items), Description, GL Account, Unit Price, Amount, and Job. The default for the A/P Account is 20000, Accounts Payable. The Purchases/Receive Inventory window looks like a purchase order. Similar to other SCA windows, the icon bar appears at the top of the window. When Bellwether Garden Supply orders and receives inventory from vendors, Account No. 12000, Inventory, is debited. Accounts Payable and the vendor account are credited. Vendors offer Bellwether a purchase discount for invoices paid within the discount period. The program defaults to 2% 10, Net 30 Days for purchase discounts. Sage 50 is a double-entry accounting system. There is a selection in Options; Global that allows general ledger accounts to be hidden. This is called Accounting Behind the Screens. The SCA windows in the textbook show the general ledger accounts. To check the Accounting Behind the Screens settings, do the following: 1. From the menu bar, click Options, then Global. The Accounting tab should be selected. If necessary, click on the radio button next to Manual to select it. The Number of decimal places should be 2.

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2. The boxes in the section Hide General Ledger Accounts must be unchecked. (If necessary, click on the boxes to uncheck them.)

3. Observe that two boxes need to be checked in the Other Options section: Warn if a record was changed but not saved and Recalculate cash balance automatically in Receipts, Payments, and Payroll Entry. Make sure both of these Other Options boxes are checked. 4. Click on the General tab. Make sure the Line Item Entry Display has 2 Line selected; and that the Smart Data Entry area has three boxes checked.

5. Click

LEARNING OBJECTIVES 1.

Restore data from Exercise 1-2. This backup was made on textbook page 52. (Refer to the Read me box on page 37 - IMK.)

Enter a purchase order.

Apply receipt of inventory to existing purchase order.

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Enter and post a vendor invoice in the Purchases\Receive Inventory window.

Go to the Payments window to pay a vendor.

Print a check in payment of the vendor invoice.

Add a Terms column to the Vendor Ledgers report.

Analyze payments and vendor credit memos.

Export the Vendor List and Vendor Ledgers to Excel.

10.

Save the Vendor List and Vendor Ledgers as PDF files.

11.

Make two backups, save two Excel files, and save four PDF files.1

Read Me: Do your students need to restore? If your students are completing their Sage 50 work in the computer lab or classroom, they should restore backup files from their USB drive (or other location). In order for the student to start where they left off the last time data was backed up, use the restore feature. If students are working on their own computer or laptop, they probably can skip restore. For example, in Chapter 2 students added the vendors, Armenta’s Landscaping and Office Supplies & More. The Vendor Ledgers report should show a zero balance for both Armenta’s Landscaping and Office Supplies & More, Students should display the Vendor Ledgers to make sure they are starting in the correct place in the data. If the two vendors were added, and their balances are zero, students could continue work without restoring. If students are taking this course online, they probably do not have to restore each time it is shown in the textbook. Their PCs or laptops will accumulate Sage 50 data as they work through the book. The author suggests that students restore periodically. What should the instructor do? You may want to include in your syllabus whether or not you want students to restore backup files each time it is shown in the textbook. It may depend on whether students are working onground in the classroom or online on their own computers. Backing up data is important. The author suggests students back up their data as shown in the textbook. Having a backup file insures that students could start at an earlier point in the data, if needed.

Refer to the chart on page 2 - IMK for the size of backups and saved Excel and PDF files.

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SCA TIPS, CHAPTER 2

 If the Purchase Orders, Purchases/Receive Inventory, Payments, or Sales/Invoicing windows do not show the general ledger accounts for the accounts payable, accounts receivable, and GL account fields, your students need to check their global settings. To show general ledger accounts on the Payments window and Purchases/Receive Inventory window, see textbook pages 18–19 (Chapter 1, Setting Global Options) and textbook pages 60-61 (Chapter 2). The Vendor windows (Purchase Orders, Purchases/Receive Inventory, and Payments) and Customer windows (Sales Orders, Sales/Invoicing and Receipts) in Computer Accounting with Sage 50 Complete Accounting 2013, 17th Edition, show the accounts payable, accounts receivable, and G/L account fields.  Sage 50 includes the special journals; for example, the Payments window is the Cash Disbursements Journal; the Purchases/Receive Inventory window is the Purchase Journal.  Once global options are set for one company, they are in effect for all Sage 50 companies. In Chapter 3, Customer Transactions, if the Receipts or Sales/Invoicing window does not show a G/L account field, students should check that the global options are set correctly.  In Windows 7 and Vista, the computer owner is identified when files are backed up or saved. To see which user saved the file, right-click on the Start button, left-click Open Windows Explorer, or Explore (Vista). Go to the location of the backup file; right-click on the filename, leftclick Properties. The Security tab shows the Group or user names; the Details tab shows the Owner and Computer name. The time and date is also shown. The same steps can be used to check .ptb files (extension used for Sage 50 backups); Excel files (.xlsx and .xls extensions); and Adobe files (.pdf extensions), and Word files (.docx and .doc extensions). To verify student files, you may want to look at the file properties. LECTURE OUTLINE FOR CHAPTER 2: VENDOR TRANSACTIONS A. Learning Objectives, page 55 (page numbers refer to the student textbook). B. Getting Started, page 56

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C. Restoring Data from Exercise 1-2, pages 56-57 D. Accounts Payable System, pages 57-60 1. 2. 3. 4. 5. 6. 7. 8. 9. 10.

The Purchase Order Window, page 60 Changing Global Settings for Accounting Behind the Screens (and recording a purchase order), pages 60-64 Printing Purchase Orders, pages 64-66 Receive Inventory from a Purchase Order, pages 66-68 Apply to Purchase Order, pages 68-69 The Purchases\Receive Inventory Window, pages 69-70 Adding a New Vendor, pages 71-73 Entering a Vendor Invoice, pages 73-74 Editing a Journal Entry, page 74 Posting a Purchase Transaction, page 75

E. Vendor Payments, pages 76-78 F. Printing Checks, pages 78-81 G. Displaying the Vendor Ledgers, pages 81-82 H. Vendor Credit Memos, pages 82-84 I. Backing Up Chapter 2 Data, page 85 J. Export Two Sage 50 Reports to Excel, pages 85-87 K. Save Vendor List and Vendor Ledgers as PDF Files, pages 87-88 L. Online Learning Center, page 88 Complete the following end-of-chapter activities online at www.mhhe.com/yacht2013; select the Student Edition, Chapter 2. 1. Interactive Multiple-Choice and True/False questions. 2. Going to the Net exercise: Internet Corporation for Assigned Names and Numbers. 3. Feature Quiz: review user interface and accounting principles. 4. QA Templates: 10 multiple-choice questions and one analysis question. The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

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5. Assessment Rubric: review journals, navigation centers, modules, and task windows. 6. Listen to narrated PowerPoint slides. The OLC also includes links to the Appendixes:    

Appendix A: Troubleshooting Appendix B: Accounting Information Systems Appendix C: Review of Accounting Principles Appendix D: Glossary of Terms (words that are boldfaced and italicized in chapter)

M. Exercise 2-1, page 89 N. Exercise 2-2, pages 89-90 O. Chapter 2 Index, page 91 SOLUTION TO EXERCISE 2-1 (3)2

The number in parentheses refers to the instruction number in the textbook.

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SOLUTION TO EXERCISE 2-1 (4)

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Chapter 2

SOLUTION TO EXERCISE 2-2 (1)

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SOLUTION TO EXERCISE 2-2 (3)

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Chapter 2

SOLUTION TO EXERCISE 2-2 (4)

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SOLUTION TO EXERCISE 2-2 (4) (Concluded)

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Chapter 2

SOLUTION TO EXERCISE 2-2 (5)

NOTE: The Check Your Figures on textbook page 90 shows the amounts for the two purchase orders shown in Chapter 2, page 65 (Purchase Order No. 101) and page 67 (Purchase Orders window, PO No. 10300).

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EXPORT TWO SAGE 50 REPORTS TO EXCEL Textbook pages 85-87 shows detailed steps for exporting two Sage 50 reports to one Excel file. When exporting more than one report to Excel, select Add a new worksheet to an existing Microsoft Excel workbook on Sage 50’s Copy Report to Excel window. Then, browse to the location of the appropriate file. The Copy Report to Excel window is shown at the top of textbook page 87 (below step 8, textbook page 86).

In Chapter 2, the two Sage 50 reports, The Vendor List and Vendors Ledgers, are exported to one Excel file. The file name is Exercise 22_Vendor List and Ledgers.xlsx. (Excel 2003 files end in the extension, .xls.) VENDOR LEDGERS AND PURCHASE ORDER REGISTER SAVED AS A PDF FILES In Exercise 2-2, students save the Vendor Ledgers and Purchase Order Register as PDF files.

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Chapter 2

ANSWERS TO GOING TO THE NET3 Access information about the Internet Corporation for Assigned Names and Numbers (ICANN) at http://www.icann.org/en/resources/registries/about. 1. What is a TLD and gTLD? The right-most label in a domain name (for example, www.icann.org) is referred to as its "top-level domain" (TLD). TLDs with two letters have been established for over 240 countries and external territories and are referred to as "country-code" TLDs or "ccTLDs." TLDs with three or more characters are referred to as "generic" TLDs, or "gTLDs." The responsibility for operating each gTLD (including maintaining a registry of the domain names within the gTLD) is delegated to a particular organization. These organizations are referred to as "registry operators" or "sponsors." 2. What gTLDs are operated under contract with ICANN? .aero, .biz, .cat, .com, .coop, .info, .jobs, .mobi, .museum, .name, .net, .org, .pro, and .travel; .gov and .edu are also available. 3. What types of gTLDs are there? Briefly explain sponsored and unsponsored gTLDs. Generally speaking, an unsponsored gTLD Registry operates under policies established by the global Internet community directly through the ICANN process. Unsponsored gTLDs include .biz, .com, .info, .name, .net, .org, and .pro. A sponsored gTLD (sometimes called an sTLD) is a specialized gTLD that has a sponsor representing a specific community that is served by the gTLD. The sponsor carries out delegated policy-formulation 3

The textbook website is http://www.mhhe.com/yacht2013; link to Textbook Updates. Check this link for updated Going to the Net exercises.

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responsibilities over many matters concerning the gTLD. Sponsored gTLDs include .aero, .cat, .coop, .jobs, .mobi, .museum, and .travel. Entities wishing to register domain names in a sponsored gTLD are required to meet certain eligibility requirements. ANSWERS TO MULTIPLE-CHOICE QUESTIONS, CHAPTER 2 1. 2. 3. 4. 5. 6. 7. 8. 9. 10.

a (The place specified for the USB drive) c (Purchase discounts) c (a or b) b (So that others working in your company can determine a vendor code from the company name.) d (To request items from a vendor) d (Is case sensitive) a (Maintain Vendors) a (Drill down) d (debit, Materials Cost; credit, Accounts Payable/Armenta's Landscaping) b (Credits & Returns; New Vendor Credit Memo)

ANSWER TO THE ANALYSIS QUESTION With the Vendors & Payables Navigation Center serving as the starting point to perform tasks related to Accounts Payable, list five Vendors & Purchases Tasks. Briefly describe the Vendor Management tab. ANSWER: The Vendors & Purchases Navigation Center displays information and access points related to the company’s vendors and purchases. 1) The Vendors & Purchases Tasks provides a graphic representation of the flow of vendor-related tasks, as well as access to those tasks. It also provides access to windows where you enter/maintain vendor information. The Vendors & Purchases workflow diagram is shown on the next page.

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2) A summary of vendor information; for example, link to View Detailed List. 3) Access to vendor reports. For example, a link to View All Vendor & Purchases Reports. 4) An overview of the company’s aged payables. You can also link or drill down to various areas. 5) Sage 50 solutions include drill down to Checks & Forms and Online Bill Pay. 6) On the Vendor Management tab, you can see lists of information regarding transactions and history for a particular vendor, including purchase orders, purchases, and payments. This is where you want to go to see information about a particular vendor.

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ANSWER TO THE ASSESSMENT RUBRIC Date Transaction 3/15/13 Invoice No. H788 was received from Office Supplies & More for the purchase of five boxes of letter-size file folders, $10.95 each. 3/18/13 Pay Office Supplies & More for Invoice H788, $53.65

Navigation Journal Center/Module Task window Dr./Cr. Purchases/Receive Purchase Journal Vendors & Inventory Purchases; Dr. 71000, Office Enter Bill, New Expense, $54.75 Bill Accounts Payable Vendors & Purchases; Pay Bills, Pay Bill

Payments

Accounts Payable

Cr. 20000, A/P, Office Supplies & More, $54.75 Cash Disbursements Journal Dr. 20000, A/P, Office Supplies & More, $54.75 Cr. 89500 Discounts Taken, $1.10 Cr. 10200, Regular Checking Account, $53.65

SOLUTION FILES: .ptb, .xlsx, .pdf The password-protected Instructor Edition website at http://www.mhhe.com/yacht2013 includes solutions saved in these formats: 1. Solution Files_Sage 50 backups. Chapter and exercise backups end in the extension .ptb. 2. Adobe PDF Files: Files saved as PDFs. 3. Excel Reports – Files saved as Excel, .xlsx extensions.

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The solution files, in .ptb, .pdf, and .xlsx formats, are also included on the Instructor’s Resource CD (ISBN No. 007763201X). The chart below shows the Chapter 2 solution files. Chapter 2

Sage 50 Backup (.ptb) Excel (.xlsx) and Adobe (.pdf) Chapter 2.ptb Chapter 2_Vendor List and Vendor Ledgers.xlsx Chapter 2_Vendor List.pdf Chapter 2_Vendor Ledgers.pdf Exercise 2-2.ptb Exercise 2-2_Vendor List and Vendor Ledgers.xlsx Exercise 2-2_Vendor Ledgers.pdf Exercise 2-2_Purchase Order Register.pdf

Kilobytes4 3,715 KB 21 KB

Page Nos. 85 85-87

53 KB 82 KB 3,703 KB 21 KB

87 88 90 90

68 KB 51 KB

90 90

ONLINE LEARNING CENTER: www.mhhe.com/yacht2013, Instructor Edition To obtain a username and password for the Instructor Edition, contact your McGraw-Hill sales representative. To find your sales representative, go online to http://catalogs.mhhe.com/mhhe/findRep.do. The Instructor Edition link includes answers to the following OLC student activities:         

QA Templates answers (includes answers to a link to the chapter questions and analysis questions. Assessment rubric answers. Suggested syllabi for online and onground classes. Test bank for each chapter. Instructor’s Manual Bellwether Garden Supply Project (to be completed after Chapter 7) Practice Set (after Chapter 15; source documents, merchandising business) Email author link Links to email author, academic site license, solution files (.ptb, xlsx, and pdf)

Backup sizes may differ.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

CHAPTER 3 CUSTOMERS Chapter 3 introduces the student to the basic way that SCA works with customer transactions. Students learn about quotes and sales orders, and how the information entered into customer maintenance windows is used when entries are posted. For example, in the Maintain Customer window, a range of days is set within which a customer can receive a discount and a discount percentage is set. This information will print on sales invoices. The discount is automatically applied when the customers pay within the allotted time. The students can see an overview of all outstanding invoices via the Collection Manager in the Analysis menu. LEARNING OBJECTIVES 1.

Restore data from Exercise 2-2. This backup was made on textbook page 90. (Read me box below is on textbook page 56, Do I need to restore?) The Read Me box below uses the Chapter 1.ptb and Exercise 12.ptb backups as an example. This information can be applied to Chapters 2 and 3, too. In Chapter 3, the disk icon , where students check their place in the data, is on textbook page 94. Read Me: Do I need to restore? You may be able to skip restore. In Chapter 1 (page 40) and Exercise 1-2 (page 51), you

added two employees. Refer to the disk icon to make sure you are starting with the work completed in Chapter 1 and Exercise 1-2. If your employee list and Regular Checking Account’s balance agrees with Exercise 1-2, you can skip Restore. Go to the next section, Accounts Payable Tasks. If you are working in the computer lab or classroom, restore the Exercise 1-2.ptb file from your USB drive. Detailed steps are shown on pages 29-32, Using Sage 50’s Restore Wizard.

Go to the Customers & Sales Navigation Center to enter quotes and sales orders.

Enter a sales order.

Ship items from a sales order.

Enter customer terms.

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Record a sales invoice on the Sales/Invoicing window.

Print a sales invoice.

Analyze receipts and customer credit memos.

Post a receipt for previously invoiced amounts.

10.

Add a Customer Terms column to the Customer Ledgers report.

11.

Export Customer Ledgers to Excel.

12.

Save Customer Ledgers as a PDF file.

13.

Make two backups, save one Excel file, and save one PDF file.1

SCA TIPS, CHAPTER 3  If students are working on their own individual computers or laptops, they may not need to restore each time it is shown in the textbooks. As students work through the chapter work and exercises, Sage 50 accumulates the data on their computer.  If students are working in a computer lab or classroom, the author suggests that students restore data from their USB drive.  If the Sales/Invoicing window or Receipts window does not show the GL account field, see textbook page 18, step 1d, for setting global options.  Students need to record (enter the sale to a customer), post, then print Invoice No. 101 (see textbook pages 107-116) before they can enter receipts (textbook pages 117-120). LECTURE OUTLINE FOR CHAPTER 3: CUSTOMER TRANSACTIONS A. Learning Objectives, page 93 B. Getting Started, page 94 C. Accounts Receivable System, pages 94-97 1. Entering a Quote, pages 97-99 1

Refer to the chart on page 2 - IMK for the size of backups, and saved Excel and PDF files.

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2. Converting a Quote to a Sales Order, pages 100-101 3. Printing (or Displaying) a Sales Order, pages 101-103 4. Ship Items from a Sales Order, pages 103-104 D. The Maintain Customers/Prospects Window, pages 104-105 1. Entering a Discount for a Customer, pages 105-107 2. Entering a Sale to a Customer, pages 107-111 3. Distributing Against a Specific Account, pages 111-112 4. Discount Information, pages 112-113 E. Posting the Invoice, pages 113-114 F. Printing (or Displaying) Invoices, pages 114-117 G. Entering Receipts, pages 117-120 H. Analyzing Customer Payments, pages 120-123 I. Displaying the Customer Ledgers, pages 123-124 J. Credit Memos, pages 124-125 K. Backing Up Chapter 3 Data, page 126 L. Online Learning Center, page 126 Complete the following end-of-chapter activities online at www.mhhe.com/yacht2013; select the Student Edition, Chapter 3. 1. Interactive Multiple-Choice and True/False questions. 2. Going to the Net exercise: Internet Corporation for Assigned Names and Numbers. 3. Feature Quiz: review user interface and accounting principles. 4. QA Templates: 10 short-answer questions and one analysis question. 5. Assessment Rubric: review journals, navigation centers, modules, and task windows. 6. Listen to narrated PowerPoint slides. The OLC also includes links to the Appendixes:

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Chapter 3

Appendix A: Troubleshooting Appendix B: Accounting Information Systems Appendix C: Review of Accounting Principles Appendix D: Glossary of Terms (words that are boldfaced and italicized in the chapter)

M. Exercise 3-1, pages 126-127 N. Exercise 3-2, pages 127-128 O. Chapter index, page 129 SOLUTION TO EXERCISE 3-1 (3)

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SOLUTION TO EXERCISE 3-1 (4)

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SOLUTION TO EXERCISE 3-2 (1)

Students need to manually enter the appropriate discount: Invoice 102, $299.99 x .05 = 14.9995 (rounded up to 15.00) On the Receipts window, the Discount field shows 15.00.

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SOLUTION TO EXERCISE 3-2 (3)

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SOLUTION TO EXERCISE 3-2 (3) (Continued)

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SOLUTION TO EXERCISE 3-2 (3) (Concluded)

ANSWERS TO GOING TO THE NET Access the Financial Accounting Standards Board website at http://www.fasb.org. Select the About FASB tab; then Our People, then link to Members of the FASB. Answer these questions. 1. There are five members who serve on the Financial Accounting Standards Board full time. Board members are eligible for reappointments to one additional five-year term. (The URL for this information is http://www.fasb.org/cs/ContentServer?c=Page&pagename=FASB%2F Page%2FSectionPage&cid=1218220131802.) 2. Board members are required to sever all connections with the firms or institutions they worked for prior to joining the Board. They must possess knowledge of accounting, finance, and business, and a

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concern for the public interest in matters of financial accounting and reporting. ANSWERS TO SHORT-ANSWER QUESTIONS, CHAPTER 3 (Answers may vary.) 1.

What icon(s) can be used to display lookup lists? On some of Sage 50’s windows, the lookup icon is a down-arrow; on other windows it is a magnifying glass.

Describe three ways to open a lookup list. To open the list in any lookup field, do one of the following: a. Press the right mouse button while the cursor is in the lookup field. b. Enter a question mark <?> in the lookup field. c. Click on the magnifying-glass icon while the cursor is in the field.

If you want to look at a customer’s account, what window do you open? Describe the selections. Look at the Maintain Customers/Prospects window to view information about a customer. From the Navigation Bar, select the Customers & Sales button, then select Customers; View and Edit Customers. The Customer List window appears. Double-click on the appropriate customer. The Maintain Customers/Prospects window appears. (Or, select the Customers icon; New Customer. In the Customer ID field, click on the down-arrow. The customer list appears. Select the appropriate customer. The Maintain Customers/Prospects window appears.)

4. What is the customer identification for Teesdale Real Estale? TEESDALE. 5. What is the sales discount for Teesdale Real Estate? 5% 15, Net 30 Days

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6. What is the default discount for customers? 2% 10, Net 30 Days 7. Describe what happens when you use the Accounts Receivable subsidiary ledger. a. The Accounts Receivable controlling account in the General Ledger is increased by the amount of the credit sale. b. The credit to the applicable revenue account is offset by a debit to the Customer's account in the Accounts Receivable ledger. 8. When you want to print an invoice in SCA, what are the steps? From the menu bar, select Reports & Forms; Forms, Invoices and Packing Slips. Make sure Invoices and Packing Slips is selected in the Form Types list. In the Forms list, select the type of invoice you want to print. Complete the Preview and Print Invoices and Packing Slips window with the appropriate information. Make the selections to print. (Or, on the Customers & Sales Navigation Center, link to View All Customer & Sales Reports. Double-click on the Invoice Register. Double-click on the appropriate invoice. Print the invoice from the Sales/Invoicing window.) 9. How do you post a sales order to the controlling account in the general ledger and the customer subsidiary ledger? Open the Sales/Invoicing window and the appropriate sales order. When the shipped field is completed on the Sales/Invoicing window, an invoice is created with the appropriate sales tax and the amount of the sale. When the Sales/Invoicing window is posted (saved), accounting information is updated. That includes the accounts receivable controlling account in the general ledger, the customer’s subsidiary account in the customer ledger, and inventory amounts. 10. If you receive payment from a customer, what window do you use? When customer payments are received, the Receipts window is used.

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ANALYSIS QUESTION: With the Customers & Sales Navigation Center serving as the starting point to perform tasks related to Accounts Receivable, list five Customers & Sales tasks. ANSWER: The Customers & Sales Navigation Center includes two tabs: Customers & Sales and Customer Management. The Customers & Sales Navigation Center displays information and access points related to the company’s customers and sales. The Customers & Sales Tasks includes five sections. 1) Customers & Sales Tasks provides a graphic representation of the flow of customer-related tasks, as well as access to those tasks. The workflow diagram also provides access to windows where you enter/maintain customer, job, and sales tax information.

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2) Customers: A summary of customer information; for example, link to View Detailed List. 3) Recently Used Customer Reports: Access to customer reports. 4) Aged Receivables: An overview of the company’s aged receivables. You can also link or drill down to various areas. 5) Sage 50 Solutions: Links Checks & Forms, Product Feedback, Credit Card Service, and Time & Billing. ASSESSMENT RUBRIC Date 3/3/13

Transaction Bellwether Garden Supply sold one Rotary Mower EQLW-14140 to Teesdale Real Estate, Invoice 102, $299.99; plus $18 sales tax.

Navigation Center/Module Customers & Sales, Sales Invoices, New Sales Invoice

Task Window Sales/ Invoicing

Journal Dr./Cr. Sales Journal Dr. 50000-EQ Product CostEquipment, $139.95

Accounts Receivable

Dr. 11000 Accounts Receivable/Teesdale Real Estate, $317.99 Cr. 23100, Sales Tax Payable 18.00 Cr. 40000-EQ SalesEquipment, $299.99

3/15/13

Received Check No. 9915 in the amount of $302.99 from Teesdale Real Estate.

Customers & Sales; Receipts, Receive Money, Receive money from customer Accounts Receivable

Receipts

Cr. 12000, Inventory, $139.95 Cash Receipts Journal Dr. 49000 Discounts Taken, $15.00 Dr. 10200 Regular Checking Account, $302.99 Cr. 11000 Accounts Receivable, $317.99

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Sage 50 Backup (.ptb) Excel (.xlsx) and Adobe (.pdf) Chapter 3.ptb Exercise 3-2.ptb Exercise 3-2_Customer Ledgers.xlsx Exercise 3-2_Customer Ledgers.pdf

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If you would like to start students later in the chapter, have them restore one of the solution file backups. The Solution Files link on the Instructor Edition website (www.mhhe.com/yacht2013; Instructor Edition) includes all the Sage 50 backups completed in the textbook. Or, use the .ptb backup files for students who need correct data because their file includes mistakes.

Backup sizes may differ.

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CHAPTER 4 EMPLOYEES In Chapter 4, your students learn how SCA processes payroll. Once default and employee maintenance information is set up, payroll is a simple process. The first step in setting up payroll is to go to the Navigation Center. Then, make the selections to set up payroll defaults. The diagram below describes SCA’s payroll process.

Employees

Set up Employee Defaults

Select employees

Enter tax information and define payroll fields

Employee Maintenance

Select employees/sales reps

Set up employee rates and special deductions

Record transaction

Select payroll entry

Enter employee paycheck information for a specific pay period

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LEARNING OBJECTIVES 1.

Restore data from Exercise 3-2. (This backup was made on page 128.)

Enter and store information using the Maintain Employees/Sales Rep window.

Set up default information for payroll.

Store information about payroll payment methods.

Transfer funds from the regular checking account to the payroll checking account.

Enter paychecks in the Payroll Entry window.

Print employee paychecks.

Make two backups, save one Excel file, and save one PDF file.

SCA TIPS, CHAPTER 4  If Bellwether Garden Supply - Student Name does not open, or is not shown on the Company Name list, restore A New Company. To restore A New Company, refer to the Read Me box on textbook page 29. To see the window below, go to the startup window. Select Open an existing company. To make sure Bellwether is not listed, click . Some computer labs delete company folders so students may need to restore their backup file.

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 If students are working in the classroom or computer lab, they should restore the Exercise 3-2.ptb backup file from their USB drive. This backup was made on textbook page 128. Chapters include a disk icon which has students check the appropriate point in their data. In Chapter 4, the disk icon is shown on textbook pages 134-135. An example is shown below. To make sure you are starting in the appropriate place in the data (Exercise 3-2.ptb backup) check the account balance for Teesdale Real Estate. (In the Customer Ledgers, Teesdale’s balance is $12,816.54.)  To verify data, students who are working on their own laptop or PC may want to restore periodically.  The form selected for printing checks is tied to the kind of printer students use. Students may need to make a different selection depending on their printer. The paychecks shown in the textbook on pages 147 and 148 are OCR Multi-Purpose PR Laser; a different Form to Print may be selected. See the screen illustration below step 8, page 147. The Use this form field has other selections. LECTURE OUTLINE FOR CHAPTER 4: EMPLOYEES A. Learning Objectives, page 131 B. Getting Started, pages 134-135 C. Default Information, pages 135-138 D. Employee Maintenance, pages 138-140 E. Payroll System, page 140 1. Transferring Cash to the Payroll Checking Account, pages 140-142 2. Payroll Entry for a Salaried Employee, pages 142-144 3. Payroll Entry for an Hourly Employee, pages 144-145 4. Printing Payroll Checks, pages 146-149 F. Journal Entry for Payroll, page 149

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G. Backing Up Chapter 4 Data, page 149 H. Online Learning Center, page 150 Complete the following end-of-chapter activities online at www.mhhe.com/yacht2013; select the Student Edition, Chapter 4. 1. Interactive Multiple-Choice and True/False questions. 2. Going to the Net exercise: Access the All Accounting Careers website. 3. Feature Quiz: review user interface and accounting principles. 4. QA Templates: 10 short-answer questions and two analysis questions. 5. Assessment Rubric: review journals, navigation centers, modules, and task windows. 6. Listen to narrated PowerPoint slides. The OLC also includes links to the Appendixes:    

I. Exercise 4-1, page 150 J. Exercise 4-2, page 151 K. Chapter 4 Index, page 152 SOLUTION TO EXERCISE 4-2 (3) The form selected for printing paychecks is tied to the kind of printer being used. Students may need to make a different selection depending on the model of the printer. Your students’ checks will print on plain paper. The form used for checks is OCR Multi-Purpose PR Laser. The top portion of Check Nos. 1296 and 1297 are shown on the next page.

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SOLUTION TO EXERCISE 4-2 (4)

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Solution to Exercise 4-2 (4) (Concluded)

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GOING TO THE NET Access the All Accounting Careers website at http://allaccountingcareers.com/ . 1. According to the Bureau of Labor Statistics, how much is the field of accounting expected to grow? 16% 2. What do accounting salaries look like, and which industries hire accountants?

3. Do accounting salaries differ? Accounting salaries can differ by your position and your career path. A lot of people with an accounting degree start work in an entry level position and work their way up the chain to the highest ranking accounting positions. As accounting careers differ in ways so does the accounting salary.

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ANSWERS TO SHORT-ANSWER QUESTIONS, CHAPTER 4: (Answers may vary.) 1. Draw the SCA diagram that shows how payroll accounting is done.

Employees

Set up Employee Defaults

Select employees

Enter tax information and define payroll fields

Employee Maintenance

Select employees/sales reps

Set up employee rates and special deductions

Record transaction

Select payroll entry

Enter employee paycheck information for a specific pay period

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When setting up payroll defaults, what is the first step? The first step in setting up payroll is to go to the Employees & Payroll Tasks area, then select Employees, Set Up Employee Defaults. The Employee Defaults window appears. From there defaults can be set up.

Identify the five tabs on the Employee Defaults window. The five tabs on the Employee Defaults window are: General, Employee fields, Company Fields, Review Ratings, and Employment Status.

What is the maintain Employees/Sales Reps window used for? On the Maintain Employees/Sales Rep window, you enter information for each employee.

What do the check marks in the Calc column of the employee deaults indicate? Explain. The check marks indicate that common deductions, such as Federal Income Tax, Social Security and Medicare, and State Income Tax, will be calculated automatically. These deductions are calculated according to the appropriate tax tables.

What is the difference in the appearance of the Payroll Entry window for an hourly employee and a salaried employee? Explain. For an hourly employee, the Payroll Entry window shows a list of Hourly Fields in the Hours Worked table: Regular, Overtime, and Special. For a salaried employee, there are three salary fields in the Salary Amounts table: Salary, Bonus, and Commission.

Why do the employee deductions display as negative amounts on the Payroll Entry window? The employee deductions display as negative amounts because they decrease the check amount.

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What are the gross pay amounts for Brandee M. Nunnley and for Drake V. Carter? Include Mr. Carterls overtime pay. The gross pay for Brandee M. Nunnley is $1,210.25. The gross pay for Drake V. Carter is $760.50.

What is the net pay for Brandee M. Nunnley and for Drake V. Carter? Include Mr. Carter’s overtime pay. The net pay for Brandee M. Nunnley is $1,051.48. The net pay for Drake V. Carter is 585.23.

10.

What happens when payroll entries are posted? When payroll checks are posted, the Cash Account that was entered in the Payroll Default window is automatically credited for the net paycheck amount. The employee salary expense account is debited for the gross amount of the check and any deductions used are credited.

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ANALYSIS QUESTIONS: 1. What pay methods does Bellwether Garden Supply use to pay employees? Briefly explain how you determine Bellwether’s pay method. The Pay Info tab on the Maintain Employees & Sales Reps window shows that Bellwether’s employees are paid Hourly – Hours per Pay Period and Salaried. Another way to determine the Pay Methods is to scroll through the Employees list on the Employees & Payroll Navigation Center. The Pay Method field shows the two pay methods—Hourly - Hours per Pay Period and Salary. 2. Are all employees paid the same way; for example, bi-weekly? No. Some of Bellwether’s employees are paid bi-weekly, others are paid weekly. To see how employees are paid, go to the Maintain Employees & Sales Reps window. Select the Pay Info tab. In the Employee ID field, select various employees. To determine when they are paid, look in the Pay Frequency field. For example, Amanda W. Chester is paid Bi-weekly; Al L. Duke is paid weekly.

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ANSWER TO ASSESSMENT RUBRIC Date 3/29

Transaction Record paycheck information for Derrick P. Gross.

Navigation Center/Module Employees & Payroll; Pay Employees, Enter Payroll For One Employee Payroll (or Employees and payroll system)

Task Window Payroll Entry window

Journal Dr./Cr. Payroll Journal Dr. Wages Expense, $1,346.15 Cr. Federal Payroll Taxes Payable, $55.38 Cr. Social Security, $83.46 Cr. Medicare, $19.52 Cr. State Payroll Taxes Payable, $48.15 Cr. 401 K Deductions Payable, $80.77 Cr. Payroll Checking Account, $1,058.87

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Sage 50 Backup (.ptb) Excel (.xlsx) and Adobe (.pdf) Chapter 4.ptb Exercise 4-2.ptb Exercise 4-2_Payroll Check Register.xlsx Exercise 4-2_Payroll Check Register.pdf

Kilobytes 3,810 KB 3,816 KB 13 KB 58 KB

Page Nos. 149 151 151 151

Backup sizes may differ.

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CHAPTER 5 GENERAL LEDGER, INVENTORY, AND INTERNAL CONTROL In Chapter 5, your students learn how to use the General Ledger Chart of Accounts. When a company is set up, the following initial steps are performed: set up a chart of accounts and enter beginning balances or budget amounts. In this chapter, students look at the sample company, Bellwether Garden Supply. In Parts 2 and 3 of the textbook (Chapters 918 and Projects 1 through 4A), students have an opportunity to set up 11 companies from scratch. Sage 50 includes over 75 sample companies to choose from on their chart of accounts selections. You can set up your own Chart of Accounts from scratch or select one of the sample companies’ Charts of Accounts. This chapter also shows your students how to use Sage 50's Inventory system. LEARNING OBJECTIVES 1. Restore data from Exercise 4-2. (This backup was made on textbook page 151.) 2. Use Sage 50’s help feature. 3. Enter a new account in the Chart of Accounts. 4. Look at Sage 50’s budget feature. 5. Record and post a General Journal entry to transfer funds. 6. Display the General Ledger Trial Balance. 7. Set up an Inventory Item. 8. Record an inventory adjustment. 9. Look at Sage 50’s internal controls, user security and access, and audit trail. 10. Make two backups, save one Excel file, and save one PDF file.

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SCA TIPS, CHAPTER 5

 On textbook page 156, the author suggested restoring the Exercise 42.ptb file (backup was made on page 151). Periodically, students should restore from their backup file.

 Sage 50 uses a perpetual inventory system. See textbook page 176 for a review of how Sage 50 journalizes the purchase and sale of inventory items.  In Chapter 5 on textbook page 185, an Audit Trail Report is shown. Observe that the Transaction ID column shows CYACHT in the Add, Maintain Employees & Sales Reps row; the Date and Time this entry was recorded is also shown. This information shows the employee added in Chapter 1, textbook page 40, Adding Yourself as an Employee. Students are instructed to use their first initial and last name. (CYACHT is shown on the Audit Trail Report because the author’s name is used.) The work completed in Chapters 1-5 is shown on the Audit Trail Report; for example, the employees added in Chapter 1 (CYACHT, or your name, and MWOOD); the vendors added (Maintain Vendors), purchases (Purchases/Receive Inventory), and payments to ARMENTA and OFCSUPPL in Chapter 2. From Chapter 4, the DASH and TEESDALE transactions are also shown. Scroll down the Audit Trail Report to see all the listings. (The student’s date column will differ. It shows the date that students recorded their entries.) The Audit Trial Report provides a listing of the changes made to the maintenance items and transactions. Depending on when students made additions and changes, their time and date column will differ. The Audit Trail Report shows when the author made changes.

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If transactions entered after Dec 31, 2013, ending date differs.

Time and date when added will vary. Student name should be shown.

The Audit Trail Report is a way for instructors to check the integrity of individual student records. Use the Audit Trail Report to make sure that the student turning in the work is the one whose name appears on the Maintain Employees row. If two or more Audit Trail Reports have the same name, date and time, you probably have a paper trail to students sharing backup files. You may want students to turn in their Chapter 5.ptb file so that you can restore that file and check the Audit Trail Report. Another way to do this is to have the student restore the Chapter 5.ptb file in the computer lab, then display the Jan 1 2006 through Dec 31, 2013 Audit Trail report to check the name, date, and time next to Maintain Employees.

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LECTURE OUTLINE FOR CHAPTER 5: GENERAL LEDGER, INVENTORY, AND INTERNAL CONTROL A. Learning Objectives, page 153 B. Sage 50 Help: Chart of Accounts, pages 154-155 C. Getting Started, pages 156-159 D. Budgets, pages 159-161 E. General Journal, pages 161-166 F. Setting Up an Inventory Item, pages 166-168 1. Inventory Types, pages 168-172 G. Inventory and Purchases, pages 172-174 H. Inventory and Sales, pages 174-176 I. Inventory Adjustments, pages 177-178 J. Security and Internal Control, pages 178-179 1. User security and access to the Sage 50 Navigation Centers, page 179 2. Selected Access, pages 179-180 3. User Security, page 180 4. Setting up Company Users, Passwords, and Access Rights, pages 180-182 5. Audit Trail Report, pages 182-183 6. Displaying the Audit Trail Report & Find Transactions Report, pages 184-186 K. Backing Up Chapter 5 Data, page 186-187 L. Online Learning Center, page 187

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Complete the following end-of-chapter activities online at www.mhhe.com/yacht2013; select the Student Edition, Chapter 5. 1. Interactive Multiple-Choice and True/False questions. 2. Going to the Net exercise: Go online to the Bookkeeping and Accounting Basics website. 3. Feature Quiz: review user interface and accounting principles. 4. QA Templates: 10 multiple-choice questions and three analysis questions. 5. Assessment Rubric: review journals, navigation centers, modules, and task windows. 6. Listen to narrated PowerPoint slides. The OLC also includes links to the Appendixes:    

M. Exercise 5-1, pages 187-188 N. Exercise 5-2- page 188 O. Chapter 5 Index, page 189

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SOLUTION TO EXERCISE 5-1 (3): General Journal Entry

SOLUTION TO EXERCISE 5-1 (3): Purchases/Receive Inventory

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SOLUTION TO EXERCISE 5-2 (1)

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SOLUTION TO EXERCISE 5-2 (1) (Concluded)

ANSWERS TO GOING TO THE NET Access this website http://www.nolo.com/legal-encyclopedia/bookkeeping-accounting-basics29653.html. Read the Bookkeeping and Accounting Basics article. (Hint: If this article is no longer available, link to another area from the Nolo.com website and write a brief essay—no more than 125 words—describing the link.) Going to the Net website links are on the textbook website at http://www.mhhe.com/yacht2013; link to Student Edition, select Chapter 5.

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1. List the three steps for keeping your small business accounting records. When broken down into three steps, The process of recordkeeping is easy to understand. a. Keep receipts or other acceptable records of every payment to and every expenditure by your business. b. Summarize your income and expenditure records on some periodic basis (daily, weekly, or monthly). c. Use your summaries to create financial reports that will tell you specific information about your business, such as how much monthly profit you're making or how much your business is worth at a specific point in time. Whether you do your accounting by hand on ledger sheets or use accounting software, these principles are exactly the same. 2. From this website, link to another area. The link that students select will vary. ANSWERS TO MULTIPLE-CHOICE QUESTIONS 1. 2. 3. 4. 5. 6. 7. 8. 9. 10.

d (Perpetual inventory) a (Chart of Accounts) c (Account No. 10500, Money-Market Fund) a ($4,500) d (Stock item) e (All of the above) b (Debit Inventory; Credit Accounts Payable/Vendor) b (Debit Accounts Receivable/Customer; Credit Sales; Credit Sales Tax Payable; Debit Product Cost; Credit Inventory) c. (Audit trail) c. (Internal control)

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Chapter 5

ANALYSIS QUESTIONS 1. List four ways that Sage 50 includes user security and internal controls. a. Setting up user names, passwords, and access rights. b. The ability to associate the user currently logged into the Sage 50 company with the data that is being entered. c. Limit access to information in Sage 50’s Navigation Centers. d. Audit Trail reports that show what each user entered. 2. How is the audit trail associated with user security? Provide an example. When User Security is set up, Sage 50 can associate the user currently logged into the company with the data being entered. For example, USER1 adds a customer record. USER2 then logs on and modifies the customer record. The Audit Trail report will show that USER2 was the last person who worked with the customer record, and it will display what was changed. 3. How does user security address the purpose of internal control? By limiting access to accounting data, Sage 50's user security feature addresses an important purpose of internal control. For example, assigning users to one Navigation Center increases the accuracy of records and reports. Also, since one user assumes responsibility for repetitive tasks, the efficiency of operations increases. User security reduces the business's risk of users changing or deleting data inappropriately which also safeguards accounting data. User security establishes accountability and allows the company to track who has performed various maintenance and recording tasks.

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ASSESSMENT RUBRIC Students complete the Assessment Rubric online at http://www.mhhe.com/yacht2013; Student Edition, select Chapter 5, Assessment Rubric link. To review Sage 50's journals, navigation centers, modules, and task windows, complete the blank fields.

Date

Transaction

Navigation Center/Module

3/18

Transfer $1,200 from the Regular Checking Account to the Payroll Checking Account.

Banking; General Journal Entry, New General Journal Entry

Task Window

Journal Dr./Cr.

General Journal Entry window

General Journal

General Ledger

3/19

Purchased two (2) Oriole Feeders from DeJulia Wholesale Suppliers, Invoice No. 94977, $14.

Vendors & Purchases; Enter Bills, New Bill Accounts Payable

Purchases/ Receive Inventory window

Dr. 10300, Payroll Checking Account, $1,200 Cr. 10200, Regular Checking Account, $1,200 Purchases Journal Dr. 12000, Inventory, $14. Cr. 20000, Accounts Payable/DeJulia Wholesale Suppliers, $14.

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Chapter 5

Sage 50 Backup (.ptb) Excel (.xlsx) and Adobe (.pdf) Chapter 5.ptb Exercise 5-2.ptb Exercise 5-2_General Ledger Trial Balance Exercise 5-2_General Ledger Trial Balance.pdf

Kilobytes 3,852 KB 3,815 KB 15 KB

Page Nos. 186 188 188

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188

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CHAPTER 6 JOB COST In Chapter 6, SCA's Job Cost system is taught. SCA lets your students assign Job ID codes to purchases, sales, and employee hours. Your students will understand how each of these factors--purchases, sales, and employee hours--impact costs for a specific job. The diagram that follows illustrates how job costing works with purchases, sales, and payroll.

Sales

Purchases

JOBS Hours Worked

LEARNING OBJECTIVES 1. Restore data from Exercise 5-2. (This backup was made on textbook page 188.) 2. Learn about SCA's Job Cost system. 3. Set up a job. 4. Coordinate job costs with purchases, sales, and payroll. 5. Display the Job Profitability Report. 6. Make two backups, save one Excel file, and save one PDF file.

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Chapter 6

SCA TIPS, CHAPTER 6:  Jobs can be assigned to purchases of inventory, sales to customers, and payroll.  The diagram below shows how Sage 50 organizes job costing. (Refer to textbook page 191.) 1) Setup

2) Tasks

3) Reporting

 The Exercise 6-2.ptb backup file is used in Chapters 16, 17, and 18 (Part 4 of the textbook). LECTURE OUTLINE FOR CHAPTER 6 A. Learning Objectives, page 191 B. Getting Started, pages 193-194 C. Job Costing and Purchasing: Purchasing Inventory Items for Jobs, pages 194-196 D. Job Costing and Sales, pages 197-198 E. Job Cost and Payroll, pages 198-200 F. Job Cost Reports, page 200 G. Backing Up Chapter 6 Data, pages 200-201

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H. Online Learning Center, page 201 Complete the following end-of-chapter activities online at www.mhhe.com/yacht2013; select the Student Edition, Chapter 6. 1. Interactive Multiple-Choice and True/False questions. 2. Going to the Net exercise: Access the Sage website. 3. Feature Quiz: Review of user interface and accounting principles that provide immediate feedback. 4. QA Templates: 10 short-answer questions and one analysis question. 5. Assessment Rubric: Review journals, navigation centers, modules, and task windows. 6. Listen to narrated PowerPoint slides. The OLC also includes links to the Appendixes:    

Appendix A: Troubleshooting Appendix B: Accounting Information Systems Appendix C: Review of Accounting Principles Appendix D: Glossary of Terms

I. Exercise 6-1, pages 201-202 J. Exercise 6-2, page 202 K. Chapter 6 Index, page 203

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SOLUTION TO EXERICSE 6-1 (3)

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SOLUTION TO EXERICSE 6-1 (3) (Continued)

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SOLUTION TO EXERCISE 6-1 (3) (Concluded)

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SOLUTION TO EXERCISE 6-2 (1) - The Excel file is used for the report.

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SOLUTION TO 6-2 (1) (Concluded)

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ANSWERS TO GOING TO THE NET Access the Sage website at www.sage.com. Link to Visit Sage United States. Select . The URL is http://na.sage.com/sagena/products-solutions/by-small-business. 1. How many employees is Sage small business designed to help? Five to 99 employees 2. How much yearly revenue? Less than $10 million in yearly revenue. ANSWERS TO SHORT-ANSWER QUESTIONS, Chapter 6 1. Draw the diagram that shows how the job cost system works with purchases, sales, and payroll. The diagram that follows illustrates how job costing works with purchases, sales, and payroll. Sales

Purchases

JOBS Hours Worked

2. What is the description of the Franklin Botanical Gardens job? The description of the Franklin Botanical Gardens job is Franklin Botanical Gardens. 3. What is the customer ID for Franklin Botanical Gardens? The Franklin Botanical Gardens customer ID is FRANKLIN.

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4. How much does Franklin Botanical Gardens owe for the one Bell-Grow Home Irrigation System (include the sales tax)? Franklin Botanical Gardens owes Bellwether Garden Supply $139.09 for one Bell-Gro Home Irrigation System. 5. What is the GL account (name and number) for the purchase of the wood treatment? The GL default account is Account No. 57200, Materials Cost. 6. What is the name of the report that tells you about Bellwether’s jobs? The report that tells you about Bellwether's jobs is called the Job Profitability Report. 7. When inventory items are purchased for jobs, what do you need to do? When inventory items are purchased for jobs, you need to do the following: a. Record the purchase directly as a job expense. You could indicate a Non-stock or a Description only Inventory Item but not a Stock Item. b. Record the purchase into Inventory without entering a Job. When you bill the customer, enter the Item and the Job. The system posts the price as Job revenue and the Cost of Goods Sold as Job Expense. 8. How many hour(s) did Alex C. Kornel work on the Franklin Botanical Gardens job? Alex C. Kornel worked 1 hour on the Franklin Botanical Gardens job. 9. Summarize the advantage to using Sage 50’s job costing feature. Job costing gives you greater insight into all the company’s jobs or projects so that you know what you are spending, how long it is taking, and how much profit was made on each job.

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10. What does the Job Profitability report show? The Job Profitability Report shows jobs with activity, actual expenses, revenues and gross job profit. (This explanation is shown on the Job Reports, Select a Report or Form window.). ANALYSIS QUESTION Explain the interrelationship of jobs, purchases, sales and payroll. ANSWER: In Sage 50, you can assign Job ID codes to purchases, sales, and employee hours. In this way, Sage 50 tracks how each of these factors impacts job costs. The diagram below illustrates how jobs work with purchases, sales, and payroll. Sales

Purchases

JOBS Hours Worked

ASSESSMENT RUBRIC Students complete the Assessment Rubric online at http://www.mhhe.com/yacht2013; Student Edition, select Chapter 6, Assessment Rubric link. To review Sage 50's journals, navigation centers, modules, and task windows, students complete the blank fields.

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Transaction Sold two Bell-Grow Impulse Sprinklers (EQWT-15160) to Franklin Botanical Gardens, $64.18 (includes sales tax); terms 2% 10, Net 30 days; Job ID Franklin Botanical Gardens.

Navigation Center/Module Customers & Sales; Sales Invoice, New Sales Invoice

Task Window Sales/Invoicing window

Journal Dr./Cr. Sales Journal Dr. 11000 Accounts Receivable/Franklin Botanical Gardens, $64.18

Accounts Receivable

Dr. 50000-EQ Product CostEquipment, $23.90 Cr. 23100 Sales Tax Payable, $4.20 Cr. 40000-EQ Sales-Equipment, $59.98

3/26/13

3/29/13

Invoice No. ARM967 was received from Armenta Landscaping for the purchase of special wood treatment, $85; terms 2% 10, Net 30 Days. Apply this purchase to the Franklin Botanical Gardens jobs. Amanda W. Chester worked one hour on the Franklin Botanical Gardens job. Apply her paycheck to this job.

Vendors & Purchases, Enter Bills, New Bill

Purchases/Receive Inventory window

Dr. 57200 Materials Cost, $85

Accounts Payable

Employees & Payroll; Pay Employees, Enter Payroll for one employee Payroll

Cr. 12000 Inventory, $23.90 Purchases Journal

Cr. 20000 Accounts Payable/Armenta Landscaping, $85

Payroll Entry window and Labor Distribution to Jobs window

Payroll Journal Dr. 77500 Wages Expense, $1,120 Dr. 72000, Payroll Tax Expense, 129.14 Cr. 23400 Federal Payroll Taxes, $325.91 Cr. 23600 State Payroll Taxes Payable, $45.67 Cr. 23300 401 K Deductions Payable, $44.80

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Cr. 10300 Payroll Checking Account, $832.76

Sage 50 Backup (.ptb) Excel (.xlsx) and Adobe (.pdf) Chapter 6.ptb Exercise 6-2.ptb* Exercise 6-2_Job Profitability Report.xlsx Exercise 6-2_Job Profitability Report.pdf

Kilobytes1 3,863 KB 3,850 KB 16 KB 69 KB

Page Nos. 200-201 202 202 202

*The Exercise 6-2.ptb backup file is used in Part 4, Chapters 16, 17, and 18.

Backup sizes may differ.

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CHAPTER 7 FINANCIAL STATEMENTS In Chapters 1 through 6, your students used the sample company Bellwether Garden Supply. They learned how SCA’s graphical user interface works and how to navigate the software. In Chapters 1 through 6, they also recorded and posted various types of transactions. Beginning with Chapter 9 (Part 2 of the textbook), students will learn how to set up companies from scratch as well as use the features learned in Chapters 17 in more detail. In Chapter 7, your students learn about SCA’s financial statements. Once entries have been recorded and posted, Sage 50 automatically calculates financial statements. Business managers and owners have the primary responsibility for the organization. They depend on accounting information in the form of financial statements to understand what is happening. All of the financial statements printed by SCA reflect the current month and year-to-date amounts. Your students print six financial statements in Chapter 7: 1. Balance Sheet. 2. Gross Profit by Departments. 3. Income Statement. 4. Statement of Cash Flow. 5. Statement of Retained Earnings 6. Statement of Changes in Financial Position Comment: Sage 50 includes the Statement of Changes in Financial Position even though current accounting standards require that a statement of cash flow is needed as part of a full set of financial statements in place of a statement of changes in financial position. This information is also included in the Read Me box on textbook page 221.

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Balance Sheet A balance sheet is a list of assets, liabilities, and capital of a business entity as of a specific date, such as the last day of an accounting period or the last day of the year. Each financial statement may be modified to fit the company’s needs. SCA includes a Design icon for that purpose. Later in this chapter, students will learn about SCA’s Help feature. In Chapter 16, Customizing Forms, students learn more about modifying SCA’s standard forms. Gross Profit by Departments A departmentalized accounting system provides information that management can use to evaluate the profitability or cost effectiveness of a department’s activities. The Gross Profit by Departments financial statement is a custom report designed for Bellwether that details each department’s year-to-date gross profit as of the current month. The report shown on textbook page 215 lists the departmental gross profit totals for the following departments: Aviary, Books, and Equipment. Some of Bellwether’s chart of account numbers have a dash, then an AV or a BK. For example, Account No. 40000-AV, Sales - Aviary; and Account No. 40000-BK, Sales – Books show this departmental designation. SCA includes a feature called masking which allows organization of the business by department. Then, custom forms can be designed to accommodate a departmentalized accounting system. The wrench [ ] to the left of some of Bellwether’s financial statements indicates customdesigned forms. Income Statement The income statement is a summary of the revenues and expenses a company accrues over a period of time, such as an accounting period or a year. Only revenue and expense accounts are displayed on the income statement. Net income is computed by subtracting total expenses from total revenues. Net income results when revenues exceed expenses. An excess of expenses over revenues results in a net loss. Bellwether’s net

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loss for the current month, March 1 through March 31, 2013, is $2,625.61. A net loss is indicated on the income statement with parenthesis ($2,625.61). Bellwether’s year-to-date net income is $25,476.82. On textbook page 218, the Income Statement is shown. In addition to dollar figures, the income statement also includes percentage-of-revenue columns for the current month and year to date. The percentages shown for each expense, total expenses, and net income (or net loss) indicate the relationship of each item to total revenues. Statement of Cash Flow The cash flow from operations is roughly the same as income from operations plus depreciation, depletion, and adjusted for any other operating transactions that had no effect on cash during the period. The statement of cash flow also reports cash transactions associated with the purchase or sale of fixed assets (Investing Activities) and cash paid to or received from creditors and owners (Financing Activities). The statement of cash flow provides the answers to three questions: 1. Where did cash receipts come from? 2. What were cash payments used for? 3. What was the overall change in cash? Statement of Retained Earnings The Statement of Retained Earnings shows beginning and ending retained earnings amounts, adjustments made to retained earnings within the report period, and the detail for all Equity-gets closed accounts. The retained earnings balance is the cumulative, lifetime earnings of the company less its cumulative losses and dividends. Statement of Changes in Financial Position The statement of changes in financial position describes changes in a company’s financial position that may not be obvious from other financial

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statements. The statement of changes in financial position shows the change in working capital, assets, and liabilities for a given period of time. Sage 50 includes the Statement of Changes in Financial Position even though current accounting standards require that a statement of cash flow is needed as part of a full set of financial statements in place of a statement of changes in financial position. (This information is also shown on textbook page 221, Read Me box.) Interrelationship of Financial Statements The financial statements work together. The net income (or net loss) from the income statement is on the balance sheet’s capital section. The net income or net loss is used to update the balance sheet’s capital amount: Capital Beginning of the Year - Net Loss (or + Net Income) = Total Capital. On the statement of retained earnings, the Ending Retained Earnings balance is $214,514.42. On the balance sheet, if students add the net income $25,476.82 to the balance sheet’s retained earnings amount, $189,037.60, the result is $214,514.42. This amount, $214,514.42, is the same as the Ending Retained Earnings balance on the Statement of Retained Earnings. The total of all the cash accounts on the Balance Sheet (Petty Cash, Cash on Hand, Regular Checking Account, Payroll Checking Account, Savings Account, and Money-Market Fund) is shown as the Cash Balance at End of Period on the statement of cash flow, $32,060.92. The statement of cash flow uses information from both the balance sheet and income statement. The statement of changes in financial position uses information from the income statement and balance sheet. The net income is shown from the income statement. Current assets and current liabilities are derived from the balance sheet. No single financial statement tells the entire story. The income statement indicates how much revenue a business has earned during a specific period of time, but it says nothing about how much of that amount has or has not been received in cash. For information about cash and accounts

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receivable, we have to look at the balance sheet, statement of cash flow, and statement of changes in financial position. LEARNING OBJECTIVES 1. Restore data from Exercise 6-2. The backup was made on page 202. 2. Explore Sage 50’s Help feature. 3. Print the financial statements. 4. Use drill down to go from the income statement to the general ledger, then to the original entry window. 5. Complete the Bellwether Garden Supply project online at http://www.mhhe.com/yacht2013, Student Edition link. 6. Make an optional backup of Chapter 7, save one Excel file, and save six PDF files. (The Exercise 6-2.ptb backup, textbook page 202, includes the data needed for Chapter 7.) There is no new data entered in Chapter 7. Your students print the financial statements after restoring their Exercise 6-2 backup made on textbook page 202. It is up to the instructor whether or not students should make another backup at the end of Chapter 7. The author recommends backing up to a hard-drive location or external media. Chapter 7 ends with true/make true questions. Exercises 7-1 and 7-2 have questions that relate to the financial statements. There is no need to back up data for either Exercise 7-1 or 7-2. SCA TIPS, CHAPTER 7  Since the Exercise 6-2 backup (textbook p. 202) includes all the data necessary for the financial statements, there is no need to back up again in Chapter 7.

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LECTURE OUTLINE FOR CHAPTER 7 A. Learning Objectives, page 205 B. Financial Statements, pages 205-206 1. Balance Sheet, page 206 2. Gross Profit by Departments, pages 206-207 3. Income Statement, page 207 4. Statement of Cash Flow, page 207 5. Statement of Retained Earnings, page 208 6. Statement of Changes in Financial Position, page 208 7. Interrelationship of Financial Statements, pages 208-209 C. Getting Started, page 209 D. Using Sage 50’s Help Feature, pages 209-211 E. Displaying the Financial Statements, pages 212-215 1. Departmental masking, pages 215-218 2. Drill down from the income statement to original entry, pages 219223 F. Backing Up Chapter 7 Data, page 223 Backing up Chapter 7 is optional because all the data for this chapter is included in the Exercise 6-2 backup. The Instructor’s Resource CD ISBN No. 007763201X and the Instructor Edition link online at http://www.mhhe.com/yacht2013 includes a back up for Chapter 7. G. Export Financial Statements to Excel, pages 223-225

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H. Online Learning Center, page 226 Complete the following end-of-chapter activities online at www.mhhe.com/yacht2013; select the Student Edition, Chapter 7. 1. Interactive Multiple-Choice and True/False questions. 2. Going to the Net exercise: Access the article How to Value Stocks: How to Read a Balance Sheet. 3. Feature Quiz: Review of user interface and accounting principles that provide immediate feedback. 4. QA Templates: 10 true/make true questions and three analysis questions. 5. Assessment Rubric: Review journals, navigation centers, modules, and task windows. 6. Listen to narrated PowerPoint slides. 7. Bellwether Garden Supply Project The OLC also includes links to the Appendixes:    

Appendix A: Troubleshooting Appendix B: Accounting Information Systems Appendix C: Review of Accounting Principles Appendix D: Glossary of Terms

I. Exercises 7-1 and 7-2, pages 226-227 J. Bellwether Garden Supply Project, page 227 K. Chapter 7 Index, page 228 SOLUTION TO EXERCISE 7-1: 1.

The total assets are $501,096.96.

The total capital is $319,514.42.

The Indicate the amount of the net income or (net loss) for the month of March ($2,625.61).

The current month's gross profit is $65,251.52.

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The current month's total expenses are $67,877.13.

SOLUTION TO EXERCISE 7-2: 1.

The current month’s cash balance at the beginning of the period is $2,875.54.

The year-to-date's cash balance at the beginning of the period is ($27,343.66).

The cash balance at the end of period for the current month is $32,060.92.

The beginning Retained Earnings balance is $189,037.60.

The ending Retained Earnings balance is $214,514.42.

ANSWERS TO GOING TO THE NET Access the article How to Value Stocks: How to Read a Balance Sheet: at http://www.fool.com/investing/beginning/how-to-value-stocks-how-to-reada-balance-sheet.aspx. 1. What are liquid assets? Assets that can be easily converted into cash are called liquid assets. 2. What are the liquid assets called on a balance sheet? The first section on a balance sheet is called current assets. Current assets are assets that a company has at its disposal that can be easily converted into cash within one operating cycle. 3. In the More on reading a balance sheet section, link to two other sites. Define each link; include the website address(es) in your answer. Students select two links in the More on reading a Balance Sheet section. The links include Current Assets; Current Liabilities; Debt and Equity; Current and Quick Ratio; Working Capital; and Price to Book

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Ratio, DSO & Turns. Students define each selected link and include the website address(es). ANSWERS TO TRUE/MAKE TRUE QUESTIONS 1.

Sage 50 automatically calculates financial statements once journal entries have been journalized and posted. True.

In Chapter 7, you printed three financial statements. In Chapter 7, six financial statements are printed: a. Balance Sheet. b. Gross Profit by Departments. c. Income Statement. d. Statement of Cash Flow. e. Statement of Retained Earnings f. Statement of Changes in Financial Position

The statement of cash flow is roughly the same thing as the balance sheet. The statement of cash flow explains the difference between the beginning and ending cash balances. Cash flow from operations is roughly the same as income from operations plus depreciation, depletion, and adjusted for any other operating transactions that had no effect on cash during the period.

The balance sheet lists the revenues and expenses of the business. The balance sheet lists the assets, liabilities, and capital of a business entity as of a specific date, such as the last day of an accounting period or the last day of the year.

The income statement is a summary of the revenue and expenses of a company for a period of time, such as an accounting period or a year. True.

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The financial statements printed by Sage 50 reflect month-to-date amounts only. The financial statements printed by SCA reflect the current month and year-to-date amounts.

The financial statements are interrelated. True

The term standard refers to financial statements that are designed by the company. Standard refers to the financial statements that SCA has already set up and formatted.

Bellwether Garden Supply showed a net loss for the current month on March 31, 2013. True.

10.

The statement of changes in financial position derives its information from the income statement. The statement of changes in financial position derives its information from both the income statement and the balance sheet.

ANALYSIS QUESTIONS Explain the interrelationship of the financial statements. Specifically, answer these questions. ANSWER: The financial statements work together. No single financial statement tells the entire story. The income statement indicates how much revenue a business has earned during a specific period of time, but it says nothing about how much of that amount has or has not been received in cash. For information about cash and accounts receivable, we have to look at the balance sheet, statement of cash flow, and statement of changes in

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financial position. 1. How are the income statement and balance sheet related to each other? The net income (or net loss) from the income statement is on the balance sheet’s capital section. The net income or net loss is used to update the balance sheet’s capital amount: Capital Beginning of the Year - Net Loss (or + Net Income) = Total Capital. 2. Using Bellwether Garden Supply as an example, what cash accounts does the statement of cash flow report? The total of all the cash accounts on the Balance Sheet (Petty Cash, Cash on Hand, Regular Checking Account, Payroll Checking Account, Savings Account, and Money-Market Fund) is shown as the Cash Balance at End of Period on the statement of cash flow. 3. Does the statement of cash flow use information from both the balance sheet and income statement? Yes, the statement of cash flow uses information from both the balance sheet and income statement. ASSESSMENT RUBRIC Report Balance Sheet

Income Statement

Date March 31, 2013

For the three months ended March 31, 2013

Menu Reports & Forms; Financial Statements

Window <Standard> Balance Sheet

Or, Find a Report area of Business Status Navigation Center. Reports & Forms, Financial Statements

<Standard> Income Stmnt

Or, Find a Report area of Business Status Navigation Center.

SOLUTION FILES

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The solution files, in .ptb, .pdf, and .xlsx formats, are included on the Instructor’s Resource CD (ISBN No. 007763201X) and the Online Learning Center, http://www.mhhe.com/yacht2013, Instructor Edition link. For access to the password-protected Instruction Edition website, contact your McGraw-Hill sales representative at http://catalogs.mhhe.com/mhhe/findRep.do. The chart below shows the size of the Chapter 7 solution files (Sage 50 backups, Excel reports and Adobe PDF exercise files). Chapter 7

Sage 50 Backup (.ptb) Excel (.xlsx) and Adobe (.pdf) Chapter 7.ptb (Optional)* Chapter 7_Financial Statements.xlsx Chapter 7_Balance Sheet.pdf Chapter 7_Income Statement.pdf Chapter 7_Gross Profit by Departments.pdf Chapter 7_Statement of Cash Flow.pdf Chapter 7_Statement of Retained Earnings.pdf Chapter 7_Statement of Changes in Financial Position.pdf

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*Exercise 6-2.ptb file includes data for Chapter 7. ANSWER TO BELLWETHER GARDEN SUPPLY PROJECT The Bellwether Garden Supply project can be accessed by students at http://www.mhhe.com/yacht2013; Student Edition link. More extensive answers, including additional screen captures, are at http://www.mhhe.com/yacht2013, link to Instructor Edition and Answers to Bellwether Garden Supply Project. After restoring the Exercise 6-2 file, answer the following questions about Bellwether Garden Supply. 1.

Examine Bellwether Garden Supply's chart of accounts. Are all of the account types in conformance with usual accounting

Backup sizes may differ.

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procedures? If not, list the accounts that could be classified differently. ANSWER:

What is the balance in Account No. 89500, Purchase Disc-Expense Item? Is it a debit or credit balance? Why? (Hint: Display the General Ledger report; select Options. In the Time Frame period, select All. Select the filter GL Account ID from 89500 to 89500.) Explain.

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ANSWER: The Purchase Discounts account is identified as Account No. 89500 and it has an $10.11 credit balance. The account classification for Purchase Discounts is usually Cost of Sales, not an Expense account. Refer to the Vendor Defaults to see that Bellwether identified its Discount GL Account as Purchase Disc-Expense Items. Bellwether's chart of accounts includes Account No. 59500, Purchase Discounts which shows an account type of Expenses. According to usual accounting procedures, accounts numbered with a 5 would be Cost of Sales Accounts not expenses. 3.

How do you compute the sales discount? How does Sage 50 compute the sales discount? ANSWER: You multiply the discount percent by the invoice total. For example, if the amount of the item is $149.95, multiply the 5% discount by $149.95. Sage 50 automatically adds the tax to the invoice amount so the automatic calculation of the sales discount needs to be corrected.

How do you change a sales discount? ANSWER: In Sage 50 you can type the correct sales discount amount. This is shown on textbook page 113, Chapter 3.

What types of entries are recorded in Bellwether's general journal? ANSWER: Some examples are transfers between accounts, setting up the petty cash account, and a fixed asset adjusting entry for depreciation expense and accumulated depreciation.

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How does Sage 50 identify these windows? Identify the software module and journal. Module

Window Purchases/Receive Inventory Sales/Invoicing Payments Receipts General Journal Entry Payroll Entry Inventory Adjustments

Journal

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ANSWER: Module Accounts Payable

Accounts Receivable Accounts Payable

Window Purchases/Receive Inventory Sales/Invoicing Payments

Accounts Receivable General Ledger Payroll Inventory

Receipts General Journal Entry Payroll Entry Inventory Adjustments

Journal Purchase Journal Sales Journal Cash Disbursements Journal Cash Receipts Journal General Journal Payroll Journal Inventory Adjustment Journal

There are two ways to access backup and restore. Explain both. ANSWER: 1) From the File Menu, select File, Back Up. 2) From the System Navigation Center, select the Back Up Now button or Restore Now button.

On the Payroll Entry window, what are the differences between the amounts in the Taxes-Benefits-Liability area that have minus signs in front of them and amounts that do not show a minus sign? ANSWER: The accounts that have a minus sign in front of them are deductions from the gross pay of the employee. Accounts without minus signs are the employers' liabilities.

Does Bellwether track Overtime pay in a separate account? Briefly explain. ANSWER: No. Regular Pay and Overtime pay is in the same account, Account number 75000, Wages Expense.

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What type of Accounting Method does Bellwether use? How do you find that out and what does it mean? ANSWER: Go to the System Navigation Center. In the Company Maintenance area, the Accounting Method shown is Accrual. In Accrual Accounting income is recorded as you invoice customers, and expenses are recorded when you receive bills from vendors, regardless of when cash is actually exchanged. This presents a truer picture of income and expenses. Most companies use this accounting method.

11.

What is the Business Status Navigation Center? Can it be customized? Does the Business Status Center show your security settings? Can access be limited to the Sage 50's Navigation Centers? ANSWER: The Sage 50 Business Status Center displays a variety of general business information, including account balances, revenue figures, receivables and payables data, and action items. It also includes a feature that lets you find, display, and/or print a Sage 50 report. Some of the information that appears in the Business Status Center can be drilled down on. Customize Business Status You can customize the Business Status Center to show information the way you want. Customizing is a good idea if you want the Business Status Center to display faster. You could tell Sage 50 not to show some of the sections (such as Account Balances or Top Customers), and this would speed things up because the more data there is to display, the longer it takes to load. Just click the Customize this page button window.

at the top of the

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When the Customize this page button is selected, Customize Business Status window is shown. Items can be checked or unchecked. If items are unchecked, those areas will not be shown on the Business Status Navigation Center. Security Settings The information and access points you see in the Business Status Center are controlled by your user security settings. Depending on these settings, you may see more or fewer features in the Business Status Center than other Sage 50 users. Limiting access to the Navigation Centers If you're the administrator for Sage 50 security, you can decide what parts of the Business Status Center and other Navigation Centers a user can view and/or work with. 12.

Is the net income shown on the Business Status Navigation Center for the month or year to date? How do you check that? ANSWER: On the Business Navigation Center, the net income of $25,476.82 is year to date. You can check that amount by displaying the <Standard> Income Statement, shown on page 218, Chapter 7.

13.

What report verifies the balance in Account No. 11000 Accounts Receivable? What is the Accounts Receivable balance in the General Ledger and in the Customer Ledgers? Why is there a difference? (Hint: Look in the journals for Customers & Sales module.) ANSWER: On the General Ledger Trial Balance, the 3/31/13 balance for Account No. 11000, Accounts Receivable, is $175,846.38. Drill down from the General Ledger Trial balance to the controlling

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account in the general ledger. Account No. 11000, Accounts Receivable shows the same balance, $175,846.38. Go to the Customer Ledgers to see a different balance of $175,973.93. Customer Ledger balance General Ledger A/R balance Difference:

$175,973.93 - 175,846.38 $127.55

The Sales/Invoicing window (Sales Journal) was used to record three customer entries totaling $127.55 that were debited to Account No. 10000, Petty Cash, not Account No. 11000, Accounts Receivable. The $127.55 was added to the Accounts Receivable controlling account balance because the transactions recorded to three customers whose records are maintained in the Accounts Receivable module. Drill down from the Petty Cash account to the Sales Journal to see each entry.

You can also go to the Sales Journal to see that on 3/14/13 and 3/15/13, Account No. 10000, Petty Cash, was debited instead of the default Account No. 11000, Accounts Receivable.

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Chapter 7

What report verifies the balance in Account No. 20000 Accounts Payable? What is the Accounts Payable balance in the General Ledger and in the Vendor Ledgers? Why is there a difference? (Hint: Look in the journals for Vendors & Payables module.) ANSWER: On the General Ledger Trial Balance and within the controlling account in the general ledger the balance in Account No. 20000, Account Payable, is $80,852.01. The Vendor Ledgers shows a balance of $81,052.01. Vendor Ledger balance General Ledger A/P balance Difference:

$81,052.01 -80,852.01 $200.00

Scroll through the Purchase Journal report. On 3/15/13, the credit part of the entry was to Account No. 24700, Other Current Liabilities, for $150 (instead of Account No. 20000, Accounts Payable). On 3/15/13, there was a $50.00 entry to Account No. 24000, Other Taxes Payable (instead of Account No. 20000, Accounts Payable). The $200 difference between the Vendor Ledger and General Ledger balance for Accounts Payable is because these two entries credited another account, not the default.

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If you want to view a report that shows the changes made to maintenance items and transactions, what report would you look at? ANSWER: The Audit Trail Report shows changes made to maintenance items and transactions showing the Date the user made the latest change. The Audit Trail report is shown on page 185, Chapter 5. If your students are working after December 31, 2013, their Audit Trail Report may show a different ending date.

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CHAPTER 8 STONE ARBOR LANDSCAPING: TIME & BILLING When Sage 50 Complete Accounting 2013 is installed, two sample companies are included with the software: Bellwether Garden Supply and Stone Arbor Landscaping. In Chapters 1 through 7 students worked with Bellwether Garden Supply. In this chapter, students focus on how the second sample company, Stone Arbor Landscaping, uses SCA’s time and billing feature. TIME & BILLING Time & Billing can track time spent on various activities and record internal use of company resources associated with customers or jobs. Recorded time and expenses can later be billed to customers on sales invoices. If payroll is used, timed activities can be applied to an employee's paycheck. Time & Billing can also be used to effectively manage administrative activities and overhead expenses for the business. The purpose of SCA’s time and billing feature is to provide the tools to record customer-related work or expenses. Time & Billing is a way to track expenses and time when working with customers. Time and expenses are recorded for customers, jobs, or administrative tasks. Customers: Time and expenses can be associated with customers that you intend to bill later in Sales/Invoicing. Record time and expenses for customers only if you are not using job costing. Jobs: If jobs are being tracked in Job Costs, time and expense can be recorded for jobs, phases, or cost codes. Then, apply billable time and expense items to the customer's invoice. The advantage of recording time and expense for jobs is that details can be tracked related to the completion of the project, including overhead and labor costs. Also, job profitability can be managed more effectively in reports. Administrative: Internal activities can be tracked to manage process control and overhead costs for the business. For example, track the number of hours an employee spends preparing proposals or bookkeeping. Or, track an employee's mileage or travel expenses. To track time and expenses, SCA uses two forms or tickets: the time ticket and the expense ticket. Each ticket type can be specific to a customer,

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job, or non-billable administrative tasks (miscellaneous items). Each ticket has its own special type of inventory item: the activity item for time tickets and the charge item for expense tickets. Time Tickets Time tickets are used to record time-based activities such as research or consultations. They record the activities of either an employee or a vendor. The two methods of entering time ticket information are weekly or daily. The billing rate used for a recorded activity can be based on the employee who records the ticket or one of the five billing rates assigned to the activity item. Or, you can record the billing at the time you enter the time ticket. Expense Tickets Expense tickets are used to track and aid in the recovery of customerrelated expenses. These expenses are not based on time. Expenses can be based on the various charges related to the service being offered. For example, if you were an accountant, you might charge your client for copying fees or faxing fees. Both time and expense tickets can be used in the Sales/Invoicing window to bill your customers. The Sales/Invoicing window includes a feature called Apply Tickets/Reimbursable Expenses which takes you to the time and billing feature. The rate for expense tickets is determined by the unit price of the charge item multiplied by the quantity. The chart below shows how time and billing works:

Ticket Type

Time & Billing Ticket Types Inventory Item Class Examples

Time Ticket

Activity Item

Expense Ticket

Charge Item

Research Consultants Writing Reports Copying Faxing Court Fees

Billing Amount Equals Billing Rate Time Activity Divisions Unit Price of the Charge Item Times Quantity

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LEARNING OBJECTIVES 1. Start the sample company, Stone Arbor Landscaping. 2. Explore Sage 50’s time and billing feature. 3. Use the time and billing feature to complete a time ticket, sales invoice, and payroll entry. 4. Make two backups, save two Excel files, and save four PDF files. SCA TIPS, CHAPTER 8  To complete Chapter 8, students use the other sample company, Stone Arbor Landscaping. Sage 50 includes two sample companies: Bellwether Garden Supply (Chapters 1-7), and Stone Arbor Landscaping (Chapter 8).  When selecting the sample company, Stone Arbor Landscaping, why doesn't the Explore a Sample Company window show the OK, Close, and Help buttons?

No, <OK>, <Close>, or <Help> buttons. Press <Enter> to continue.

Screen resolution affects how Sage 50's windows look. The recommended screen resolution is 1024 X 768 with small fonts (refer to textbook page v, Software Installation.) Students can use a higher resolution but some of the windows will look different. If there is no OK button, press <Enter> to start Stone Arbor Landscaping. 

If students are using the Student Version of SCA 2013 software included with the textbook, a Sage 50 Accounting window appears

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that says "You can use this company in the student version of Sage 50 for the next 14 months and then it will expire. The company's expiration date can be found in the Company Information section of the System Navigation Center." For more information about the expiration date, refer to page xvi, Expiration Date, Student Version, SCA 2013.

LECTURE OUTLINE FOR CHAPTER 8 A. Learning Objectives, page 229 B. Stone Arbor Landscaping, page 229 C. Time & Billing, pages 229-230 1. Time Tickets, page 230 2. Expense Tickets, pages 230-231 D. Getting Started, pages 231 1. Troubleshooting, pages 231-232 2. Software expiration, page 232 E. Add Your Names to Reports, pages 232-234 F. Using Time & Billing, page 234 1. Inventory Item Maintenance, pages 234-236 The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

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2. Time Ticket, pages 236-239 3. Sales Invoice, pages 239-241 4. Payroll, page 242 G. Backing Up Chapter 8 Data, page 243 H. Export Time Ticket Register to Excel, pages 244-246 I. Online Learning Center, pages 246-247 Complete the following end-of-chapter activities online at www.mhhe.com/yacht2013; select the Student Edition, Chapter 8. 1. Interactive Multiple-Choice and True/False questions. 2. Going to the Net exercise: Access the website to compare Sage 50 products. 3. Feature Quiz: Review of user interface and accounting principles that provide immediate feedback. 4. QA Templates: 10 multiple choice questions and three analysis questions. 5. Assessment Rubric: Review journals, navigation centers, modules, and task windows. 6. Listen to narrated PowerPoint slides. J. Exercise 8-1, pages 247-248 K. Exercise 8-2, pages 248-249 L. Chapter 8 Index, 250

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SOLUTION TO EXERCISE 8-1 (2): New Time Ticket

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SOLUTION TO EXERCISE 8-1 (3) - Apply Time Ticket to Sales Invoice 1019

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SOLUTION TO 8-1 (3): Sales/Invoice window after Time Ticket is applied.

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SOLUTON TO EXERCISE 8-1 (4) - Invoice No. 1019 is applied.

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SOLUTION TO EXECISE 8-1 (5): Payroll Entry for Mike E. Hays

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SOLUTION TO 8-1 (5): Two jobs completed by Mr. Hays.

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SOLUTION 8-1 (5): Timesheet for Mike Hays

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SOLUTION TO 8-2 (5): Job Ledger: The Excel file is used for the reports that follow.

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SOLUTION TO 8-2 (5) (continued): Job Ledger

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SOLUTION TO 8-2 (5) (continued): Job Ledger

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SOLUTION TO 8-2 (5) (continued): Job Ledger

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SOLUTION TO 8-2 (5) (continued): Job Ledger

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SOLUTION TO 8-2 (5) (concluded): Job Ledger

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SOLUTION TO 8-2 (5) (continued): Time Ticket Register

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SOLUTION TO 8-2 (5) (concluded): Time Ticket Register

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SOLUTION TO 8-2 (5) (continued): Payroll Time Sheet

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SOLUTION TO 8-2 (5) (concluded): Payroll Time Sheet

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ANSWERS TO GOING TO THE NET Access this website to compare Sage 50 products http://na.sage.com/sage-50-accounting-us/products/compare. Answer the following. 1. List the Sage 50 products. Pro, Complete, Premium, Quantum, Accountant Link to Help me Choose. (The website address is http://na.sage.com/sage-50-accounting-us/products/help-me-choose.) 2. What type of business is Option A designed for? Explain. Which software product is suggested? Option A is designed for small service-based businesses that work primarily on client projects or jobs. The key features include tracking tasks, time, and working with independent contractors or freelancers. Simple bookkeeping invoicing, cash management and basic reporting. Sage One is the software product suggested. 3. What type of business is Option B designed for? Explain. Is a software product is suggested? Option B is designed for small to mid-size businesses that need a fully integrated accounting solution. The business may have robust needs that could encompass managing budgets, cash flow, payroll, inventory, fixed assets, jobs, customers and vendors, online banking, and/or payment processing, and in-depth functionality with Excel. In order to determine which software product is recommended a form needs to be completed. ANSWERS TO MULTIPLE CHOICE QUESTIONS 1. 2. 3. 4.

d (Look at SCA’s time and billing features) e (None of the above) a (Give you the tools to record customer-related work or expenses.) c (Defaults)

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Chapter 8

c (Record time-based activities) a (Track and aid in the recovery of customer-related expenses) c (Copying, faxing, court fees) e (None of the above) b (Research, consultants, writing reports) b (How much was billed to a customer)

ANALYSIS QUESTION What is the purpose of Sage 50’s time and billing feature? Briefly explain time and billing. ANSWER The purpose of SCA’s time and billing feature is to provide the tools to record customer-related work or expenses. Time & Billing gives you a way to track expenses and time when working with customers. Time and expenses can be recorded for customers, jobs, or administrative tasks. ASSESSMENT RUBRIC Navigation Center and Menu

Task Timesheet

Inventory & Services; Inventory Items, View and Edit Inventory Items. From the Inventory List, select an Item ID.

Sales Invoice

Payroll

On the Time Tickets window, select Timesheet Customer & Sales; Sales Invoices, View and Edit Sales Invoices. From the Sales Invoice List, select a Customer ID. From the Sales/Invoicing window, select Apply tickets/expenses.

Employees & Payroll; Employees, View and Edit Employees. From the Employees list, select an Employee ID.

Window Time Ticket Weekly Timesheet Entry

Apply Tickets/Reimbursable Expenses.

Maintain Employees & Sales Reps. Pay Info tab shows paycheck information.

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Sage 50 Backup (.ptb) Excel (.xlsx) and Adobe (.pdf) Chapter 8.ptb Chapter 8_Time Ticket Register.xlsx Chapter 8_Time Ticket Register.pdf Exercise 8-1.ptb Exercise 8-2_Time and Billing Reports.xlsx Exercise 8-2_Job Ledger.pdf Exercise 8-2_Time Ticket Register.pdf Exercise 8-2_Payroll Time Sheet.pdf

Kilobytes 1,865 KB 14 KB 62 KB 1,880 KB 33 KB 89 KB 62 KB 60 KB

Page Nos. 243 244-246 246 248 249 249 249 249

Your backup sizes may differ.

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CHAPTER 9 NEW COMPANY SETUP AND BEGINNING BALANCES Chapter 9 begins Part 2 of the book--Sage 50 Complete Accounting 2013 for Service Businesses. In this part of the book, students are the owners of an accounting practice. Their accounting business does the monthly record keeping for two service businesses: David Walsh1, Designer and Crafts by Student Name. In Chapter 9, your students maintain the accounting records for David Walsh [student's first and last name] Designer. They learn how to set up a company using one of SCA’s sample charts of accounts, and they record beginning balances. LEARNING OBJECTIVES 1.

Set up company information for David Walsh Designer.

Select a Service Company from the simplified chart of accounts list.

Edit the chart of accounts.

Enter beginning balances.

Use Windows Explorer to see the company's file size.

Export the chart of accounts and beginning balances to Excel, and save PDF files.

Make four backups, save two Excel files, and save four PDF files.

SCA TIPS, CHAPTER 9

 Remind students that chart of accounts beginning balances must be set for the previous month–September 1 through 30, 2013. See textbook pages 281-285 steps 1-8, for an explanation of chart of accounts beginning balances.  On textbook pages 285-286, students display a September 30, 2013 balance sheet. By printing a balance sheet for September 30, students can make sure they set their beginning balances correctly. The default date for the balance sheet is October 31, 2013. To print the balance sheet as of September 30, change the date range from the default, Period 10 (10/1/2013 to 10/31/2013) to Period 9, 9/1/2013 to 1

When setting up companies, students use their first and last name.

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9/30/2013. From the <Standard> Balance Sheet Options page, select Range in the Time Frame field. Then, select From Period 9, (9/1/13) To Period 9, (9/30/13). This window is shown on textbook page 285.

Another way to check that students have set up their beginning balance period from 9/1/13 through 9/30/13, follow these steps: 1. Start Sage 50, Open either David Walsh Designer or Crafts by Student Name. 2. Restore the Chapter 9 Beginning Balances.ptb file. 3. From the menu bar, click on Maintain, Chart of Accounts. Click . 4. Select the period From 9/1/13 through 9/30/13. Click <OK>. The Beginning balances as of September 30, 2013 appear. (David Walsh Designer’s beginning balances are shown on the next page. This illustration is shown on textbook page 284.)

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Compare the Beginning Balances as of September 30, 2013 to the balance sheet on textbook page 286. The chart of accounts balances as of September 30, 2013 are the beginning balances for October 1, 2013. October (Period 10) is the first month for recording David Walsh Designer data. On textbook page 262, step 15, students change the accounting period to Period 10-Oct 01, 2013 to Oct 31, 2013 as the first month for entering data. 5. The screen illustration on page 282 (below step 3) shows that the period to choose for beginning balances must be From 9/1/13 through 9/30/13. Step 4 on textbook page 283, and again on page 284, students are reminded to recheck the period before continuing. If they enter the beginning balances for the wrong month, the Income Statement and Statement of Cash Flow will not show the current month and year-to-date amounts correctly (Chapter 11). The end-ofquarter financial statements are shown in Chapter 11, textbook pages 360-363.  If your students did not select the correct beginning balance period, they could restore the appropriate Sage 50 solution file; for example, the Chapter 9 Beginning Balances.ptb file. The solution files are included on the Instructor’s Resource CD (ISBN 007763201X) and online at http://www.mhhe.com/yacht2013, Instructor Edition site. After restoring the Chapter 9 Beginning Balances.ptb file, students could

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resume their work on page 290, Export the Chart of Accounts and Beginning Balances to Excel.  The businesses that students begin in Chapter 9 are continued in Chapters 10 and 11.  Students can restore from their back up file even if no Sage 50 company has been set up. From Sage 50’s start up window, select File; Restore. Select the location of the backup file. On the Restore Wizard’s Select Company screen, select A New Company. The A New Company selection allows students to restore their backup data, bypassing the process of new company set up. For detailed steps, refer to Troubleshooting on textbook pages 277-278, steps a-k.  Because of operating system security features, students may need to backup to their desktop first. Then copy the backup file from the desktop to their USB drive. For detailed steps, refer to Appendix A, Problem Backing Up to USB Drive or Other External Media, online at www.mhhe.com/yacht2013 . USB media varies, not all USB thumb drives work the same.  In Windows 7 and Vista, the computer owner is identified when files are backed up or saved. To see which user saved the file, right-click on the Start button, left-click Open Windows Explorer (Windows 7); Explore (Vista). Go to the location of the backup file; right-click on the filename, left-click Properties. The General tab shows the file name, type, size, date created, modified, and accessed. The Details tab shows the file name, type, folder path, size, date created, date modified, owner, and computer. The same steps can be used to check .ptb files (extension used for Sage 50 backups); Excel files (.xlsx or .xls extensions); Adobe files (.pdf extensions) and Word files (.doc and .docx extensions). To verify student files, you may want to look at the Properties window.

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Comment: What if David Walsh Designer (or another name Designer) is not shown on Sage 50’s Open an Existing Company screen; Company Name list? Students can restore to an existing company—one that is previously set up and shown on Sage 50’s Company Name list—or they can restore a new company, bypassing the process of setting up a company. The Restore Wizard includes two options on the Select Company screen: An Existing Company and A New Company. If A New Company is selected, then the company will be named exactly as the backup file selected. Let’s say your student wants to restore a backup file for a company that was not set up in Sage 50. Some computer labs delete directories from the hard drive; for example, a backup file exists but the company is not shown when your student opens an existing company or selects browse to check for that company. Or, the computer lab has Sage 50 Complete Accounting 2013 available but not the companies that students previously set up. If you start Sage 50 and the appropriate company cannot be opened, use the Restore Wizard to select A New Company. Using the appropriate backup file, and the selection for A New Company, your students are able to start where they left off the last time they used Sage 50. This is also the method for restoring PTB files from the Instructor’s Edition website. PTB is the extension used by Sage 50 to identify backup files.

LECTURE OUTLINE FOR CHAPTER 9 A. Learning Objectives, page 255 B. Getting Started: New Company Setup, pages 255-263 1. Company Maintenance Information, page 264 C. Chart of Accounts, page 265 1. Delete Accounts, pages 265-266 2. Change Accounts, pages 266-268 3. Add Accounts, pages 268-270 4. Display the Chart of Accounts, pages 270-273 D. Backing Up the Chart of Accounts, pages 273-276 E. Restoring Company Data, pages 276-280 F. Entering Chart of Accounts Beginning Balances, pages 280-285 1. Display the September 30, 2013 Balance Sheet, page 285-288 G. Using Windows Explorer to See the File Size, pages 288-289 H. Backing Up Beginning Balances, pages 289-290

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I. Export the Chart of Accounts and Beginning Balances to Excel, pages 290-293 J. Save PDF Files, page 293 K. Online Learning Center, pages 293-294 Complete end-of-chapter activities at www.mhhe.com/yacht2013; select Student Edition, then Chapter 9. 1. Quizzes: Multiple Choice Quiz and True or False. Interactive online tests that are graded and can be emailed to your instructor. 2. More Resources: a. QA Templates: 10 multiple-choice questions and two Analysis Questions. b. Feature Quizzes: These quizzes review Sage 50’s user interface, business processes, and accounting principles. Immediate feedback is given for each answer. Questions are randomly assigned. c. Videos: In Chapter 9, the video is New Company Set Up. Watch the videos using an Internet browser, iPod, iPad, or iPhone. d. Narrated PowerPoints: Listen to narrated PowerPoints. e. Going to the Net Exercises: Access Wikipedia’s Chart of Accounts website. f. Assessment Rubric: Complete the rubric to review Sage 50's journals, navigation centers, modules, task windows, and reports. The OLC also includes links to the Appendixes:    

Appendix A: Troubleshooting Appendix B: Accounting Information Systems Appendix C: Review of Accounting Principles Appendix D: Glossary (words that are boldfaced and italicized in chapter)

L. Exercise 9-1, pages 294-297 M. Exercise 9-2, pages 297-299 N. Chapter 9 Index, page 300

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Solution to Exercise 9-1 (13)

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Solution to Exercise 9-2 (3)

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To make sure beginning balances were sent as of September 30, 2013 (steps 2-7, pages 282-284), students print the September 30, 2013 balance sheet. For setting chart of accounts beginning balances, refer to textbook pages 280-286. For printing the September 30, 2013 balance sheet, refer to textbook pages 285-286. September 30 ending balances are October 1, 2013 beginning balances. ANSWERS TO GOING TO THE NET2 Students access information about the chart of accounts at http://en.wikipedia.org/wiki/Chart_of_accounts. Read the information on Wikipedia’s chart of accounts website. (Going to the Net links are on the textbook website at http://www.mhhe.com/yacht2013; link to Student Edition, select Chapter 9, Going to the Net Exercises.) Answers will vary. There are some inconsistencies on the Wikipedia site. Some accounts are incorrectly identified. 1.

What is the chart of accounts? Chart of accounts is a list of the accounts used by an organization. The list can be numerical, alphabetic, or alpha-numeric. Each nominal ledger account is unique to allow its ledger to be located. The list is typically arranged in the order of the customary appearance of accounts in the financial statements; for example, profit and loss accounts followed by balance sheet accounts.

List four asset accounts, two liability accounts, two equity accounts, one revenue account, and three expense accounts. Asset accounts: Cash, Accounts Receivable, Prepaid Expenses, Supplies, Inventory, Land, Buildings, Vehicles & Equipment, Accumulated Depreciation and Other Assets Liability accounts: VISA Payable, Income Taxes Payable

The textbook website at http://www.mhhe.com/yacht2013 has a link to Textbook Updates. Check this link for updated Going to the Net exercises.

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Equity accounts: Common Stock, Capital, Retained Earnings Revenue accounts: Sales Revenue, Fees, Sales Returns & Allowances, Sales Discounts, Interest Income Expense accounts: Advertising Expense, Bank Fees, Depreciation Expense, Payroll Expense, Payroll Tax Expense, Rent Expense, Income Tax Expense, Telephone Expense, Utilities Expense 3.

What is the Trial Balance? The trial balance is a list of the active general ledger accounts. A balanced trial balance does not guarantee that there is no error.

Account numbers proceed from lowest to highest, with room between numbers in each category. This allows the business to expand the level of detail presented in the chart of accounts as activities grow. ANSWERS TO MULTIPLE-CHOICE QUESTIONS 1. 2. 3. 4. 5. 6. 7. 8. 9. 10.

d (Service business) b (Accrual accounting) c (Sole proprietorship) d (Service Company) b (Real-time posting) a (File; Restore) b (Chapter 9 Beginning Balances) c (\davwalde) c (Equity-doesn’t close) b (xlsx)

ANALYSIS QUESTIONS 1. What chart of accounts beginning balance date is used for entering October 1, 2013 account balances in Sage 50? ANSWER: Beginning balances must be set for the preceding month; for example, September 1 through 30, 2013. The September 30 ending balance is the October 1 beginning balance.

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September 1 through 30, 2013 is selected because Sage 50 posts on the last day of the month (September 30). When 9/1/13 through 9/30/13 is selected as the chart of accounts beginning balance period, task windows start on October 1, 2013, and reports are dated October 31, 2013. 2. How does the account beginning balance date affect the current month and year-to-date amounts on the financial statements? ANSWER In order for the financial statements to show the correct current month and year-to-date amounts, beginning balances must be set for the previous month. In Chapter 9 that means chart of accounts beginning balances are set for September 30, 2013. NOTE: In Chapters 10 and 11, students complete transactions for October, November, and December 2013. ASSESSMENT RUBRIC

Task

Date

Selections

Window(s)

October 1, 2013 Beginning Balances

September 30, 2013

From the menu bar, File; New Company, or from Sage 50's startup window, Create a New Company.

Create a New Company, click Next to make selections to complete setting up a new company.

Shortened Company Name Eight characters: first three letters from the first word, first three letters of the second word, two letters from third word. Eight characters for a Sage 50 shortened name; for example, for David Walsh Designer: davwalde.

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SOLUTION FILES The solution files, in .ptb, .pdf, and .xlsx formats, are included on the Instructor’s Resource CD (ISBN No. 007763201X) and the Online Learning Center, http://www.mhhe.com/yacht2013, Instructor Edition link. For access to the password-protected Instruction Edition website, contact your McGraw-Hill sales representative at http://catalogs.mhhe.com/mhhe/findRep.do. If you prefer to start students with company data, you could use one of the Sage 50's backup files. For example, to start students with the Chapter 9 company set up and the chart of accounts completed, restore the Chapter 9 Chart of Accounts.ptb file. Then, students could continue work on textbook page 280, Entering Chart of Accounts Beginning Balances. The Sage 50 backup files could be used to start students at different points in the chapter. The Part 2 opener on textbook pages 275-278 shows the page number where each backup is made in Chapters 9, 10, 11 and Project 1. The chart below and on the next page shows the size of the Chapter 9 solution files (Sage 50 backups, .ptb files; Excel reports, .xslx files; and Adobe exercise .pdf files). Chapter 9

Sage 50 Backup (.ptb) Excel (.xlsx) and Adobe (.pdf)

Kilobytes

Page Nos.

Chapter 9 Chart of Accounts.ptb

948 KB

274-275

Chapter 9 Beginning Balances.ptb

952 KB

289-290

Chapter 9_Chart of Accounts and Beginning Balances.xlsx

17 KB

290-293

Chapter 9_Balance Sheet.pdf

5 KB

293

Chapter 9_Chart of Accounts.pdf

98 KB

293

Exercise 9-1.ptb

908 KB

297

Exercise 9-2.ptb

912 KB

299

Exercise 9-2_Chart of Accounts and Beginning Balances.xlsx

17 KB

299

Exercise 9-2_Chart of Accounts.pdf

8 KB

299

Exercise 9-2_Balance Sheet.pdf

5 KB

299

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

CHAPTER 10 MAINTAINING ACCOUNTING RECORDS FOR SERVICE BUSINESSES Chapter 10 continues the work started in Chapter 9 and Exercises 9-1 and 9-2. Students complete the computer accounting cycle for the month of October using the transaction register and bank statement as source documents. The transaction register shows Mr. Walsh’s checking account activity. LEARNING OBJECTIVES 1. Restore data from Chapter 9. (This backup was made on textbook pages 289-290.)1 2. Record and post deposits, checks and ATMs. 3. Complete account reconciliation. 4. Display the Account Register. 5. Display the Cash Receipts Journal, Cash Disbursements Journal, and General Journal. 6. Display the general ledger trial balance. 7. Print financial statements. 8. Export the October General Ledger Trial Balance, Balance Sheet and Income Statement to Excel and save as PDF files. 9. Make four backups, save two Excel files, and save four PDF files. SCA TIPS, CHAPTER 10  Students can restore an existing company—one that is previously set up and shown on Sage 50’s Company Name list—or they can restore a new company, bypassing the process of setting up a company. The Restore Wizard includes two options on the Select Company window: An Existing Company or A New Company. If A New Company is selected, then the company is named exactly the same as the backup file selected. 1

All activities in Chapter 9 must be completed before starting Chapter 10.

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Chapter 10

Let’s say your student wants to restore a backup file for a company that was not set up in Sage 50. Some computer labs delete directories from the hard drive; for example, a backup file exists but the company is not shown when your student opens an existing company or selects browse to check for that company. Or, the computer lab has Sage 50 Complete Accounting 2013 available but not the companies that students previously set up. If you start Sage 50 and the appropriate company cannot be opened, use the Restore Wizard to select A New Company. Using the appropriate backup file, and the selection for A New Company, your students are able to start where they left off the last time they used Sage 50. This is also the method for restoring PTB files from the Instructor’s Edition website. PTB is the extension used by Sage 50 to identify backup files.  The Solution Files include all the backups made in Chapters 1-18 and Projects 1, 2, 3 and 4. Sage 50 backup files are identified with a .ptb extension. The Instructor’s Resource CD (ISBN 007763201X) and the password-protected Instructor Edition website at http://www.mhhe.com/yacht2013 includes all the backups made in Chapters 1-18 and Projects 1, 2, 3 and 4. In order to obtain a password and username for the Instructor Edition, contact your McGraw-Hill sales representative at http://catalogs.mhhe.com/mhhe/findRep.do.  The Solution file backups can be used as student data to start later in the chapter, or to help students start with fresh data in case mistakes have been made. The Part 2 opener on textbook pages 251-254 includes a chart showing the textbook page number where the backup was made. The Chapter 10 solution file backups are also shown on page 191 - IMK.  Since Chapters 9, 10 and 11 are cumulative, you may want to allow students to restore a solution file so that they can complete their work

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from that point in the data. (Refer to the Part 2 opener’s chart, textbook pages 253-254 or page 191 - IMK.) LECTURE OUTLINE A. Learning Objectives, page 301 B. Getting Started, pages 301-303 C. Recording Deposits, Checks and ATMs, pages 303-311 D. Backing Up the October Transaction Register, pages 311-312 E. Account Reconciliation, pages 312-315 F. Displaying the Account Register, pages 315-317 G. Printing the Cash Receipts Journal, pages 317-318 H. Printing the Cash Disbursements Journal, pages 318-319 I. Editing Journal Entries, page 320 J. Displaying the General Ledger Trial Balance, pages 321-322 K. Printing Financial Statements, page 322 1. Balance Sheet, pages 323-324 2. Income Statement, pages 324-325 L. Backing Up Chapter 10 Data, page 325 M. Export the General Ledger Trial Balance, Income Statement and Balance Sheet to Excel, pages 325-327 N. Save General Ledger Trial Balance and Financial Statements as PDF Files, page 327 O. Online Learning Center, page 327

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Chapter 10

Complete end-of-chapter activities at www.mhhe.com/yacht2013; select Student Edition, then Chapter 10. 1. Quizzes: Multiple Choice Quiz and True or False. Interactive online tests that are graded and can be emailed to the instructor. 2. More Resources: a. QA Templates: Answer 10 short-answer questions and one Analysis Question. b. Feature Quizzes: These quizzes review Sage 50’s user interface, business processes, and accounting principles. Immediate feedback is given for each answer. Questions are randomly assigned. c. Videos: In Chapter 10, the videos demonstrate recording Checks and Deposits. d. Narrated PowerPoints: Listen to narrated PowerPoints. e. Going to the Net Exercises: Access the Sage 50 Quantum Accounting website. f. Assessment Rubric: Complete the rubric to review Sage 50's journals, navigation centers, modules, task windows, and reports. The OLC also includes links to the Appendixes:    

Appendix A: Troubleshooting Appendix B: Accounting Information Systems Appendix C: Review of Accounting Principles Appendix D: Glossary (words that are boldfaced and italicized in chapter)

P. Exercise 10-1, pages 328-329 Q. Exercise 10-2, pages 330-331 R. Chapter 10 Index, page 332

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Solution to Exercise 10-2 (4)

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Chapter 10

Solution to Exercise 10-2 (5)

Solution to Exercise 10-2 (6)

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Solution to Exercise 10-2 (7)

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Chapter 10

Solution to Exercise 10-2 (8)

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Solution to Exercise 10-2 (9)

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Chapter 10

Solution to Exercise 10-2 (10)

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Solution to Exercise 10-2 (10) (concluded)

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Chapter 10

ANSWERS TO GOING TO THE NET Access the Sage 50 Quantum website http://na.sage.com/Sage-50-AccountingUS/products/quantum/features?WT.mc_id=50US_QTM_Features1 . Answer the following. 1.

How does Sage 50 Quantum help you manage your business with confidence? Manage Your Money Sage 50 Quantum Accounting is designed to be fully compliant with generally accepted accounting principles (GAAP), with features and checkpoints that provide the accuracy and security to run your business with peace of mind. Plus, it comes with analysis and reporting tools that give you insights that lead to ideas and innovation. Manage Your Business Sage 50 Quantum Accounting offers helpful tools to optimize your business processes, manage resources, track projects, tasks, and time, and put your business in the best possible position for improved profitability and sustainable growth. And, if inventory is part of your business, you can count on Sage 50 Quantum to have your back with its powerful inventory and workflow management tools. Manage Your Employees and Customers Keeping track of and communicating with employees and customers is critical to your business. Sage 50 Quantum helps you nurture your relationships with these important people with tools that help you manage the financial side (payroll, quotes, invoices, etc.) and communications (email marketing, management centers, and security) with ease and confidence. Industry Specific Functionality Sage 50 Quantum Accounting offers features for companies in industries such as Manufacturing, Distribution, Construction, and Nonprofit.

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Describe two industry-specific functions. Construction: Construction specific operational reports Labor burden assessment Progress billing Retainage management for companies using accrual based accounting Subcontractor insurance tracking Distribution: Buy/Sell in different units Enhanced kitting and assembly capabilities Inventory trend analysis Order/Sell using vendor part numbers Quantity price breaks Distribution specific operational reports Manufacturing: Enhanced assembly capabilities Creation and tracking of work tickets Enhanced BOM management Buy/Sell in different units Manufacturing specific operational reports Integration with MISys SBM solution Nonprofit: Donation receipts Fundraising letter template Member and pledges fees outstanding New customer/donor welcome letter template Unified chart of accounts United Way based chart of accounts

ANSWERS TO SHORT-ANSWER QUESTIONS 1. In Chapter 10, what source documents are used to complete Mr. Walsh’s accounting? Include the month in your answer. In Chapter 10, the source documents used are the October transaction register and bank statement.

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Chapter 10

2. The file restored to begin Chapter 10 is ________________? The file restored to begin Chapter 10 is Chapter 9 Beginning Balances.ptb. 3. To make sure you are starting in the appropriate place in the data, display this financial statement. Display the balance sheet to make sure you are starting in the correct place in the data. (See textbook page 286, Chapter 9, September 30, 2013 balance sheet.) 4. The Receipts window is also known as this journal___________. The Receipts window is also the Cash Receipts Journal. 5. The Write Checks window is also known as this journal __________. The Write Checks window is also the Cash Disbursements Journal. 6. When the Receipts window is used, what account is automatically debited? (Identify the account number and name.) On the Receipts window, Account No. 1020, Checking Account, is automatically debited. 7. When the Write Checks window is used, what account is automatically credited? (Identify the account number and name.) On the Write Checks window, Account No. 1020, Checking Account is automatically credited. 8. Explain Sage 50’s account reconciliation feature. Define bank reconciliation. Sage 50’s Account Reconciliation feature allows you to adjust Mr. Walsh’s bank statement. Another name for this is bank reconciliation—the process of bringing the balance of the bank statement and the balance of the cash account into agreement. The Account Reconciliation feature can be used with other accounts, too.

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9. What does the term transaction register refer to? The term transaction register is used for Mr. Walsh’s checking account activity. 10. The transaction register shows payments and deposits. What are two examples of payments, and what Sage 50 is used? What Sage 50 window is used to record deposits? Two examples of payments are checks issued and ATMs. Checks and ATMs are recorded on the Write Checks window. The Receipts window is used to record deposits. ANALYSIS QUESTION What is account reconciliation? ANSWER: Sage 50 reconciles the selected G/L account against your monthly statement. You can reconcile any general ledger account in Sage 50. Typically, you would reconcile bank accounts, cash accounts (such as petty cash), and credit card accounts. You should systematically reconcile accounts each period so that you can quickly detect bank errors, match real-world data with Sage 50 data, and identify possible fraudulent activity. The Account Reconciliation feature allows you to adjust the bank statement. Another name for this is bank reconciliation – the process of bringing the balance of the bank statement and the balance of the cash account into agreement. The Account Reconciliation feature applies to other accounts, too.

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Chapter 10

ASSESSMENT RUBRIC

Task ATM

Date

Navigation Center

10/2/13

Banking; Write Checks, New Check

Task Window Write Checks

(Exercise 10-1)

Journal Dr. and Cr. Cash Disbursements Journal Dr. Acct. No. 3930, Student Name, Draw, $100. Cr. Acct. No. 1020, Downtown Bank, $100.

Deposit

10/8/13

(Exercise 10-1)

Tasks; Receipts

Receipts

Cash Receipts Journal Dr. Acct. No. 1020, Downtown Bank, $2,105 Cr. Acct. No. 4000, Teaching Income, $2,105

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Chapter

Sage 50 Backup (.ptb) Excel (.xlsx) and Adobe (.pdf)

Kilobytes

Page Nos.

Chapter 10 Transaction Register October.ptb

971 KB

311-312

Chapter 10 October.ptb

987 KB

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Chapter 10_October Trial Balance and Financial Statements.xlsx

21 KB

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Chapter 10_October Trial Balance.pdf

36 KB

327

Chapter 10_October Balance Sheet.pdf

5 KB

327

Chapter 10_October Income Statement.pdf

5 KB

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Exercise 10-1.ptb

935 KB

329

Exercise 10-2.ptb

953 KB

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Exercise 10-2_October Trial Balance and Financial Statements.xlsx.

20 KB

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Exercise 10-2_October Trial Balance.pdf

50 KB

331

Exercise 10-2_October Balance Sheet.pdf

5 KB

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Exercise 10-2_October Income Statement.pdf

5 KB

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The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

CHAPTER 11 COMPLETING QUARTERLY ACTIVITIES AND CLOSING THE FISCAL YEAR Chapters 9, 10 and 11 work together. In Chapter 11, your students continue recording financial information for David Walsh Designer. They complete the Computer Accounting Cycle for December. Mr. Walsh’s transaction registers and bank statements are used as source documents. At the end of December, which is also the end of the quarter, students complete adjusting entries for Mr. Walsh, print financial statements, and close the fiscal year. LEARNING OBJECTIVES 1. Restore data from Chapter 10.1 (This backup was made on page 325.) 2. Define Sage 50’s General Ledger System. 3. Change accounting periods. 4. Record and post deposits, checks, and ATM transactions for November and December. 5. Complete account reconciliation. 6. Display Sage 50’s data file statistics window. 7. Print a General Ledger Trial Balance (unadjusted). 8. Journalize and post end-of-quarter adjusting entries in the General Journal. 9. Print the Adjusted Trial Balance and financial statements. 10. Close the fiscal year. 11. Print a Postclosing Trial Balance. 12. Make eight backups, save four Excel files, and save eight PDF files.

All activities in Chapters 9 and 10 must be completed before starting Chapter 11.

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Chapter 11

SCA TIPS, CHAPTER 11  Students must complete Chapters 9 and 10 before starting Chapter 11.  To check that students have completed Chapter 10, display David Walsh’s general ledger trial balance. Compare it to the one shown on textbook page 321. This is the trial balance at the end of Chapter 10 (Chapter 10 October.ptb file).  If any of the account balances are incorrect on the general ledger trial balance, follow the steps for Editing Journal Transactions on textbook page 320. Then, reprint the trial balance.  If your students do not get the correct year-to-date amounts on their Income Statement (textbook page 361) or Statement of Cash Flow (textbook page 363), their chart of accounts beginning balances may have been set up incorrectly (refer to textbook pages 281-285, steps 18, Entering Chart of Accounts Beginning Balances). David Walsh’s beginning balance sheet is dated October 1, 2013 (textbook page 281). Since Sage 50 posts on the last day of the month (September 30), students must set beginning balances for the preceding month— September 1 through 30, 2013. This is shown on the Select Period window illustration below step 3 on textbook page 282. To check that students have set up their beginning balance period from 9/1/13 through 9/30/13, follow these steps: 1. 2. 3. 4.

Start Sage 50, Open David Walsh Designer. Restore the Chapter 10 Beginning Balances.ptb file. From the menu bar, click on Maintain, Chart of Accounts. Then, click on the right-arrow next to Beginning Balances. Select the period From 9/1/13 through 9/30/13. Click on <OK>. The Beginning balances as of September 30, 2013 appear. Compare them to the September 30, 2013 balance sheet on textbook page 286. (The chart of accounts balances as of September 30, 2013 are the beginning balances for October 1, 2013. October 2013 is the first month for recording David Walsh Designer data. The Select Period window on textbook page 282 (below step 3) shows that the period to choose for beginning balances must be From 9/1/13 through 9/30/13. Step 3 on textbook page 282 reminds The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

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students to recheck the period before continuing. On textbook page 283, step 6, students are reminded to make sure that their beginning balances are as of September 30, 2013. If they enter the beginning balances for the wrong month, their Income Statement and Statement of Cash Flow will not show the current month and year-todate amounts correctly.  If student files are incorrect, you can restore files from the Instructor’s Resource CD (ISBN 007763201X) or go online to http://www.mhhe.com/yacht2013 and download the appropriate file from the password-protected Instructor Edition site. If necessary, you could give students the solution file so they can continue with correct data. Refer to the Part 2 introduction, textbook pages 253-254 for backup file names and the pages where the files were backed up.  When you or your students start the Year-End Closing process, Sage 50 may say that not all journals are posted. Your students may be using Batch posting instead of Real-time posting. From the menu bar, select Maintain; Company Information. The Posting Method field should show Real time. If necessary, select Real time instead of Batch. If the posting method is correct, your students may have Memorized a transaction instead of selecting Save to post. Go to Maintain, Memorized Transactions. Then follow this example: 1) select Payments from the memorized transactions drop-down list. 2) Look in the Transaction ID field. 3) If anything is listed, select it. On the Maintain Memorized Payments window, there is a Select icon. Click on the Select icon to insert into a Tasks window. Then, by clicking on Save from the tasks window, the transaction can be posted. 4) Go back to Maintain, Memorized Transactions and check each option. LECTURE OUTLINE FOR CHAPTER 11 A. Learning Objectives, page 333 B. General Ledger System (GL), pages 333-334 C. Getting Started, pages 335-337 D. Transaction Register and Bank Statement: November 2013, pages 337-345

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Chapter 11

E. Backing Up November Data, page 346 F. Data File Statistics, pages 346-347 G. Changing Accounting Periods, page 348 H. Transaction Register and Bank Statement: December 2013, pages 348-353 I. Backing Up the Unadjusted Trial Balance, pages 353-354 J. End-of-Quarter Adjusting Entries, pages 354-363 K. Backing Up December Data, page 364 L. Export Financial Statements to Excel and Save PDF Files, pages 364365 M. Closing the Fiscal Year, pages 365-370 N. Printing the Postclosing Trial Balance, pages 370-371 O. Backing Up Year-End Data, page 372 P. Export Postclosing Trial Balance to Excel and Save PDF file, page 372 Q. Online Learning Center, page 372 Complete end-of-chapter activities at www.mhhe.com/yacht2013, select Student Edition, then Chapter 11 1. Quizzes: Multiple Choice Quiz and True or False. Interactive online tests that are graded and can be emailed to the instructor. 2. More Resources: a. QA Templates: Answer 10 true/make sure questions and three Analysis Question. b. Feature Quizzes: These quizzes review Sage 50’s user interface, business processes, and accounting principles.

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Immediate feedback is given for each answer. Questions are randomly assigned. c. Narrated PowerPoints: Listen to narrated PowerPoints. d. Going to the Net Exercises: Download a Microsoft Excel asset depreciation template online. Complete four depreciation methods. e. Assessment Rubric: Complete the rubric to review Sage 50's journals, navigation centers, modules, task windows, and reports. The OLC also includes links to the Appendixes:    

Appendix A: Troubleshooting Appendix B: Accounting Information Systems Appendix C: Review of Accounting Principles Appendix D: Glossary (words that are boldfaced and italicized in chapter)

R. Exercise 11-1, pages 373-376 S. Exercise 11-2, pages 376-379 T. Chapter 11 Index, page 380

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Chapter 11

Solution to Exercise 11-1 (6)

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Solution to Exercise 11-1 (7)

Solution to Exercise 11-1 (8)

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Chapter 11

Solution to Exercise 11-1 (9)

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Solution to Exercise 11-1 (10)

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Chapter 11

Solution to Exercise 11-1 (11)

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Solution to 11-1 (12) (Continued)

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Chapter 11

Solution to Exercise 11-1 (12) (concluded)

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Solution to Exercise 11-2 (6)

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Chapter 11

Solution to Exercise 11-2 (7)

Solution to Exercise 11-2 (8)

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Solution to Exercise 11-2 (9)

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Chapter 11

Solution to Exercise 11-2 (10)

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Solution to Exercise 11-2 (11) – Unadjusted Trial Balance

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Chapter 11

Solution to Exercise 11-2 (14) - Adjusting entries

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Solution to Exercise 11-2 (15) – Adjusted Trial Balance

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Chapter 11

Solution to Exercise 11-2 (16)

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Solution to Exercise 11-2 (16) (continued)

Comment What if your students Income Statement and Statement of Cash Flow (page 213 - IMK) have different amounts shown in the Year to Date column? See the fourth SCA Tip, page 194 - IMK, to check that your students set their chart of accounts beginning balances correctly. For Exercise 9-1, Crafts by Student Name, students should have set their chart of accounts beginning balances for 9/1/13 through 9/30/13. Refer to step 3, textbook page . (For more information, refer to Entering Chart of Accounts Beginning Balances, pages 281-285, steps 1-8; and Display the September 30, 2013 Balance Sheet, pages 285-286.

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Chapter 11

Solution to Exercise 11-2 (16) (continued)

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Solution to Exercise 11-2 (16) (concluded)

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Chapter 11

Solution to Exercise 11-2 (19) – Postclosing Trial Balance

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ANSWERS TO GOING TO THE NET

The four depreciation methods shown are: Double Declining Balance; Straight-Line; Sum of Years Digits; and 150% Declining Balance. The Excel Report Solution folder on the Instructor’s Resource CD (ISBN 007763201X) and Instructor Edition website at http://www.mhhe.com/yacht2013 has two files for the asset depreciation schedule: 1. The template file: Asset depreciation schedule.xlt (blank workbook). 2. The Excel file: Asset depreciation.xlsx.

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Chapter 11

ANSWERS TO TRUE/MAKE TRUE QUESTIONS 1.

You can complete the activities in Chapter 11 without completing Chapters 9 and 10. You must complete Chapters 9 and 10 before starting Chapter 11.

Step 4 of SCA's Computer Accounting Cycle is reconciling the bank statement. True

To change an accounting period, use the Maintain menu. To change an accounting period, select Tasks, then the System menu.

David Walsh’s transaction register and bank statement are used as source documents for recording journal entries. True

The account reconciliation feature can reconcile the cash account only. The account reconciliation feature may be used to reconcile the account specified in the Account to Reconcile field.

The accounting periods used in Chapter 11 are November 1 - 30 and December 1 - 31, 2013. True

SCA includes an editing feature so that records can be corrected. True

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To close the fiscal year, use the System menu selection, Year-End Wizard. True

When the fiscal year is closed, an adjusted trial balance is displayed or printed. False. When the fiscal year is closed, a postclosing trial balance is displayed or printed.

10. The statement of retained earnings and the postclosing trial balance show the same balance for retained earnings. True. ANALYSIS QUESTION 1. When using Sage 50 why is it important to change accounting periods? (Hint: Do a search on Sage 50’s Help window for Change Accounting period.) ANSWER: Accounting Periods define segments of your fiscal year. Sage 50 permits you to operate within two open fiscal years. The Change Accounting Period window serves two purposes. First, it informs you of your company's current fiscal year and payroll tax year setup. Second, this window permits you to move to an alternate accounting period. Typically, you'll do this at the beginning of each new accounting period. 2. Does the balance in retained earnings differ on the adjusted trial balance and the postclosing trial balance? Answer is below #3. 3. How does the postclosing trial balance differ from the adjusted trial balance?

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Chapter 11

ANSWER (answers #2 and #3): The adjusted trial balance shows all accounts in the general ledger that have account balances. This includes the revenue and expense accounts. Since the revenue and expense accounts have not been closed, there is no balance in Account No. 3910, Retained Earnings, on the adjusted trial balance. At the end of the fiscal year, the temporary owner’s equity accounts (revenues, expenses, and drawing) are closed to a permanent owner’s equity account. In Sage 50, there are two permanent owner’s equity accounts: the owner’s capital account and the Retained Earnings account. Sage 50 closes the temporary accounts to the Retained Earnings account. After the fiscal year is closed, a postclosing trial balance is printed. Only permanent accounts appear on the postclosing trial balance. All temporary accounts (revenues and expenses) have been closed. The postclosing trial balance shows a balance in Account No. 3910, Retained Earnings. The retained earnings account balance is net income minus the account balance in the drawing account. The Retained Earnings balance on the postclosing trial balance agrees with Sage 50’s Statement of Retained earnings. ASSESSMENT RUBRIC

Task

Date

December bank reconciliation

Dec. 31, 2013

Navigation Center Banking; Reconcile Accounts, Select Account No. 1020, Checking Account

Task Window Account Reconciliation

Ending GL Balance $19,712.47

David Walsh Designer

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Completing Quarterly Activities and Closing the Fiscal Year

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Continued

The Going to the Net exercise for Chapter 11 is included on the Online Learning Center at www.mhhe.com/yacht2013, Student Edition, select Chapter 11.

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The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

CHAPTER 12 VENDORS & PURCHASES Chapter 12 begins Part 3 of the book: Sage 50 Complete Accounting 2013 for Merchandising Businesses. Merchandising businesses are retail stores that resell goods and services. In this chapter, your students set up two merchandising business–Nancy’s Service Merchandise and Student Name Sales and Service. Nancy’s Service Merchandise is a partnership owned by Tony Ziegler and Nancy Ogburn. Mr. Ziegler and Ms. Ogburn divide their income equally. Student Name Sales and Service is a sole proprietorship. Merchandising businesses purchase the merchandise they sell from suppliers known as vendors. Vendors are the businesses that offer Nancy’s Service Merchandise credit to buy merchandise and/or assets, or credit for expenses incurred. When Nancy’s Service Merchandise makes purchases on account from these vendors, the transactions are known as accounts payable transactions. SCA organizes and monitors Nancy’s Service Merchandise's accounts payable. Accounts Payable is the amount of money the business owes to suppliers or vendors. When your students enter a purchase, they first enter the vendor's code. The vendor’s name and address information, the standard payment terms, and the general ledger purchase account are automatically entered in the appropriate places. This information can be edited if any changes are needed. This works similarly for accounts receivable. Once your students have entered purchase information, printing a check to pay for a purchase is simple. When the student enters the vendor's code, a list of purchases displays. The student selects the purchase invoices to be paid, then clicks on the Pay box. At that point, the student can also print the check. The diagram on the next page illustrates how vendors are paid.

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Vendor sends Nancy's Service Merchandise an invoice (bill)

You enter the invoice as a purchase.

When it is time to pay the invoice, you select the invoice(s) from the vendor you want to pay and print a check.

LEARNING OBJECTIVES 1. Set up company information for Nancy’s Service Merchandise, a merchandising business. 2. Enter general ledger information – chart of accounts and beginning balances. 3. Enter accounts payable information – vendor defaults and vendor records. 4. Enter inventory information – inventory defaults, inventory items, and inventory beginning balances. 5. Record and post Vendors & Purchases transactions. 6. Make eight backups, save two Excel files, and save five PDF files. 1 SCA TIPS, Chapter 12  Students set up two merchandising businesses in Chapter 12: Nancy’s Service Merchandise and in Exercise 12-1, Student Name Sales and

Refer to the chart on textbook pages 394-396 for the file names and sizes of the backup files and Excel files.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Vendors & Purchases 251 - IMK

Service. The two businesses that students begin in Chapter 12 are continued in Chapters 13, 14, 15.  In Windows 7 and Vista, the computer owner is identified when files are backed up or saved. To see which user saved the file, right-click on the Start button, left-click Explore. Go to the location of the backup file; right-click on the filename, left-click Properties. The Security tab shows the Group or user names; the Details tab shows the Owner and Computer name. The time and date created and modified are also shown. The same steps can be used to check .ptb files (extension used for Sage 50 backups); Excel files (.xlsx and .xls extensions); and Word files (.docx and .doc extensions). To verify student files, you may want to look at the file properties.  Chapter 12 includes two videos at http://www.mhhe.com/2013: Record Purchases and Vendor Payments. Go online to http://www.mhhe.com/yacht2013; link to Student Edition, choose Chapter 12, then link to Record Purchases or Vendor Payments. Students can view these videos with an Internet browser or iPad/iPod. Comment: What if your students want to use Nancy’s Service Merchandise on a computer that does not have this company set up in Sage 50?

When your students set up the new company, Nancy’s Service Merchandise, a folder or subdirectory is placed on the hard drive of the computer they are using. The default program path and data path is C:\Program Files\Sage Software\ Peachtree\ Company\xxxxxxxx. (Substitute the x’s for the shortened company name). Some computer labs delete subdirectories from the hard drive; for example, a backup file exists but the company is not shown when your student opens an existing company or selects browse to check for that company. Or, the computer lab has Sage 50 Complete Accounting 2013 installed but not the companies that students previously set up. Students can restore to an existing company—one that is previously set up—or they can restore to a new company, bypassing the process of setting up a new company. The Restore Wizard includes two options on the Select Company screen: An Existing Company and A New Company. If A New Company is selected, then the company will be named exactly as the backup file selected. If you start Sage 50 and the appropriate company cannot be opened, use the Restore Wizard to select A New Company. Using the appropriate backup file, and the selection for A New Company, your students are able to start where they left off the last time they used Sage 50. This is also the method for restoring PTB files from the Instructor’s Edition website. PTB is the extension used by Sage 50 to identify backup files.

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Chapter 12

LECTURE OUTLINE FOR Chapter 12 A. Learning Objectives, page 397 B. Getting Started, pages 398-404 C. General Ledger, pages 404-405 1. Chart of Accounts, pages 406-408 2. Backing up the Chart of Accounts, page 408 3. Beginning Balances, pages 409-411 4. Backing Up Beginning Balances, page 411 E. Accounts Payable: Vendors, pages 412-417 F. Inventory & Services, pages 417-418 1. Inventory Defaults, pages 418-420 2. Inventory Items, pages 420-424 3. Inventory/Service Management, page 425 G. Backing Up Your Data, page 425 H. Vendors & Purchases: Purchases/Receive Inventory, pages 425-426 1. Recording Purchases, pages 426-431 2. Additional purchases, page 431 I. Cash Purchases: Write Checks, pages 431-433 1. Printing (or displaying) the check, pages 433-437 J. Purchase Returns: Credits & Returns, pages 437-439 1. Paying a vendor, minus a return of merchandise, pages 439-442 K. Paying Specific Vendor Invoices, pages 442-443 1. Editing payments, pages 443-444

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Vendors & Purchases 253 - IMK

L. Printing the Purchase Journal and Cash Disbursements Journal, pages 444-447 M. Vendor Ledgers, pages 447-448 N. Printing the General Ledger Trial Balance, pages 448-449 O. Backing Up Chapter 12 Data, page 449 P. Export Reports to Excel, pages 449-451 Q. Online Learning Center, pages 451-452 Complete end-of-chapter activities at www.mhhe.com/yacht2013, select Student Edition, then Chapter 12. 1. Quizzes: Multiple Choice Quiz and True or False. Interactive online tests that are graded and can be emailed to the instructor. 2. More Resources: a. QA Templates: Answer 10 true/make sure questions and three Analysis Question. b. Videos: Watch the Purchases and Payments videos. c. Feature Quizzes: These quizzes review Sage 50’s user interface, business processes, and accounting principles. Immediate feedback is given for each answer. Questions are randomly assigned. d. Narrated PowerPoints: Listen to narrated PowerPoints. e. Going to the Net Exercises: Watch videos about Sage 50 Accounting 2013 features. f. Assessment Rubric: Complete the rubric to review Sage 50's journals, navigation centers, modules, task windows, and reports. The OLC also includes links to the Appendixes:    

Appendix A: Troubleshooting Appendix B: Accounting Information Systems Appendix C: Review of Accounting Principles Appendix D: Glossary (words that are boldfaced and italicized in chapter)

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Chapter 12

R. Exercise 12-1, pages 452-459 S. Exercise 12-2, pages 459-461 T. Chapter 12 Index, page 462

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Vendors & Purchases 255 - IMK

Solution to Exercise 12-1 (4)

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

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Chapter 12

Solution to Exercise 12-1 (4) (Concluded)

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Solution to Exercise 12-1 (5)

To print the December 31, 2012 balance sheet, display the balance sheet. Select Options; in the Time Frame field, select Range; in the From field select Per start (12/1/12; in the To field, select Per end (12/31/12).

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Solution to Exercise 12-2 (3)

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Vendors & Purchases 259 - IMK

Solution to Exercise 12-2 (4)

Solution to Exercise 12-2 (5)

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Chapter 12

Solution to Exercise 12-2 (6)

ANSWERS TO GOING TO THE NET Watch brief videos about benefits of Sage 50 Accounting 2013. Go online to http://www.sage50release2013.com/2013features/. Select two videos to watch. 1. List the videos shown on this website. Watch two videos. Prior Period Account Reconciliation Quickly Mark Vendor Records as Inactive More Efficient Check Printing Sage 50 Business Intelligence with New Inventory Analysis Report Better Than Ever Sage Payment Solutions Sage E-Marketing Sage Business Care

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Vendors & Purchases 261 - IMK

2. Briefly describe the features shown. Answers will vary. ANSWERS TO TRUE/MAKE TRUE QUESTIONS Type the word True in the space provided if the statement is true. If the statement is not true, type the correct answer. 1. Accounts Payable is money you pay to customers. Accounts payable is the money owed to supplier or vendor. 2. Vendor default information needs to be set up to establish the criteria used when computing vendor discounts. True 3. Each time you use the Write Checks window, you are journalizing in the Cash Disbursements Journal. True 4. The purchase discount offered to Nancy’s Service Merchandise from their vendors is 2% 10, Net 30 Days True 5. Each time you use the Payments window, you are journalizing in the Purchases Journal. Each time you use the Payments window, you are journalizing in the Cash Disbursements Journal. 6. The merchandise that Nancy’s Service Merchandise buys from Ronnie Becker Fabrics is classified as wall coverings. True

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Chapter 12

7. The detailed types list includes chart of accounts numbers with five digits. True. 8. The Maintain Vendors window is used to enter information about vendors from whom you purchase merchandise. True 9. All accounting software applications, regardless of the size of the company, are the same. Differences between accounting software applications include the depth of processing, enhanced features and functions, and the size of the database. As the database gets larger, the depth of processing increases and more features and functions are available. As companies increase in size, accounting software also changes. 10. Each accounting software application (for example, Sage 50, QuickBooks, and Microsoft Dynamics GP) has a unique system design. Most accounting software organizes the user interface into modules: Accounts Payable (Vendors & Purchases); Accounts Receivable (Customers & Sales), Banking, etc. For this reason, Sage 50, QuickBooks, and Microsoft Dynamics GP look and work similarly. ANALYSIS QUESTION What is the balance in the Accounts Payable account, Nancy’s Service Merchandise? Why? ANSWER: The balance in the Accounts Payable account is $300. This balance reflects the amount owed to the vendor, Jerry Johnson Hardware. The Vendors Ledgers subsidiary account balance is the same as the Accounts Payable controlling account balance in the general ledger.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

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ASSESSMENT RUBRIC Date 1/3/13

1/6/13

Transaction Invoice No. 480CP was received from Curt Perkins Tools for the purchase of 10 tool kits for a unit cost of $30.

Returned two tool kits to Curt Perkins Tools, Invoice No. 480CP. Paid $30 for each tool kit: VCM480CP.

Navigation Center/Module Vendors & Purchases; Enter Bills, New Bill

Task Window Purchases/Receive Inventory window

Dr. 12000, Merchandise Inventory, $300

Accounts Payable

Vendors & Purchases; Credits and Returns, New Vendor Credit Memo

Vendor Credit Memos window

Issued Check No. 2021 to Curt Perkins Tools for merchandise purchased on January 3, less the January 6 return, Invoice No. 480CP.

Vendors & Purchases; Pay Bills, Pay Bill Accounts Payable

Cr. 20000, Accounts Payable/Curt Perkins Tools, $300 Purchases Journal Dr. 12000, Merchandise Inventory, $60

Accounts Payable

1/10/13

Journal Dr./Cr. Purchases Journal

Payments window

Cr. 2000, Accounts Payable/Curt Perkins Tools, $60 Cash Disbursements Journal Dr. 20000, Accounts Payable/Curt Perkins Tools, $240. Cr. 59500, Purchase Discounts, $4.80 Cr. 10200, Southeast Bank, $235.20, Check No. 2021

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The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

CHAPTER 13 CUSTOMERS & SALES In Chapter 13, students learned how to use SCA’s Customers & Sales features. Now that merchandise was purchased from vendors, students are ready to sell that merchandise. In order to do that, students complete Chapter 13, Customers & Sales, and learn how to use SCA’s Sales/Invoicing and Receipts features. In Chapter 3, Customer Transactions, students entered a sales invoice for Bellwether Garden Supply, the unit price, description, account number, and sales taxes were automatically calculated. You may want to have students review Chapter 3, textbook pages 107 through 117 to see how this worked. Before students use the Sales/Invoicing window, they need to set up customer defaults, sales tax information, and customer maintenance information. After these defaults are set up, SCA uses that information when a sale is recorded. In Chapter 13, students learn about SCA’s accounts receivable system. Accounts receivable are what customers owe the business. Credit transactions from customers are called accounts receivable transactions. Customer receipts work similarly to paying vendor invoices. When a customer pays an existing invoice there are two steps: 1.

Enter the customer's ID code so that a list of existing invoices for the customer displays.

Select the invoice that applies to the customer's check, then select the Pay box.

The diagram on the next page shows how SCA's accounts receivable system works.

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Chapter 13

Record, then print a sales invoice.

The customer sends a check to pay for the credit sale.

Select the invoice that applies to the customer's check, then select the pay box.

LEARNING OBJECTIVES 1. Restore data from Chapter 12. (This backup was made on textbook page 449.) 2. Set up customer default information. 3. Set up sales tax information. 4. Set up customer maintenance information. 5. Record credit sales, cash sales, and sales returns. 6. Record customer receipts, partial payments, and edit invoices. 7. Make four backups, save two Excel files, and save three PDF files. (For the size of backed up and saved files, refer to the chart on page 274 - IMK or textbook pages 394-395.) SCA TIPS, Chapter 13  Students must complete Chapter 12 before they start Chapter 13. Both companies set up in Chapters 12 continue in Chapters 13, 14, and 15.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Customers & Sales 267 - IMK

 If the general ledger account (GL account column) is not displayed on the Sales/Invoicing window, check the global options. In the Hide General Ledger Accounts section, all boxes must be unchecked. LECTURE OUTLINE FOR Chapter 13 A. Learning Objectives, pages 463-465 B. Getting Started, pages 465-466 1. Setting up customer defaults, pages 466-467 2. Setting up sales tax defaults, pages 467-472 3. Setting up customer maintenance information, pages 472-476 C. Backing Up Your Data, page 476 D. Recording Sales, pages 476-477 1. Entering invoices for credit sales, pages 477-478 2. Printing sales invoices, pages 478-483 3. Entering a service invoice, pages 484-486 4. Sales returns: credit & returns, pages 487-489 E. Recording Receipts and Cash Sales, pages 489-490 1. Entering a receipt, pages 490-492 2. Cash sales, pages 492-494 3. Finance charges, page 494 F. Printing Customer Forms, pages 494-495 1. Printing invoices, page 495 2. Printing statements, pages 495-496 3. Printing mailing labels, page 496 4. Preparing collection letters, pages 496-499 G. Printing the Sales Journal, pages 499-500 H. Printing the Cash Receipts Journal, pages 500-501

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Chapter 13

I. Printing the Customer Ledgers, pages 501-502 J. Printing the General Ledger Trial Balance, pages 502-503 K. Editing Receipts, pages 503-504 L. Backing Up Chapter 13 Data, page 504 M. Export Reports to Excel, page 504 N. Online Learning Center, page 505 Complete end-of-chapter activities at www.mhhe.com/yacht2013; select Student Edition, then Chapter 13. 1. Quizzes: Multiple Choice and True False questions. Interactive online tests that are graded and can be emailed to your instructor. 2. More Resources: a. QA Templates: Answer 10 multiple-choice questions and one Analysis Question. b. Videos: Watch the Sales Invoice and Customer Payments videos. c. Feature Quizzes: These quizzes review Sage 50’s user interface, business processes, and accounting principles. Immediate feedback is given for each answer. Questions are randomly assigned. d. Narrated PowerPoints: Listen to the narrated PowerPoints. e. Going to the Net Exercises: Read information about accounts receivable on the Business Owner’s Toolkit website. f. Assessment Rubric: Complete the rubric to review Sage 50's journals, navigation centers, modules, task windows, and reports. The OLC also includes links to the Appendixes:

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Customers & Sales 269 - IMK    

Appendix A: Troubleshooting Appendix B: Accounting Information Systems Appendix C: Review of Accounting Principles Appendix D: Glossary (words that are boldfaced and italicized in chapter)

O. Exercise 13-1, pages 506-507 P. Exercise 13-2, pages 508-509 Q. Chapter 13 index, page 510 Solution to Exercise 13-2 (4)

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Chapter 13

Solution to Exercise 13-2 (5)

Solution to Exercise 13-2 (6)

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Customers & Sales 271 - IMK

Solution to Exercise 13-2 (7)

ANSWERS TO GOING TO THE NET Access the Business Owner’s Toolkit website at http://www.bizfilings.com/toolkit/sbg/finance/bookkeeping/accounting-forcash-transactions.aspx. Scroll down to Understanding Accounts Receivable (or press <Ctrl>+<F> to find Understanding Accounts Receivable.) Answer the following questions. 1. What is the common abbreviation for accounts receivable? The abbreviation commonly used for accounts receivable is A/R. 2. What is the control account for customer sales on account?

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The control account is the total accounts receivable balance from the general ledger. 3. How is the ending accounts receivable total computed? The beginning accounts receivable total, plus charge sales for the month, minus payments on account for the month, should equal the ending accounts receivable total. ANSWERS TO MULTIPLE CHOICE QUESTIONS 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15.

d (Arizona) c (Accounts receivable) c (8%) a (Customers & Sales; Receive Money, Receive Money from Customer) c (Customers & Sales; Sales Invoices, New Sales Invoice) c (a. and b.) d (Vendors) b (Customer ledger) c (Account No. 23100) b (ap001) c (Receipts) a (Account No. 40000) a (Credit memo) d (Chapter 13) d (Account No. 40200)

ANALYSIS QUESTION What is the balance in the Accounts Receivable account, Nancy’s Service Merchandise? Why? ANSWER: The balance in the Accounts Receivable account of Nancy’s Service Merchandise is $381. This balance reflects the customer account balance for Jessica Prince. The Customers Ledgers subsidiary account balance is the same as the Accounts Receivable controlling account balance in the general ledger.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Customers & Sales 273 - IMK

ASSESSMENT RUBRIC Date

Transaction

1/6

Sold five tool kits on account to Aaron Costa, Invoice 101.

Navigation Center/Module Customers & Sales; Sales Invoice, New Sales Invoice

Task Window Sales/Invoicing

Journal Dr./Cr. Sales Journal Dr. 50500, Cost of Sales, Tools, $150

Accounts Receivable

Dr. 11000, Accounts Receivable/Aaron Costa, $459 Cr. 23100, Sales Tax Payable, $34 Cr. 40200, SalesTools, $425

1/10

Aaron Costa returned one of the tool kits purchased on 1/6, Invoice No. 101, CM101. Mr. Costa also paid the balance of Invoice 101.

Customers & Sales, Credits and Returns, New Credit Memo Accounts Receivable

Credit Memos

Cr. 12000, Merchandise Inventory, $150 Sales Journal Dr. 23100, Sales Tax Payable, $6.80 Dr. 40200, SalesTools, $85 Dr. 12000, Merchandise Inventory, $30 Cr. 50500, Cost of Sales-Tools, $30 Cr. 11000, Accounts Receivable/Aaron Costa, $91.80

Continued

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Chapter 13

Receipts window

Cash Receipts Journal Dr. 10200, Southeast Bank, $367.20 Cr. 11000, Accounts Receivable/Aaron Costa, $367.20

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The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

CHAPTER 14 INVENTORY & SERVICES Merchandise inventory includes all goods owned by the business and held for sale. The account used for Nancy’s Service Merchandise inventory account is Account No. 12000, Merchandise Inventory. SCA uses a perpetual inventory system. In a perpetual inventory system a merchandising business continuously updates inventory each time an item is purchased or sold. Inventory calculations include FIFO, LIFO, and average cost methods. The FIFO (first in, first out) method assumes that the items in the beginning inventory are sold first. The LIFO (last in, first out) method assumes that the goods received last are sold first. The average cost method is the default that SCA uses for inventory items sold. The formula used is: Average Cost x Quantity Sold = Cost of Sales. SCA tracks the inventory items that are purchased and sold. After you post, SCA automatically updates the cost and quantity of each inventory item. Generally, all of your inventory should use the same costing method. Tracking inventory is a three-step process:  Enter item information, including Sales account, Merchandise Inventory account, and Cost of Sales account.  Use item codes when entering purchases and sales. SCA automatically calculates and tracks average cost, which is the default, using this to compute and enter the Cost of Sales. You can change the cost method to LIFO (last in, first out) or FIFO (first in, first out). This chapter explains these inventory cost methods in detail.  If necessary, enter inventory adjustments. SCA does the rest automatically: adjusts inventory levels each time you post a purchase or sale of an inventory item, tracks the cost of each item, and makes a Cost of Goods Sold Journal entry at the end of the accounting period.

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COST METHODS SCA includes three types of cost methods for inventory: average cost, LIFO, and FIFO. Once you select the costing method for an inventory item, you cannot change it if transactions have been posted. Therefore, if you want to change the cost method for an item with posted transactions, you must enter the item again. Average Cost When students set up inventory items for Nancy’s Service Merchandise, they selected the Average cost method. In Chapter 12, Nancy’s Service Merchandise purchased four pairs of curtains from Ronnie Becker Fabrics at $30 each. What happens when these curtains are sold? The journal entries would look like this: Purchased four pairs of curtains from Ronnie Becker Fabrics at $30 each. (This is Invoice 210, textbook page 431.) Account ID

Account Description, Inv. No. 210

12000

Merchandise Inventory

20000/RBF08

Accounts Payable/Ronnie Becker Fabrics

Debit

Credit

$120.00 $120.00

Sold four pairs of curtains to Peter Malin at $100 each. (This is Invoice 103, textbook page 483.) Account ID

Account Description, Inv. No. 103

Debit

Credit

50500

Cost of Sales-Wall

$120.00

11000/pm005

Accounts Receivable/Peter Malin

432.00

12000

Merchandise Inventory

$120.00

40400

Sales-Wall

400.00

23100

Sales Tax Payable

32.00

You can see from these journal entries that the Merchandise Inventory account is constantly updated with each purchase and sale. After these transactions, the balance in Merchandise Inventory looks like the T-account shown on the next page.

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Merchandise Inventory, Account No. 12000 Purchased inventory

$120 Sold Inventory

Balance

$120

LIFO (Last In, First Out) The LIFO (last in, first out) method of inventory pricing assumes that the last goods received are sold first. LIFO assumes that cost is based on replacement and that the last price paid for merchandise is more accurate. Accountants recommend that you select LIFO when you desire to charge the most recent inventory costs against revenue. LIFO yields the lowest amount of net income in periods of rising costs because the cost of the most recently acquired inventory more closely approximates the replacement cost. FIFO (First In, First Out) The FIFO (first in, first out) method of inventory pricing assumes that the items in the beginning inventory are sold first. FIFO costs your sales and values your inventory as if the items you sell are the ones that you have had in stock for the longest time. Accountants recommend that you select FIFO when you desire to charge costs against revenue in the order in which costs occur. FIFO yields a higher amount of profit during periods of rising costs. This happens because merchandise was acquired prior to the increase in cost. TYPES OF INVENTORY ITEMS There are nine types of inventory items in SCA:  Stock item: This is the default in the Item Class list. It is the traditional inventory item tracking descriptions, unit prices, stock quantities, and Cost of Sales. For stock items, you should complete the entire window. Once an item has been designated as a stock item, the type cannot be changed.

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 Master Stock Item: SCA uses this item class as a special item that does not represent inventory stocked but contains information (item attributes) shared with a number of substock items.  Non-stock item: SCA tracks the description and a unit price for sales. You can also track default accounts. You might use this type for service items such as hours where the unit price is set.  Description only: SCA keeps track of the description of an Inventory Item. This saves time when entering purchases and sales because you don't have to retype the description. You might use this type for service items where the price fluctuates.  Service: This is for services you can apply to your salary and wages account.  Labor: This is for labor you can apply to your salary and wages account. You cannot purchase labor items but you can sell them.  Assembly: You can specify items as assembly items and create a bill of materials for a unit made up of component stock or subassembly items.  Activity item: To indicate how time is spent when performing services for a customer, for a job, or for internal administrative work. Activity items are used with the Time & Billing feature.  Charge item: Expenses recorded by an employee or vendor when company resources are used for a customer or job. LEARNING OBJECTIVES 1. Restore data from Chapter 13. (This backup was made on textbook page 504.) 2. Enter inventory maintenance and default information. 3. Enter inventory item information, including Sales account, Merchandise Inventory account, and Cost of Sales account. 4. Enter item codes when recording purchases and sales. 5. Enter inventory adjustments.

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6. Make three backups, save two Excel files, and save five PDF files. SCA TIPS, CHAPTER 14  Chapters 12 and 13 must be completed before starting Chapter 14.  In Chapters 12 through 14, Sage 50 automatically uses the average inventory method. LECTURE OUTLINE FOR CHAPTER 14 A. Learning Objectives, page 511 B. Cost Methods, page 512 1. Average Cost, pages 512-513 2. LIFO (Last In, First Out), page 513 3. FIFO (First In, First Out), page 514 C. Types of Inventory Items, pages 514-515 D. Getting Started, page 515 E. Inventory Defaults, pages 516-517 F. Entering Inventory Item Maintenance Information, pages 517-520 G. Backing Up Your Data, page 520 H. Inventory Adjustments, pages 520-522 I. Additional Transactions, pages 522-524 J. Printing Reports, pages 524-532 K. Backing Up Chapter 14 Data, page 533 L. Export Reports to Excel, pages 533 M. Online Learning Center, pages 533-534

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Complete end-of-chapter activities at www.mhhe.com/yacht2013; select Student Edition, then Chapter 14. 1. Quizzes: Multiple Choice and True False questions. Interactive online tests that are graded and can be emailed to your instructor. 2. More Resources: a. QA Templates: Answer 10 short-answer questions and one Analysis Question. b. Feature Quizzes: These quizzes review Sage 50’s user interface, business processes, and accounting principles. Immediate feedback is given for each answer. Questions are randomly assigned. c. Narrated PowerPoints: Listen to the narrated PowerPoints. d. Going to the Net Exercises: Read information on the Small Business Knowledge Base website. e. Assessment Rubric: Complete the rubric to review Sage 50's journals, navigation centers, modules, task windows, and reports. The OLC also includes links to the Appendixes:    

Appendix A: Troubleshooting Appendix B: Accounting Information Systems Appendix C: Review of Accounting Principles Appendix D: Glossary (words that are boldfaced and italicized in chapter)

N. Exercise 14-1, pages 534-535 O. Exercise 14-2, pages 535-536 P. Chapter 14 Index, page 537

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Solution to Exercise 14-2 (2)

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Solution to Exercise 14-2 (4)

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Solution to Exercise 14-2 (5)

Solution to Exercise 14-2 (6)

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ANSWERS TO GOING TO THE NET Access the BizMove.com website at http://www.bizmove.com/finance/m3d3.htm. Scroll down the window to Merchandise Inventories: Perpetual Inventory. (Hint: To find areas on the website, use <Ctrl+F>.) Answer these questions about perpetual inventory. 1. What is perpetual inventory at retail? Perpetual inventory involves keeping records at both retail and cost. Purchases are added to the beginning inventory at retail, (with each invoice priced at the expected selling price), and all sales and markdowns are deducted. This results in a perpetual inventory at retail. 2. When is a physical count of inventory necessary? A physical count is necessary at least once a year to determine inventory shrinkage. ANSWERS TO SHORT-ANSWER QUESTIONS: Answers will vary. 1. Identify and explain the three-step process for tracking invenory. Tracking inventory is a three-step process: a. Enter item information, including Sales account, Merchandise Inventory account, and Cost of Sales account. b. Use item codes when entering purchases and sales. SCA calculates and tracks average cost, which is the default, using this to calculate and enter Cost of Sales. c. If necessary, enter inventory adjustments. 2. Explain how SCA uses a perpetual inventory system. SCA uses a perpetual inventory system. In a perpetual inventory system a merchandising business continuously updates inventory each time an item is purchased or sold.

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3. Define the term merchandise inventory. Merchandise inventory includes all goods owned by the business and held for sale. 4. Explain the terms Average Cost, LIFO and FIFO. The average cost method is the default that SCA uses for inventory items sold. The formula used is: Average Cost x Quantity Sold = Cost of Sales. The FIFO method assumes that the items in the beginning inventory are sold first. The LIFO method assumes that the goods received last are sold first. 5. What do Invoice Nos. 106, 107, and 108 show? Identify to whom the merchandise was sold, what was purchased, and the amount of the invoice. Arlene Petty, Invoice No. 106, 2 doorknobs sold, $324. Denise Crosby, Invoice No. 107, 2 rolls of vinyl flooring sold, $320. Peter Malin, Invoice 108, two pairs of curtains sold, $216. 6. What are the journal entries for the following transactions when a perpetual inventory system is sued: Purchased four pairs of curtains from Ronnie Becker Fabrics at $30 each? Sold four pair of curtains to Peter Malin for $400? Purchased four pairs of curtains from Ronnie Becker Fabrics at $30 each: Account ID

Account Description

12000

Merchandise Inventory

20000/RBF08

Accounts Payable/Ronnie Becker Fabrics

Debit

Credit

$120.00 $120.00

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Sold four pairs of curtains to Peter Malin for $100 each: Account ID

Account Description

Debit

Credit

50500

Cost of Sales-Wall

$120.00

11000/pm005

Accounts Receivable/Peter Malin

432.00

12000

Merchandise Inventory

120.00

40400

Sales-Wall

400.00

23100

Sales Tax Payable

32.00

7. What kind of invoice is No. 109? Identify this transaction and the amount. Service Invoice, Bonnie Bermudez, Invoice No. 109, repair, $81.00. ANALYSIS QUESTION Which one of Nancy’s Service Merchandise inventory items shows the highest gross profit percentage? Why? ANSWER: The Inventory Profitability Report shows that wall coverings show the highest gross profit percentage at 70%. The reason is that wall coverings are purchased for $30 and sold for $100, a 70% profit. (The cost of the item and sale price of the item is shown on the Maintain Inventory items window; Item ID, 002wall.)

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ASSESSMENT RUBRIC Date 1/30

Transaction Two tool kits purchased from Curt Perkins Tools on 1/28 were damaged by you, the owner.

Navigation Center/Module Inventory & Services; Inventory Adjustments

Task Window Inventory Adjustments

Dr. 50500, Cost of Sales-Tools, $60

Inventory

1/31

Cash sales in the amount of $4,752, ($4,400 plus 352 sales taxes) were deposited at Southeast Bank: 20 tool kits, $1,700; 18 hardware sets $2,700.

Customers & Sales, Receive Money, Receive Money From Customer Accounts Receivable

Journal Dr./Cr. Inventory Adjustment Journal

Receipts

Cr. 12000, Merchandise Inventory, $60 Cash Receipts Journal Dr. 50500, Cost of Sales-Tools, $600 Dr. 50000, Cost of SalesHardware, $900 Dr. 10200, Southeast Bank, $4,752 Cr. 23100, Sales Tax Payable, $352 Cr. 40200, SalesTools, $1,700 Cr. 12000, Merchandise Inventory, $600 Cr. 40000, SalesHardware, $2,700 Cr. 12000, Merchandise Inventory, $900

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CHAPTER 15 EMPLOYEES, PAYROLL, AND ACCOUNT RECONCILIATION Employees and employers are required to pay local, state, and federal payroll taxes. Employers must withhold taxes from each employee's paycheck. The amount of federal taxes withheld is determined from tax tables published by the Internal Revenue Service (IRS) in a booklet called Circular E, Employer's Tax Guide. It shows the applicable tax tables and forms that are necessary for filing employee payroll information. In accounting, students learn that employees and employers are required to pay local, state, and federal payroll taxes. Employers must withhold taxes from each employee's paycheck. The amount withheld for federal taxes is determined from tax tables published by the Internal Revenue Service (IRS). Circular E, Employer’s Tax Guide, is available from the IRS. It shows the applicable tax tables and forms that are necessary for filing employee payroll information. SCA has payroll tax tables built into the software. In this chapter students learn how to access and use the payroll tax tables. The amount withheld also depends on the employee's earnings and the number of exemptions or withholding allowances claimed by the employee. The number of withholding allowances usually includes one for the employee, one for the employee's spouse, and one for each dependent. Also deducted from employees' paychecks are FICA taxes or social security taxes. This deduction from wages provides qualified workers who retire at age 62 or older with monthly payments from the federal government. The retiree also receives medical benefits called Medicare after reaching age 65. In addition to these retirement benefits, social security also provides payments to the surviving family of a qualified deceased worker. By January 31 of each year employers are required to issue W-2 Forms to employees and to the Internal Revenue Service. The W-2 Form is an annual report of the employee's wages subject to FICA and federal income tax and shows the amounts that were withheld. In SCA, the employee’s W-2 Form shows the Federal Income Tax, State Income Tax, Social Security, and Medicare withheld. In 2013, yearly income up to $113,700 is subject to the social security portion of the FICA tax. FICA is two taxes—the Social Security portion and the Medicare

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portion. For additional information, refer to this website http://www.imercer.com/content/social_security_figures.aspx. The following table compares 2012 and 2013 FICA tax rates and maximum social security earnings for tax contributions. Social Security FICA tax rate:  Social Security for employees  Social Security for employers  Medicare Maximum Social Security earnings for tax contributions Medicare taxable earnings

2013

2012*

6.2% 6.2% 1.45%

4.2% 6.2% 1.45%

$113,700

$110,100

No limit

*Sage 50's automatic payroll withholding calculations are based on 2012 percentages. Remember, Sage 50's payroll tax calculations are for example purposes only. Payroll products can be purchased from Sage after annual federal legislation at http://na.sage.com/sage-50-accountingus/services/payroll-solutions/?isnow=sage50us. Employees may also voluntarily deduct other amounts from wages. These voluntary deductions include: charitable contributions, medical insurance premiums, U.S. savings bonds, or union dues. It is the purpose of Chapter 15 to show your students how to use Sage 50 to enter payroll default information, add employees, make journal entries for payroll, and print the various payroll reports. Once default and employee information is set up, SCA automates the payroll process. The automatic withholding calculations are for example purposes only. They do not reflect accurate amounts. Students establish the following default information for processing payroll. 1. The cash account to credit when disbursing paychecks. Nancy’s Service Merchandise credits account 10300, Payroll Checking Account. 2. The accounts that comprise the employee’s fields.

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3. The accounts that comprise the employer’s fields. 4. The payroll fields that go on the W-2 form. 5. The employee-paid taxes. 6. The employer-paid taxes. At the Maintain Employees level, students enter the following types of information: 1. The employee name, address, telephone number, and information from the Employee’s Withholding Allowance Certificate, Form W-4. 2. Information about employee pay: hourly, salaried, and amount. 3. The tax filing status of the employee for federal, state, and local purposes, including withholding allowances. The diagram on the next page shows the steps for setting up and using SCA's payroll system.

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Default and Setup Information Deductions:

Cash Account:

FICA, Federal Payroll Tax, State Payroll Tax

10300, Payroll Checking Account

↓ Maintain Employees Rate of Pay:

Frequency:

$12.50 per hour, regular rate Weekly $18.75 per hour, overtime rate

↓ Payroll Journal Paycheck, net pay: $446.90 Wages Expense 500.00 FICA: Soc. Sec. FICA: Medicare Federal Payroll Tax State Payroll Tax Payroll Checking Account

21.00 7.25 19.81 5.04 446.90

LEARNING OBJECTIVES 1. Restore data from Chapter 14. This backup was made on textbook page 533. 2. Complete the Payroll Setup Wizard. 3. Enter employee and employer default information. 4. Journalize and post Payroll Journal entries. 5. Print paychecks. 6. Reconcile the First Interstate Bank bank account and the Payroll Checking Account.

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7. Compare the vendor ledgers, customer ledgers, and inventory valuation report to the general ledger’s controlling accounts. 8. Print the financial statements. 9. Make four backups, save two Excel files, and save nine PDF files. SCA TIPS, CHAPTER 15  The exercises in Part 3 are cumulative. Exercises 12-1 through 14-2 must be completed before starting Exercise 15-1.  Steps for using the Payroll Setup Wizard, entering employee and employer payroll defaults, and new employees are on textbook pages 544-556.  When your students use the payroll tables included with the student or educational versions of Sage 50, the payroll tax withholdings are calculated automatically. These calculations are for example purposes only and are not meant for exact computation of withholding amounts.  The Payroll Entry window is the Payroll Journal. LECTURE OUTLINE FOR CHAPTER 15 A.

Learning Objectives, page 539

Getting Started, pages 543-544 1. Establishing the Payroll Account, page 544

Payroll Setup Wizard, pages 544-547

Entering Employee and Employer Default Information, pages 547549

Completing Payroll Setup, pages 549-553

Entering Employee Maintenance Information, pages 553-556

Backing Up Your Data, page 556

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Payroll Entry, pages 556-563

Printing the Payroll Journal, pages 563-565

Account Reconciliation, page 566 1. First Interstate Bank statement, page 567 2. Payroll Checking Account Bank Statement, page 568 3. Printing Reports: Account Reconciliation, Accounts Receivable, Accounts Payable, and Inventory, pages 568-574

Printing the General Ledger Trial Balance, page 575

Printing the Financial Statements, pages 576-579

Backing Up Chapter 15 Data, page 580

Export Reports to Excel, page 580

Online Learning Center, page 580-581 Complete end-of-chapter activities at www.mhhe.com/yacht2013, select Student Edition, then Chapter 15. 1. Quizzes: Multiple Choice and True False questions. Interactive online tests that are graded and can be emailed to your instructor. 2. More Resources: a. QA Templates: Answer 10 multiple-choice questions and one Analysis Question. b. Feature Quizzes: These quizzes review Sage 50’s user interface, business processes, and accounting principles. Immediate feedback is given for each answer. Questions are randomly assigned. c. Narrated PowerPoints: Listen to the narrated PowerPoints. d. Going to the Net Exercises: Read information on the Small Business Knowledge Base website.

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e. Assessment Rubric: Complete the rubric to review Sage 50's journals, navigation centers, modules, task windows, and reports. The OLC also includes links to the Appendixes:  Appendix A: Troubleshooting  Appendix B: Accounting Information Systems  Appendix C: Review of Accounting Principles  Appendix D: Glossary (words that are boldfaced and italicized in chapter) P. Exercise 15-1, pages 581-585 Q. Exercise 15-2, page 585-588 R. Chapter 15 index, page 589 Solution to Exercise 15-1 (4)

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Solution to Exercise 15-1 (10)

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Solution to Exercise 15-2 (6)

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Solution to Exercise 15-2 (6) (Continued)

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Solution to Exercise 15-2 (6) (Concluded)

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Solution to Exercise 15-2 (9) – Southeast Bank, Account No. 10200

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Solution to Exercise 15-2 (9) (Concluded) – Payroll Checking Account, Account No. 10300

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Chapter 15

Solution to Exercise 15-2 (10): Customer Ledgers

Solution to Exercise 15-2 (10) (Continued): Vendor Ledgers

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Solution to Exercise 15-2 (10) (Concluded): Inventory Valuation Report

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Solution to Exercise 15-2 (11): General Ledger Trial Balance

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Solution to Exercise 15-2 (12): Balance Sheet

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Solution to Exercise 15-2 (12) (Continued): Income Statement

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Solution to Exercise 15-2 (12) (Concluded): Statement of Cash Flow

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ANSWERS TO GOING TO THE NET Access the Employer Reporting and Instructions website at http://www.ssa.gov/employer/ . Link to Checklist for W-2/W-3 Online Filing. Answer these questions. 1. What are dates that employers must send W-2 information to the Social Security Administration? (Include the dates for both electronic and paper filing.) January 31, deadline to distribute Forms W-2 to employee. February 29, deadline to file using paper Forms W-2. March 31, deadline to file using Business Services Online. 2. When must employers give employees their W-2? Employers must give W-2 t each employee by January 31 (for individual income tax purposes) 3. What two forms do employers send to the Social Security Administration? W-2s are sent to the Social Security Administration along with Form W-3 (Transmittal of Income and Tax Statements. ANSWERS TO MULTIPLE-CHOICE QUESTIONS: 1. b (account 10300, Payroll Checking Account) 2. d (the number of withholding allowances) 3. a (Circular E, Employer’s Tax Guide) 4. d (all of the above) 5. b ($440.35) 6. b (Debit, Account No. 10300, Payroll Checking Account, $6,500; Credit, Account No. 10200, First Interstate Bank, $6,500) 7. d (Federal unemployment tax–FUTA) 8. c (account 77500, Wages Expense) 9. c ($446.90) 10. a (Federal legislation)

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ANSWER TO ANALYSIS QUESTION: Sage 50's automatic payroll withholding calculations are based on what year? Explain. ANSWER: Sage 50's automatic payroll withholding calculations are based on 2012 percentages. Sage 50's payroll tax calculations are for example purposes only. Payroll products can be purchased from Sage after annual federal legislation at http://na.sage.com/sage-50-accounting-us/services/payrollsolutions/?isnow=sage50us. The table compares 2012 and 2013 FICA tax rates and maximum social security earnings for tax contributions. Social Security FICA tax rate:  Social Security for employees  Social Security for employers  Medicare Maximum Social Security earnings for tax contributions Medicare taxable earnings

2013

2012*

6.2% 6.2% 1.45%

4.2% 6.2% 1.45%

$113,700

$110,100

No limit

For additional information, refer to this website http://www.imercer.com/content/social_security_figures.aspx

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ASSESSMENT RUBRIC Date

1/4

Transaction

Issue payroll Check No. 6050 to Rick Cooke for 40 regular hours.

Navigation Center/Module

Employees & Payroll; Pay Employees, Enter Payroll for One Employee Payroll

Task Window

Payroll Entry

Journal Dr./Cr.

Payroll Journal Dr. 77500, Wages Expenses, $500 Dr. 72510, Soc. Sec. Expense, $31 Dr. 72520, Medicare Expense, $7.25 Dr. 72530, FUTA Expense, $3 Dr. 72540, SUTA Expense, $17 Dr. 72545, SUTA2 Expense, $0.40 Cr. 23400, Federal Payroll Taxes Payable, $49.47 Cr. 24000, Soc. Sec. Employee Taxes Payable, $21 Cr. 24200, Medicare Employee Taxes Payable, $7.25 Cr. 23600, State Payroll Taxes Payable, $20.58 Cr. 24100, Soc. Sec. Employee Taxes Payable, $31 Cr. 24400, Medicare Employer Taxes Payable, $7.25

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Cr. 23500, FUTA Tax Payable, $3 Cr. 23700, SUTA Payable, $17 Cr. 23755, SUTA2 Payable, $0.40 Cr. 10300, Payroll Checking Account, $401.70

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CHAPTER 16 CUSTOMIZING FORMS The rules are different for printing and designing each type of document. Chapter 16 explains the rules for printing and designing forms. In this book your students have used many different types of forms: invoices, statements, checks, etc. This chapter shows the students how to create their own forms or customize one of the formats that come with SCA. A mouse must be used with the Form Designer. LEARNING OBJECTIVES 1. Define Sage 50 forms. 2. Customize a form (invoice). 3. Print a practice form. 4. Use design tools. 5. Use the Financial Statement Wizard. 6. Make one backup and save one PDF file.

SCA TIPS, CHAPTER 16  Students use the sample company, Bellwether Garden Supply, to complete Chapter 16. They can restore any backup from Chapters 1 - 7.  The file restored in Chapter 16 is Exercise 6-2.ptb. This file was backed up in Chapter 6 on page 202 and is used for Chapter 16’s illustrations.  If students do not have a backup of Bellwether Garden Supply, they can install starting data for the sample company by restoring the bgs.ptb. Detailed steps for restoring the bgs.ptb file on textbook pages 29-32.

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 The Save As window on textbook page 621 shows the Filename location for the practice form on Windows 7 computers− C:\Sage\Peachtree\Company\Forms\INV00000.FRM. If your students are using Windows Vista and XP, your location differs. Refer to File Management, textbook pages xviii-xx. LECTURE OUTLINE FOR CHAPTER 16 A. Learning Objectives, page 613 B. Printing Forms, page 613 C. What is a Form?, pages 613-615 D. Getting Started, pages 615-616 E. Customizing a Form, pages 617-621 F. Printing Customized Forms, pages 621-624 G. Editing a Form Design, page 624 H. Design Tools, page 624 1. Object toolbar, pages 624-625 2. Formatting Toolbar, page 623 I. Financial Statement Design Tools, pages 626-628 J. Financial Statement Wizard, pages 629-633 K. Online Learning Center, page 633 Complete end-of-chapter activities at www.mhhe.com/yacht2013; select Student Edition, then Chapter 16 1. Quizzes: Multiple Choice and True False questions. Interactive online tests that are graded and can be emailed to your instructor. 2. More Resources:

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a. QA Templates: Answer 10 multiple-choice questions and two Analysis Questions. b. Feature Quizzes: These quizzes review Sage 50’s user interface, business processes, and accounting principles. Immediate feedback is given for each answer. Questions are randomly assigned. c. Narrated PowerPoints: Listen to the narrated PowerPoints. d. Going to the Net Exercises: On the Sage in the News: Media Coverage website, select two article to read. e. Assessment Rubric: Complete the rubric to review Sage 50's journals, navigation centers, modules, task windows, and reports. The OLC also includes links to the Appendixes:    

Appendix A: Troubleshooting Appendix B: Accounting Information Systems Appendix C: Review of Accounting Principles Appendix D: Glossary (words that are boldfaced and italicized in chapter)

L. Exercise 16-1, page 634 M. Exercise 16-2, page 635 N. Chapter 16 index, page 636

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Chapter 16

SOLUTION TO EXERCISE 16-1 (8): Invoice Nos. 103 and 104 print as Service Invoices for Mosley Country Club and Dash Business Machines, respectively.

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Exercise 16-2 (2): Copy of Income Statement

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ANSWERS TO GOING TO THE NET Access the Sage in the News: Media Coverage website at http://na.sage.com/sage-na/newsroom/in-the-news. Students select two recent product articles about Sage 50. They write a brief summary of no more than 100 words about each article, and include the appropriate website address in their summary. ANSWERS TO MULTIPLE CHOICE QUESTIONS 1.

b (A document that you exchange with customers, vendors, or employees.) 2. a (Reports, Financial Statements, Forms) 3. b (Disbursement Checks, 1099 Forms, Purchase Orders, Vendor Mailing Labels) 4. c (Invoices/Packing Slips, Customer Statements, Customer Labels, Collection Letters) 5. a (Customize) 6. e (All of the above) 7. d (C:\Sage\Peachtree\Company\ Forms\ INV00000.FRM (This is the Windows 7 default location shown in Chapter 7.) 8. b (Add) 9. b (Financial statement wizard) 10. d (Headers and footers) ANALYSIS QUESTION 1. What is a Sage 50 form? 2. What is a predefined or standard report? ANSWER 1. A form in Sage 50 is a document that you exchange with customers, vendors, or employees. The forms that come with SCA include checks, tax forms, invoices, statements, mailing labels, quotes, and collection letters. Forms are usually tied to a transaction, such as an invoice or check.

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Chapter 16

2. Predefined reports are those that came with the software; for example, the <Standard> Balance Sheet. You cannot overwrite predefined reports. ASSESSMENT RUBRIC Report

Date

Customized Today's Date, Balance then March 31, Sheet 2013

Icon ID

Reports & Forms; Financial Statements, then link to Financial Statement Wizard.

A wrench icon identifies the customized statement.

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CHAPTER 17 IMPORT/EXPORT In this chapter your students learn about the import and export process. Importing translates data from other programs into a format that Sage 50 can use. The diagram below shows how importing works.

Spreadsheet

Sage 50

Database file

Other accounting program Exporting copies Sage 50 data into a format that other programs can read and use. The diagram below shows how exporting works.

Database program

Spreadsheet program

Sage 50

Word processing program

Other accounting program

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Chapter 17

The chart below shows how Sage 50 organizes data. Customer

Records

Files

General Journal

Purchase Journal

Cash Disbursements Journal

Fields

Invoice Number

Account Number

Journal

Sales Journal

Debit Amount

Cash Receipts Journal

Credit Amount

 Files are a group of related records, for example, customer files and journal files.  Records are a group of fields that contain information on one subject; for example, the general journal, purchase journal, cash disbursements journal, sales journal, or cash receipts journal.  Fields are an individual piece of data; for example, invoice numbers, account numbers, debit amount, credit amount. When your students import or export files; templates are used to format data. The templates included in Sage 50 are:  Accounts Receivable: Customer list, Sales Journal, and Cash Receipts Journal  Accounts Payable: Vendor List, Purchase Journal, and Cash Disbursements Journal  Payroll: Employee List  General Ledger: Chart of Accounts and General Journal  Inventory: Inventory Item List  Job Reports: Jobs List

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Import/Export

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When your students select a file to export, they can define which information they want. For instance, in the Customer List, they can select which customers they want to export. When your students export in Sage 50, they export individual fields of information. They can see which fields are exported by selecting the "Format" folder tab. They can uncheck fields to exclude them from being exported or move fields around to change their order. When information is exported, the information is in a comma-separated format. This means that the fields for each record are written in one line, with commas between them. Your students will see how this works when they export the customer list for Bellwether Garden Supply into Microsoft Word 2010. (Any word processing program that supports the ASCII format can be used.) The file that is created during the export process is an ASCII file, which contains only text characters. Each record is on a separate line. ASCII is an acronym for American Standard Code for Information Interchange. It is one of the standard formats used for representing characters on a computer. Most word processing, spreadsheet, and database programs can read ASCII files. LEARNING OBJECTIVES 1. Export information from Sage 50 to a word processing program. (In this chapter Microsoft Word 2010 and Windows 7 are used.) 2. Select the customer list from Bellwether Garden Supply to export. 3. Import Bellwether Garden Supply's chart of accounts into a new company. 4. Save two files: a comma-separated value file and a text file. 5. Make one backup, save one Excel file, and save two PDF files.

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SCA TIPS, CHAPTER 17  The word processing program used to illustrate SCA’s exporting feature is Microsoft Word 2010.  Students may use any word processing program that supports ASCII to complete Chapter 17. Word 2007 may also be used.  Students export data from Bellwether Garden Supply in Chapter 17.  In Chapter 17 and Exercise 17-1, students import Bellwether Garden Supply's chart of accounts and vendor list into a newly set up company.  In Windows 7, the computer owner is identified when files are backed up or saved. To see which user saved the file, right-click on the Start button, left-click Explore. Go to the location of the backup file; rightclick on the filename, left-click Properties. The Security tab shows the Group or user names; the Details tab shows the Owner and Computer name. The time and date created and modified are also shown. The same steps can be used to check .ptb files (extension used for Sage 50 backups); Excel files (.xls extensions); and Word files (.doc extensions). To verify student files, you may want to look at the file properties. LECTURE OUTLINE FOR CHAPTER 17 A. Learning Objectives, page 637 1. Importing, page 637 2. Exporting, pages 637-638 3. Files, pages 638-639 4. Records, page 639 5. Fields, pages 639-640 B. Getting Started: Exporting, pages 640-645 C. Text and Comma Separated Values Files, pages 645-646. D. Importing, page 646

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1. Import a Chart of Accounts, pages 646-651 E. Online Learning Center, page 651 Complete end-of-chapter activities at www.mhhe.com/yacht2013; select Student Edition, then Chapter 17. 1. Quizzes: Multiple Choice and True False questions. Interactive online tests that are graded and can be emailed to your instructor. 2. More Resources: a.

QA Templates: Answer 10 multiple-choice questions and one Analysis Question.

Feature Quizzes: These quizzes review Sage 50’s user interface, business processes, and accounting principles. Immediate feedback is given for each answer. Questions are randomly assigned.

Narrated PowerPoints: Listen to the narrated PowerPoints.

Going to the Net Exercises: On the Sage in the News: Media Coverage website, select two articles to read.

Assessment Rubric: Complete the rubric to review Sage 50's journals, navigation centers, modules, task windows, and reports.

The OLC also includes links to the Appendixes:    

Appendix A: Troubleshooting Appendix B: Accounting Information Systems Appendix C: Review of Accounting Principles Appendix D: Glossary (words that are boldfaced and italicized in chapter)

F. Exercise 17-1, page 653 G. Exercise 17-2, pages 653

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Chapter 17

H. Chapter 17 index, page 654 SOLUTION TO EXERCISE 17-1 (2): Vendor List Students create a company in Chapter 17 called their first name Company, then import the Vendor List from Bellwether Garden Supply to the newly created company.

SOLUTION TO EXERCISE 17-2 (3): Chart of Accounts The month on your student's company may differ from the one shown. The month defaults to the period when the company was set up. The chart of accounts was imported from Bellwether Garden Supply.

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Chapter 17

Solution to Exercise 17-2 (3): Chart of Accounts (Continued)

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Solution to Exercise 17-2 (3): Chart of Accounts (Concluded)

ANSWERS TO GOING TO THE NET Access the Sage 50 Add-On Services website at http://na.sage.com/sage50-accounting-us/services/?isnow=sage50us. Complete the following. 1. List the 13 Sage 50 product add-ons. a. Payroll solutions b. Credit card services c. Checks and forms d. Online backup e. Online bill pay f. Business intelligence g. Remote solutions h. Fixed Assets i. Sage ACT! link j. Retirement services

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Chapter 17

k. E-marketing l. Hosting providers m. Third-party add-ons 2. Link to Hosting Providers. Briefly explain. Sage 50 Accounting Hosting Providers (third-party vendors) eliminate the burden of deploying and administering Sage 50 on your network by your staff. Reduce your hardware and IT costs because Sage 50 is being maintained and backed up at a secure off-site location. Each hosting provider undergoes a thorough application process. ANSWERS TO MULTIPLE-CHOICE QUESTIONS 1. a (File) 2. b (Record) 3. c (Field) 4. e (All of the above) 5. d (All of the above) 6. b (Exported) 7. e (None of the above) 8. a (Template) 9. c (ASCII file) 10. a (Comma separated) ANALYSIS QUESTION What is the purpose of importing and exporting? Importing translates data from other programs, such as a word processing or spreadsheet application, into a format that Sage 50 can use. Data can be imported into Sage 50. Exporting copies Sage 50 data into a format that other programs can read and use. Data is exported from Sage 50.

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ASSESSMENT RUBRIC Menu Selections and Links

Date Customer List

File Menu; Select Import/Export. In the Accounts Receivable list, select Customer List. Select the Export icon. Save file to external media or default location.

File Name, Extension, and Report ID Customers.CSV Custom report shown on Select Import/Export window.

Sage 50 Backup (.ptb) Excel (.xlsx) and Adobe (.pdf) customer.csv customer.txt Exercise 17-2.ptb Exercise 17-2_Chart of Accounts_Vendor List.xlsx Exercise 17-2_Chart of Accounts.pdf Exercise 17-2_Vendor List.pdf

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CHAPTER 18 MICROSOFT WORD AND TEMPLATES LEARNING OBJECTIVES 1. Copy Sage 50 report data to Microsoft Word. 2. Use the write letters feature. 3. Edit and save letter templates. 4. Save Word files. 5. Extract the PAWMail.zip folder. 6. Save five Word files. Sage 50’s write letters feature allows you to send information to a large number of people quickly. For example, your students can send personally addressed letters to all the company’s customers. The Tasks menu and the Reports menu include a selection for write letters. Student can use Sage 50’s write letters feature to create mailings or e-mail messages from existing or custom letter templates using customer, vendor, and employee information. A template is a document pattern or part of a document that is stored so that it can be used again. Sage 50’s Write Letters features allows you to create mailings such as newsletters, announcements, collection letters, individual letters, e-mail messages, and other types of mailings. Sage 50 integrates with the Microsoft Word mail merge feature, using Word to edit and create custom templates, then generates mailings using selected Sage 50 information. SCA TIPS  Sage 50 integrates with Microsoft Word to edit and create custom templates, and generates mailings using selected Sage 50 information.  The Sage 50 folder on drive C includes the letter templates: C:\Sage \Peachtree\Company\Letters. Extract the PAWMail.Zip folder. The Customer, Employee, and Vendor letter templates are .doc files. SCA 2013 defaults to Word 97-2003 .doc files.

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Chapter 18

LECTURE OUTLINE FOR CHAPTER 18 A. Learning Objectives, page 655 B. Getting Started, pages 655-656 C. Copying Sage 50 Report Data to Microsoft Word, pages 656-657 D. Create a Mailing to Customers, pages 657-660 E. Edit Letter Templates, pages 660-663 F. PAWMail.Zip Folder, pages 663-665 G. Online Learning Center pages 665-666 Complete end-of-chapter activities at www.mhhe.com/yacht2013, select Student Edition, then Chapter 18. 1. Quizzes: Multiple Choice and True False questions. Interactive online tests that are graded and can be emailed to your instructor. 2. More Resources: a.

QA Templates: Answer 10 short-answer questions and two Analysis Questions.

Feature Quizzes: These quizzes review Sage 50’s user interface, business processes, and accounting principles. Immediate feedback is given for each answer. Questions are randomly assigned.

Narrated PowerPoints: Listen to the narrated PowerPoints.

Going to the Net Exercises: Access the MSDN Online Library.

Assessment Rubric: Complete the rubric to review Sage 50's journals, navigation centers, modules, task windows, and reports.

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The OLC also includes links to the Appendixes:    

Appendix A: Troubleshooting Appendix B: Accounting Information Systems Appendix C: Review of Accounting Principles Appendix D: Glossary (words that are boldfaced and italicized in chapter)

H. Exercise 18-1, page 666 I. Exercise 18-2, page 666 J. Chapter 18 Index, page 667

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Chapter 18

Solution to Exercise 18-1

NOTE: On the Word file, the Chapple Law Offices letter is page 5 of 34.

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Solutions to Exercise 18-2

NOTE: On the Word file, the Cummings Construction letter is page 6 of 34.

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Chapter 18

ANSWERS TO GOING TO THE NET Access the Microsoft Developer Network (MSDN) Online Library website at http://msdn.microsoft.com/library/. Answer the following questions. 1. What is the MSDN library? The MSDN Library is an essential source of information for developers using Microsoft tools, products, technologies and services. The MSDN Library includes how-to and reference documentation, sample code, technical articles, and more. To find the content you need, browse the table of contents or use search. To get the latest MSDN headlines sent to you via e-mail, sign up for the MSDN Flash Newsletter. 2. Type What are templates? in the Search for field. Click 3.

to search.

Link to an article of interest about templates. Write a brief essay about what you find (minimum length is 75 words; maximum length 150 words). Include website addresses in your answer. Answers will vary.

ANSWERS TO SHORT ANSWER QUESTIONS: Answers will vary. 1. What does the Write Letters feature do? Sage 50’s Write Letters feature allows you to send information to a large number of people quickly. 2. How many customers does Bellwether Garden Supply have? Bellwether Garden Supply has 34 customers. 3. What type of promotion is Bellwether offering its customers? Bellwether is offering customers the following: Buy one item get the 2nd item 50% off.

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4. How do customers receive this special offer? In order to receive the special promotion, customers purchase items online. 5. What toolbar is used to change or add template fields? To change or add template fields, use the Sage 50 Letter Template Toolbar. 6. What is a template? A template is a document pattern or part of a document that you keep stored so that it can be used again. 7. What is the location (usually drive C) for Bellwether’s letter templates? The drive C location for the letter templates is C:\Sage\Peachtree\Company\ Letters. Extract the PAWMail.zip folders. 8. List four customer templates. The Open window shows the customer templates. This window is shown on textbook pages 662 and 663. Students list four customer templates. (Students may need to extract the PAWMail.zip files to see the letter templates.)

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Chapter 18

ANALYSIS QUESTION 1. What is included in the PAWMail.zip folder? 2. How do you see its contents? ANSWER 1. The PAWMail.zip file is a compressed, zip file that contains Sage 50’s letter templates. 2. To see the contents of the PAWMail.zip folder, extract the files. Then, open the customer, employee, and vendor folders. Sage 50’s letter templates are saved as .doc files (Word 97-2003). ASSESSMENT RUBRIC, CHAPTER 18 File

Program Location

PAWMail.zip

Extracted folders

C:\Sage\Peachtree\Company\Letter There are three folders with letter templates: (This is the Windows 7 default Customer letters location for the letters folder.) Employee letter Vendor letters

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Word Files Saved

Bellwether Garden Supply.docx Customer Letters.docx Bellwether Sales Special.doc Exercise 18-1.docx Exercise 18-2.docx

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APPENDIX A: SOFTWARE INSTALLATION Install the software that tens of thousands of customers choose every year and is accountant recommended. Sage 50 software is used by more than 3.2 million small and medium-sized business customers in North America; and more than 6 million worldwide. The Sage family of software products, which includes Sage 50 Complete Accounting [formerly Peachtree], is the leading global supplier of business management solutions and services. Sage is an international company with more than 12,600 employees and more than 30 years experience. 1.

Sage 50 Complete Accounting 2013: Student Version and Educational Version, page 438 - IMK.

STUDENTS: To register, and receive a serial number to install the software, go online to www.Sage50Accounting.com/student/download. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14.

System Requirements, pages 438 - IMK to 440 - IMK. Software Installation, page 440 - IMK. Sage 50 Academic Site License, page 440 - IMK. Sage 50 and Firewalls, page 440 - IMK. Sage 50 Complete Accounting 2013 Installation, pages 441 - IMK to 450 IMK. Expiration date, Student Version, SCA 2013, page 450 - IMK. Setting Global Options. Once global options are set, they are in effect for all Sage 50 companies, pages 450 - IMK to 452 - IMK. Computer Lab Installation, page 452 - IMK. File Management, pages 453 - IMK. Student Version Software, pages 455 - IMK to 456 - IMK. Educational Version Software, pages 454 - IMK to 455 - IMK. My PC or Laptop Does Not Have a DVD Drive, page 456 - IMK to 457 IMK. Deleting Sage 50, pages 457 - IMK to 458 - IMK.

SCHOOLS: SAGE 50 ACADEMIC SITE LICENSE To obtain a site license for classroom installation, complete the Sage 50 Academic Site License at www.mhhe.com/yacht2013. The educational version software is free to schools and does not include a time limit. Refer to page 443 - IMK, Note to Instructors/Schools.

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438 - IMK Appendix A: Software Installation

SAGE 50 COMPLETE ACCOUNTING 2013: STUDENT VERSION AND EDUCATIONAL VERSION Students: To register, and receive a serial number to install the Student Version software, go online to www.Sage50Accounting.com/student/download. Instructors/Schools: To receive a free classroom site license for the Educational Version, complete the Sage 50 Academic Site License at www.mhhe.com/yacht2013. Refer to Computer Lab Installation on page 452 - IMK for classroom installation. Once the Academic Site license is received by Sage, a serial number is emailed to the school or instructor. To install the software, use the DVD included with the textbook and the serial number emailed by Sage50US.education@sage.com. The two versions, Student Version for individual installation, and Educational Version for classroom installation, include the same features. The difference is the Student Version expires after 14 months. The Educational Version does not include a time limit. Sage 50 Complete Accounting 2013 was used to write the textbook. If you have an earlier version of the software installed, see Deleting Sage 50, pages 457 - IMK to 458 - IMK.) SYSTEM REQUIREMENTS: Recommended System Configuration http://na.sage.com/sage-50-accounting-us/products/complete/systemrequirements

Recommended System Configuration  

2.4 GHz processor for single user and multiple users 1 GB of RAM for single user and 2 GB for multiple users

Minimum System Requirements    

2.0 GHz processor for single user and multiple users 1 GB of RAM for single user and multiple users Windows® XP SP3, Windows Vista® SP1 or Windows® 7 Home Premium or higher 1 GB of disk space for installation. An additional 1 GB is required for a network server installation

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    

439 - IMK

Internet Explorer 7.0 required; Internet Explorer 8.0 and 9.0 supported Microsoft®.NET Framework CLR 3.5 SP 1. Requires an additional 280 MB to 610 MB At least high color (16-bit) SVGA video; supports 1024x768 resolution with small fonts required DVD-ROM All online features/services require Internet access with at least a 56 Kbps modem

Integration/Compatibility Requirements      

Excel®, Outlook®, and Word integration requires Microsoft Excel, Outlook, and Word 2003, 2007, or 2010 Outlook Sync supported in Exchange 2000 SP2, 2003, 2007 and 2010 Printers supported by Microsoft Windows XP/Vista/7 In-product demos require Macromedia® Flash™ Player Adobe® Reader® 9.0 required Crystal Report® 2008 SP1. Requires an additional 300 MB of available disk space

Multi-User  



Multi-user environments are supported in Sage 50 Complete Accounting and higher Multi-user mode is optimized for Windows Server 2003 or Windows Server 2008 client-server networks, and Windows XP/Vista/7 peer-topeer networks A maximum of five licensed named users are allowed. A named user account is granted a license when selected in the user maintenance screen. For classroom installations, if you network Sage 50 2013Educational Version, you will fall under the 5-seat license rule which will be an issue in a classroom where students may be working on the same data. For classroom installation, it is best to create a lab image. (Refer to page 452 - IMK, Computer Lab Installation. IMPORTANT: Read Me—ACADEMIC SITE LICENSE For classroom installation, complete the Sage 50 academic site license application online at www.mhhe.com/yacht2013; link to Academic Site License. Computer Lab installation is shown on page 452 - IMK.

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Terminal Services  



Terminal Services are supported in Sage 50 Complete Accounting and higher Windows 2003 or 2008 Server along with Remote Desktop Connection or Remote Desktop Web Connection client is required to run in a Windows Terminal Services environment. No more than 5 named users. Terminal Server requires additional memory when more than one user is running under Windows Terminal Services. An additional 21 MB RAM is recommended for each additional user

Other 

Customer registration and acceptance of License Agreement for Sage 50 Accounting Software Products

SOFTWARE INSTALLATION This section gives you instructions for installing Sage 50 Complete Accounting 2013 (SCA) software. Check with your instructor to see if Sage 50 has already been installed in the classroom or computer lab. Sage 50 Academic Site License To install Sage 50 Complete Accounting 2013 on classroom computers, complete the site license application at www.mhhe.com/yacht2013; Academic Site License link. Sage emails schools a serial number for installation of the Educational Version software. The Education Version does not include a time limit for software access. For more information, refer to page 452 - IMK, Computer Lab Installation. Sage 50 and Firewalls Sage 50 and its database, Pervasive, can be mistakenly identified as an intrusion threat by many firewall and anti-virus programs. If not addressed properly, this may cause installation to fail or Sage 50 may not start or run properly. To read information about Firewalls & Sage 50 Accounting go online to http://na.sage.com/sage-50-accounting-us/support/firewall/?isnow=sage50us.

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The textbook’s Online Learning Center at www.mhhe.com/yacht2013 includes more information at the Frequently Asked Questions link to How do I check my Firewall and Antivirus software. Sage 50 Complete Accounting 2013 Installation Follow these steps to install Sage 50 Complete Accounting 2013. The installation steps that follow are consistent with the Windows 7 operating system. If you are using Windows Vista or XP, your steps, and some of the screen illustrations, will differ slightly. For more information, refer to File Management, pages 453 - IMK to 456 - IMK.

Student Version software installation requires that you complete Sage 50’s registration process online at www.Sage50Accounting.com/student/download. Before you insert the Sage 50 Complete Accounting 2013 DVD, complete Step 1.

(Instructors, see the Note with Step 9, page 443 - IMK.) Step 1:

To obtain a serial number for software installation, go online to www.Sage50Accounting.com/student/download. To complete Step 9, page 443 - IMK, you must use the serial number provided and complete any additional online registration and activation steps.

Step 2:

Insert the Sage 50 Complete Accounting 2013 DVD. If an AutoPlay window appears, click Run autorun.exe. (Or, select Browse the DVD. Select autorun.exe.) When the User Account Control window prompts “Do you want to allow the following program to make changes to this computer?”, click <Yes>. (Or, Continue.)

How to Fix? − My PC or laptop does not have a DVD drive Use Internet Explorer to download the software. Sage 50 2013 can be downloaded from www.Sage50Accounting.com/student/download. Refer to pages 456 - IMK to 457 - IMK, My PC or Laptop Does Not Have a DVD Drive.

Step 3:

At the Welcome to Sage 50 Accounting window, select Install Sage 50 Accounting. If a User Account Control window appears, click <Yes> with Windows 7; <Continue> with Vista.

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Step 4:

A Preparing to Install window appears. When the scale is complete, the Welcome to Sage 50 Accounting window appears.

Step 5:

Click

Step 6:

When the License Agreement window appears, click on the box next to I agree to the terms of the license agreement to place a checkmark.

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Step 7:

Click

Step 8:

The Windows Firewall window appears. Accept the default for Yes (Recommended) by clicking . The Searching for Previous Installations window appears. This may take several minutes.

Step 9:

The Serial Number window appears. Type the serial number given when you completed Step 1, page 443 - IMK. If you have not obtained the serial number, go online to www.Sage50Accounting.com/student/download.

Type the serial number.

NOTE TO INSTRUCTORS/SCHOOLS: Once the Academic Site license is received by Sage, a serial number is emailed to the school or instructor. To install the software, use the DVD included with the textbook and the serial number emailed by Sage50US.education@sage.com. Step 10: Click

Step 11: The Single Computer or Network window appears. Make the appropriate selection. Yes is the default for individual computers. Click

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444 - IMK Appendix A: Software Installation

Step 12: The Choose Sage 50 Program Files Location window appears. The author suggests accepting the default installation directory at C:\Program Files (x86)\Sage\Peachtree. (On Windows Vista and XP computers, this location will differ.)

Step 13: Click

Step 14: The Company Data Files Location window appears. Accept the default, C:\Sage\Peachtree\Company or click Browse to set another location. (Hint: Your Company Data Files Location may differ. Refer to pages 453 - IMK to 454 - IMK, step 2.) The Company Data Files Location window is shown on the next page.

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445 - IMK

Windows 7 default location.

Step 15: Click . The Summary window appears. Read the information on the Summary window. (Hint: Your program files and company data files may be in different locations. Refer to File Management, pages 443- IMK t 454 - IMK.)

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446 - IMK Appendix A: Software Installation

Step 16: Click . Sage 50 starts to install. Be patient. Installation takes several minutes. Step 17: Read the Installation Completed window. Observe that Start Sage 50 Accounting is selected.

Step 18: Click . The Sage 50 Student Version or Sage 50 Educational Version startup window appears. Both versions include the same features. When you begin Sage 50, the Student Version software startup window shows “Sage 50 Complete Accounting Student.”

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447 - IMK

Educational Version software (Academic Site License completed):

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448 - IMK Appendix A: Software Installation

Step 19: If Bellwether Garden Supply is highlighted, go to step 22. Or, Select Explore a sample company. Bellwether Garden Supply is the default.

Step 20: Click (or, press <Enter>). If you installed the Student Version included with the textbook, a Sage 50 Accounting window appears that says "You can use this company in the student version of Sage 50 for the next 14 months and then it will expire. The company's expiration date can be found in the Company Information section of the System Navigation Center." For more information about the expiration date, refer to page 450 - IMK.

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Step 21: Click

449 - IMK

Step 22: If the What's new in Sage 50 window appears. Read the information. To read more, select <Next>. Click on the box next to Do not display this screen again. If you selected <Next> your window will differ.

Step 23: To close the What's New in Sage 50 2013 window, click <Close>. When the window prompts Click <OK> to exit What's New in Sage 50, click on the box next to Do not display this window again.

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450 - IMK Appendix A: Software Installation

Step 24: Click . The Bellwether Garden Supply - Sage 50 Accounting window appears. Expiration Date, Student Version, SCA 2013 To see when the Student Version of Sage 50 2013 expires, follow the steps below.

1. From the Navigation Bar, select

2. The Company Maintenance area includes an Expiration Date field. The expiration date is 14 months after the day you installed the software; for example if you installed the software on August 12, 2013, the expiration date is October 12, 2014.

Your expiration date is shown.

Setting Global Options Follow these steps to set Sage 50’s Global Options. These options will be in effect for all Sage 50 companies. 1. From Sage 50’s menu bar, select Options; Global. The Accounting tab is selected. 

In the Decimal Entry area, Manual and 2 decimal places should be selected in each field.

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Appendix A: Software Installation  

451 - IMK

In the Hide General Ledger Accounts area, the boxes must be unchecked. In the Other Options area, Warn if a record was changed but not saved and Recalculate cash balance automatically in Receipts, Payments, and Payroll Entry should be checked.

Compare your Maintain Global Options/Accounting window to the one shown below.

Make sure your selections match the ones shown.

Click the General tab. Make sure your screen matches the one shown on the next page.

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Click . The selections made in global options are now set for all companies.

From Sage 50’s menu bar, click File, Exit.

Remove the DVD. Observe that two icons have been set up on the desktop for Sage 50: Sage 50 Accounting 2013 and Sage 50 Accounting 2013 Automatic Backup Configuration.

COMPUTER LAB INSTALLATION Before computer lab installation, make sure all versions of Peachtree or Sage 50 are deleted. Refer to Deleting Sage 50, pages 457 - IMK to 458 - IMK. For classroom installation, complete the Academic Site License at www.mhhe.com/yacht2013. 1.

Sage 50 Complete Accounting 2013 - Educational Version should be installed locally. Do not put on server.

Install software on local workstation then ghost (replicate) install. You can put the software on a standard lab image.

If you network Sage 50 2013-Educational Version, you will fall under the 5-seat license rule which will be an issue in a classroom where students

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453 - IMK

may be working on the same data. For classroom installation, it is best to create a lab image. FILE MANAGEMENT When Sage 50 was installed two directories were set up (refer to steps 12-15, pages 444 - IMK to 445 - IMK).

Program Files Location: The Windows 7 default directory where Sage 50 is installed is C:\Program Files (x86)\Sage\Peachtree (step 12, pages 444 - IMK). To see the Properties window, right-click on the Sage 50 Accounting 2013 desktop icon; left-click Properties, select the Shortcut tab.

Windows 7 Program Files location: C:\Program Files (x86)\Sage\ Peachtree\ Peachw.exe

Company Data Files Location: On Windows 7, the default location for company data files is C:\Sage\Peachtree\Company (step 14, page 444 - IMK to 445 - IMK).

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454 - IMK Appendix A: Software Installation

Windows 7 Company Data files location: C:\Sage\Peachtree\Company

On Windows Vista and XP, the default location for company data is C:\Program Files\Sage\Peachtree\Company. The directory field on the Maintain Company Information window shows where company data is stored (refer to Chapter 1, Comment box on textbook page 23). Sage 50 files can be backed up (saved) to various locations: the company data files default location, a USB drive, external media, or other location. Detailed steps for backing up are on textbook pages 23-25. Student Version Software The software DVD included with the textbook is Sage 50 Complete Accounting, Student Version. To see the default location where the currently displayed Sage 50 company resides, follow these steps. 1. Start Sage 50. Open the sample company, Bellwether Garden Supply. 2. From the menu bar, select Maintain; Company Information. The Directory field shows where the currently displayed Sage 50 company resides. When you add your name to Bellwether, the Directory field ends in \belgarsu (refer to textbook pages 43 and 44).

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455 - IMK

Student version directory:

You can use company data in the Student Version of Sage 50 for 14 months. After 14 months, the Student Version software expires. Your expiration date will differ from the one shown. Read me: Add student name to printouts To add your name to reports, type your name or initials after the Company Name. The Company Name field is shown on Sage 50 printouts.

Educational Version Software If you are working in the computer lab, the default directory for Educational Version differs slightly when compared to the Student Version. The Maintain Company Information window's Directory field differs slightly. Observe that the default folder for the Educational Version is \PCWE not \PCWS. When you add your name to Bellwether, your Directory field ends in \belgargu (refer to textbook page 44).

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456 - IMK Appendix A: Software Installation

Educational Version Directory:

\PCWE

The features of the Student Version and Educational Version are the same, except for the Student Version's 14-month period of use. MY PC OR LAPTOP DOES NOT HAVE A DVD DRIVE Sage recommends using Internet Explorer for the software download. To download the software, go online to www.Sage50Accounting.com/student/download. You must register to obtain a serial number before downloading the software. The serial number is needed to install the software. For the download follow these steps:

1. Once the file is saved to your desktop, double-click

, click

. 2. Accept the installation default location; for example, C:\Users\xxxx xxxx\Downloads (substitute the x’s for your name or computer ID).

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Appendix A: Software Installation

457 - IMK

After the Sage Download Manager is installed, you are prompted to save the Sage50_2013_1.exe file. The Sage Download Manager downloads the installation file. 3. To install, double-click the Sage50_2013_1.exe icon on the desktop. If you do not see the icon, open Windows Explorer and do a search for the Sage50_2013_1 folder. The file should be located wherever you chose to download it (by default, the file is downloaded to your computer’s desktop). 4. Once the download is complete, click install. The default installation location is C:\Sage\Sage50_2013_1. This directory contains the same contents that are found on the Sage 2013 DVD. The Welcome screen appears; refer to steps 3-20, pages 441 - IMK to 448 - IMK. DELETING SAGE 50 Follow these steps to delete Sage 50 Complete Accounting 2013. (Use similar steps to delete Peachtree 2012.) 1. 2.

Insert the Sage 50 DVD. Select Run autorun.exe. When the Welcome to Sage 50 Accounting window appears, select Remove or Modify Sage 50 Accounting. When the User Account Control window appears, select <Yes>.

Select Sage 50 Complete Accounting 2013. A Preparing to Install window appears. Be patient, this will take a few minutes. When a screen prompts that setup has detected an installation of Sage 50 Release 2013 on this computer, click <OK>.

Select Remove, then click <Next>. A window prompts, This will remove Sage 50 Accounting 2013 (all versions), click <OK>. Removing Sage 50 will take a few minutes. When the Select Country window appears, select the country for this installation; for example, United States. Click <Next>.

When the Maintenance Complete window appears, click <Finish>. Close the Welcome to Sage 50 Accounting window.

Remove the DVD.

After removal, you may want to delete these two folders:

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458 - IMK Appendix A: Software Installation

C:\Sage

C:\Program Files (x86)\Sage

Before removing the folders, backup data that you want to keep. Once the Sage folder is deleted, all company data files are removed. (Hint: In Windows Vista and XP, the Sage folder is within C:\Program Files.) After removing the folders, empty the recycle bin.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

APPENDIX B-1 SOLUTION FILE CHART The Instructor Edition link at www.mhhe.com/yacht2013 includes the following files backed up and saved. After the file name, the page number is shown; for example, bgs.ptb, 23-25. The Instructor Edition links are:   

Solution Files and Peachtree Backups: .ptb extensions and .doc, csv, .txt files End of Chapter Exercises: .pdf files Excel Report Solutions: .xlsx files

Chapter or Project

Sage 50 .ptb extensions

Adobe .pdf extensions

Excel .xlsx extensions

.doc,.csv, .txt

Part 1: Exploring Sage 50 Complete Accounting 2013 1

bgs.ptb, 23-25 Chapter 1, 41-42 Exercise 1-2, 52

Chapter 2, 85

Exercise 2-2, 90

3 4 5

6 7

Chapter 3, 126 Exercise 3-2, 128 Chapter 4, 149 Exercise 4-2, 151 Chapter 5, 186 Exercise 5-2, 188 Chapter 6, 200-201 Exercise 6-2, 202 Optional backup (data within Exercise 6-2.ptb file)

Chapter 1_Employee List.pdf, 47-48 Exercise 1-2_Employee List.pdf, 52 Exercise 1-2_Chart of Accounts.pdf, 52 Chapter 2_Vendor List, 88 Chapter 2_Vendor Ledgers, 88 Exercise 2-2_Vendor Ledgers, 90 Exercise 2-2_Purchase Order Register, 90 Exercise 3-2_Customer Ledgers, 128 Exercise 4-2_Payroll Check Register, 151 Exercise 5-2_General Ledger Trial Balance, 188 Exercise 6-2_Job Profitability Report, 202 Chapter 7_Balance Sheet, 225 Chapter 7_Income Statement, 225 Chapter 7_Dept Gross Profit Totals, 225 Chapter 7_Statement of Cash Flow, 225 Chapter 7_Statement of Retained Earnings, 225 Chapter 7_Statement of Changes in Fin Pos, 225

Chapter 1_Employee List.xlsx, 45-47 Exercise 1-2_Chart of Accounts, 52 Exercise 1-2_Employee List, 52 Chapter 2_Vendor List and Vendor Ledgers, 85-87 Exercise 2-2_Vendor List and Vendor Ledgers, 90

Exercise 3-2_Customer Ledgers, 128 Exercise 4-2_Payroll Check Register, 151 Exercise 5-2_General Ledger Trial Balance, 188 Exercise 6-2_Job Profitability Report, 202 Chapter 7_Financial Statements.xlsx, 223225

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

475 - IMK © 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

476 - IMK

Chapter or Project Bellwether Garden Supply Project 8

Appendix B-1: Solution File Chart

Sage 50 .ptb extensions

Chapter 8, 243 Exercise 8-1, 248

Adobe .pdf extensions Answer to Bellwether Garden Supply, Online Learning Center

Excel .xlsx extensions

Chapter 8_Time Ticket Register, 246 Exercise 8-2_Job Ledger, 249 Exercise 8-2_Time Ticket Register, 249 Exercise 8-2_Payroll Time Sheet, 249

Chapter 8_Time Ticket Register, 244-246 Exercise 8-2_Time and Billing Reports, 249

.doc,.csv, .txt

Part 2: Sage 50 Complete Accounting 2013 for Service Businesses 9

Chapter 9 Chart of Accounts, 274-275

Chapter 9_Balance Sheet, 293

Chapter 9 Beginning Balances, 289-290

Chapter 9_Chart of Accounts, 293

Exercise 9-1, 297

Exercise 9-2_Chart of Accounts, 299 Exercise 9-2_Balance Sheet, 299 Chapter 10_October Trial Balance, 327

Exercise 9-2, 299 10

Chapter 10 Transaction Register October, 311-312 Chapter 10 October, 325

Chapter 10_October Balance Sheet, 327

Exercise 10-1, 329

Chapter 11 November, 346

Chapter 10_October Income Statement, 327 Exercise 10-2_October Trial Balance, 331 Exercise 10-2_October Balance Sheet, 331 Exercise 10-2_October Income Statement, 331 Chapter 11_Adjusted Trial Balance, 365

Chapter 11 December UTB, 353 Chapter 11 December, 364

Chapter 11_December Balance Sheet, 365 Chapter 11_December Income Statement, 365

Exercise 10-2, 331

Chapter 9_Chart of Accounts and Beginning Balances, 290-293 Exercise 9-2_Chart of Accounts and Beginning Balances, 299

Chapter 10_October Trial Balance and Financial Statements, 325-327 Exercise 10-2_October Trial Balance and Financial Statements, 331

Chapter 11_Adjusted Trial Balance and Financial Statements, 364-365 Chapter 11_Postclosing Trial Balance, 372 Asset depreciation (Going to the Net)

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Appendix B-1: Solution File Chart

Chapter or Project 11

Sage 50 .ptb extensions Chapter 11 EOY, 372

Adobe .pdf extensions Chapter 11_December Statement of Cash Flow, 365

Exercise 11-1, 376

Chapter 11_December Statement of Retained Earnings, 365 Chapter 11_Postclosing Trial Balance, 372

Exercise 112_Unadjusted Trial Balance, 378 Exercise 11-2 Financial Statements, 379 Exercise 11-2 End of Year, 379

Project 1

Sherry Pierce Chart of Accounts, 384

Sherry Pierce Beginning Balances, 385 Sherry Pierce UTB, 387 Sherry Pierce December, 388 Sherry Pierce EOY, 388

Excel .xlsx extensions Exercise 11-2_Adjusted Trial Balance and Financial Statements, 379 Exercise 112_Postclosing Trial Balance, 379

477 - IMK

.doc,.csv, .txt

Exercise 11-2_Adjusted Trial Balance, 379 Exercise 11-2_Balance Sheet, 379 Exercise 11-2_Income Statement, 379 Exercise 11-2_Statement of Cash Flow, 379 Exercise 11-2_Statement of Retained Earnings, 379 Exercise 112_Postclosing Trial Balance, 379 Project 1_Balance Sheet, 388

Project 1_Income Statement, 388

Sherry Pierce_Adjusted Trial Balance and Financial Statements, 388 Sherry Pierce_Postclosing Trial Balance, 388

Project 1_Statement of Cash Flow, 388 Project 1_Statement of Retained Earnings, 388 Project 1_Postclosing Trial Balance, 388

Part 3: Sage 50 Complete Accounting 2013 for Merchandising Businesses 12

Chapter 12 Chart of Accounts, 408

Exercise12-2_Chart of Accounts, 461

Chapter 12 Starting Balance Sheet, 411

Exercise 12-2_Purchase Journal, 461

Chapter 12 Begin, 425

Exercise 12-2_Cash Disbursements Journal, 461 Exercise 12-2_Vendor Ledgers, 461

Chapter 12, 449

Chapter 12_ CofA_PJ_CDJ_ VL_GLTB, 449451 Exercise 12-2_ CofA_PJ_CDJ_ VL_GLTB, 460

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Chapter or Project 12

Appendix B-1: Solution File Chart

Sage 50 .ptb extensions Exercise 12-1 Chart of Accounts, 454 Exercise 12-1 Starting Balance Sheet, 456 Exercise 12-1, 459 Exercise 12-2, 460 Chapter 13 Begin, 476

Adobe .pdf extensions Exercise 12-2_General Ledger Trial Balance, 461

Excel .xlsx extensions

Exercise 13-2_Sales Journal, 509

Chapter 13, 504

Exercise 13-2_Cash Receipts Journal, 509

Chapter 13_SJ_ CRJ_CL_GLTB, 504 Exercise 132_SJ_CRJ_ CL_ GLTB, 504

Exercise 13-1, 507

Exercise 13-2_Customer Ledgers, 509 Exercise 13-2_General Ledger Trial Balance, 509 Exercise 14-2_Cash Receipts Journal, 536

Exercise 13-2, 509 14

Chapter 14 Begin, 520

Chapter 14, 533

Exercise 14-2_Purchase Journal, 536

Exercise 14-1, 535

Exercise 14-2_Cost of Goods Sold Journal, 536 Exercise 14-2_Inventory Adjustment Journal, 536 Exercise 14-2_Inventory Profitability Report, 536 Exercise 14-2_General Ledger Trial Balance, 536 Exercise 15-1_General Journal, 585

Chapter 15 Begin, 556 Chapter 15, 580

Exercise 15-2_Employee List, 588

Exercise 15-1, 585

Exercise 15-2_Vendor Ledgers, 588 Exercise 15-2_Customer Ledgers, 588 Exercise 15-2_Inventory Valuation Report, 588 Exercise 15-2_Payroll Journal, 588

Exercise 15-2, 587

.doc,.csv, .txt

Chapter 14_ CRJ_VL_CGSJ_ IAJ_IPR_GLTB, 533 Exercise 14-2_ CRJ_PJ_CGSJ_ IAJ_IPR_GLTB, 536

Chapter 15_ PayJ_GLTB_BS_ IS_SCF, 580 Exercise 15-2_ EL_CL_VL_IVR_ PayJ_GLTB_BS_ IS_SCF,588

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Appendix B-1: Solution File Chart

Chapter or Project

Sage 50 .ptb extensions

Adobe .pdf extensions

Excel .xlsx extensions

479 - IMK

.doc,.csv, .txt

Exercise 15-2_General Ledger Trial Balance, 588 Exercise 15-2_Balance Sheet, 588 Exercise 15-2_Income Statement, 588 15-2_Statement of Cash Flow, 588

Project 2

Mountain Sports Chart of Accounts, 594

Project 2_Dec 31 2012 Balance Sheet, 594 Project 2_Chart of Accounts, 606

Mountain Sports Starting Balance Sheet, 594 Mountain Sports Begin, 602

Project 2_Customer Ledgers, 606

Mountain Sports January, 606

Project 2_General Ledger Trial Balance, 606

Mountain Sports_CofA_CL_VL_ GLTB_AcctRec_BS_IS _SCF, 606

Project 2_Vendor Ledgers, 606

Project 2_Account Reconciliation, 606 Project 2_Balance Sheet, 606 Project 2_Income Statement, 606 Project 2_Statement of Cash Flow, 606

Part 4: Advanced Sage 50 Complete Accounting 2013 Applications 16 17

Exercise 16-2, 635 Exercise 17-2, 653

Exercise 16-2_Copy of Income Stmnt, 635 Exercise 17-2_Chart of Accounts, 653 Exercise 17-2_Vendor List, 653

Exercise 16-2_Copy of Income Stmnt, 635 Exercise 17-2_ Chart of Accounts, 653

customer.csv, 642-643 customer.txt, 645 Bellwether Garden Supply.docx, 657 Customer Letters.docx, 659

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Appendix B-1: Solution File Chart

Chapter or Project 18

Sage 50 .ptb extensions

Adobe .pdf extensions

Project 3

Springfield Computer Club Starting Balance Sheet, 675 Springfield Computer Club January, 676

Project 4

CW Mftg Chart of Accounts, 681

Project 3_General Ledger Trial Balance, 676-677 Project 3_Balance Sheet, 676-677 Project 3_Income Statement, 676-677 Project 3_Statement of Cash Flow, 676-677 Project 3_Statement of Retained Earnings, 676677 Project 4_Chart of Accounts, 697

CW Mftg Starting Balance Sheet, 682 CW Mftg Begin, 692 CW Mftg January, 697

Excel .xlsx extensions

.doc,.csv, .txt Exercise 181.docx, 666 Exercise 182.docx, 666

CW Mftg_CofA_ GLTB_BS_IS_ SCF_SRE, 697

Project 4_General Ledger Trial Balance, 697 Project 4_Balance Sheet, 697 Project 4_Income Statement, 697 Project 4_Statement of Cash Flow, 697 Project 4_Statement of Retained Earnings, 697

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

APPENDIX B HOW TO USE THE CHAPTER 1-18 SOLUTIONS FILES The Chapter 1-18 solution files contain all the backups and Excel and Adobe files saved in Computer Accounting with Sage 50 Complete Accounting 2013, 17th Edition (ISBN 0077738446). The solution files are online at http://www.mhhe.com/yacht2013, Instructor Edition link. The solution files are also included on the Instructor’s Resource CD (ISBN No. 007763201X). To use the password-protected Instructor Edition link, you first need to obtain a username and password from your McGraw-Hill sales representative. Go online to http://catalogs.mhhe.com/mhhe/findRep.do to find your school’s sales rep. When you or one of your students backs up Sage 50 data, the extension .ptb is automatically added to the file name. The .ptb files are compressed. This means that you must use Sage 50’s Restore Wizard to open these files. Once the .ptb files are restored, you can start using company data. It is possible that students may make mistakes while using Sage 50 that you do not want them to edit or correct. The solutions files contain the data from each backup. You may feel that it is best to help students with correct data instead of having them start over or edit their data. Or, you may want to use these files for purposes of printing additional Sage 50 reports. Another way to use the .ptb solution files is to start students later in the textbook. You could use the solution files as starting student data. For example, let’s say you want students to complete Chapter 9 but you do not want them to go through the steps of setting up a company. If you provide students with the Chapter 9 Chart of Accounts.ptb file, students would begin their work on page 276, Restoring Company Data. The chart in the Part 2 introduction, textbook pages 253-254, shows the page where each file was backed up. You could give students one of the .ptb files to restore. In this way students would have starting data to begin their work. There are two ways to restore data using Sage 50’s Restore Wizard: 1. Restore An Existing Company: Use this selection when you have already set up the company. For example, when you start Sage 50, select Open an Existing Company from the startup window. If the company you want to restore is listed, open it. Then, restore the appropriate back up file. 2. Restore A New Company: When you start Sage 50 the company is not listed either on the company name list or when you select Browse. When the company has not been set up in Sage 50, use the selection to restore A New Company. When you select A New Company to restore, the restore process sets up the company and restores the file.

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460 - IMK

Appendix B: How to Use the Solutions Files

Using the appropriate backup file, and the selection for A New Company, you are able to start at that point in the data. The steps below show you how to restore the Chapter 9 Chart of Accounts.ptb file, the first back up for David Walsh Designer. This backup was made in Chapter 9 on textbook pages 274-275. The solutions files are on the password-protected Instructor Edition link which is accessed online at http://www.mhhe.com/yacht2013; or from the Instructor’s Resource CD, Solution Files folder. Open the Part 2 folder for the Chapters 9, 10, 11, and Project 1 solution files. Unzip (extract) the appropriate file. 1. Start Sage 50. On the startup window, click

. The steps that follow were completed with the Windows 7 operating system. Read Me When I started Sage 50, the startup window is not shown. The title bar shows a company name and Sage 50 Accounting. If the company name is not David Walsh Designer, select File; Close Company to go to the startup window. If the title bar shows David Walsh Designer - Sage 50 Accounting go to step 3 on page 462 - IMK.

2. The Open an Existing Company window appears. Select David Walsh Designer. If necessary, click to scroll down the Company Name list. If you are able to select David Walsh Designer or another name Designer, go to step 3 on page 462 - IMK.  Troubleshooting: What if David Walsh Designer (or another name Designer) is not shown? a. First double-check that David Walsh Designer (or another name [student first and last name] Designer is not shown).From Sage 50’s startup window, select

. b. Click . The Open Company window appears. c. If David Walsh Designer (or, another name Designer) is The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Appendix B: How to Use the Solutions Files

shown select it, and then click

461 - IMK

. (Hint: If the Setup

Guide window appears, click ; .) Go to step 3 on the next page and follow the steps to restore your data. d. If no Designer company is shown, click e. There are four menu bar options--.

Click File; Restore. f. The Select Backup File window appears. Click . In the Look in field, select the appropriate location of your backup file; for example, your USB drive. g. Select the Chapter 9 Chart of Accounts.ptb; click . h. Make sure the Location field shows the correct place for the Chapter 9 Chart of Accounts.ptb file. Click . i. The Select Company window appears. Click on the radio button next to A New Company. Read Me Observe that there are two options on the Select Company window: An Existing Company and A New Company. If you select A New Company, then the company will be named exactly as the backup file you selected. You can restore to an existing company—one that is previously set up—or you can restore to a new company, bypassing the process of setting up a new company. Let’s say you wanted to restore a backup file for a company that was not set up in Sage 50. Some computer labs delete directories from the hard drive; for example, you have a back up file but the company, in this case David Walsh Designer, is not listed as a Sage 50 company. If you start Sage 50 and you cannot select the appropriate company, use the Restore Wizard to select A New Company. Using your backup file, and the selection for A New Company, you are able to start where you left off the last time you used Sage 50.

j. The Company Name field shows David Walsh Designer. The Location field shows the location of your backup file. The last two letters of the location field shows "de." Click Continue with step 5 on the next page.

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Appendix B: How to Use the Solutions Files

From the Navigation Bar, select

;

. 4.

The Select Backup File window appears. Click . The Open Backup File window appears. Go to the Location of your Chapter 9 Chart of Accounts.ptb file and select it.

Click . The Select Backup File window shows the location of your backup file: X:\Chapter 9 Chart of Accounts.ptb.

(Substitute X for your drive letter. Click .1 The Select Company window appears. The radio button is next to An Existing Company. The Company Name field shows David Walsh Designer (or, your first and last name, Designer). The Location field shows the default location on the hard drive for David Walsh Designer−C:\Sage\Peachtree\Company\davwalde. Click

. The Restore Options window appears. Make sure

that the box next to Company Data is checked. Click 8.

The Confirmation window appears. Check the From and To fields to make sure they are correct. Click . When the Restore Company scale is 100% complete, your data is restored. If you are using the Student Version of Sage 50 a window prompts that company data can be used for 14 months. After that time the data expires.

These steps allow you to start on textbook page 280, Entering Chart of Accounts Beginning Balances. You have restored data from the beginning of Chapter 9 which means you can continue from that point. Use the Restore Wizard’s selection to restore An Existing Company or restore A New Company to work from the backups for Chapters 9, 10, and 11. Detailed steps for using Windows Explorer to see David Walsh Designer’s file size are shown on textbook pages 288-289. Detailed steps for backing up the chart of accounts are shown on textbook pages 274-276; steps for 1

If David Walsh Designer is not shown in the Company Name field, refer to Troubleshooting, steps a. – j, pages 430 - IMK to 431 - IMK. (Hint: Cancel the Restore Wizard, then browse to the location of your Chapter 9 Chart of Accounts.ptb backup file.) The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Appendix B: How to Use the Solutions Files

463 - IMK

backing up beginning balances are shown on textbook pages 289-290. Detailed steps for restoring data from students' backups are shown on textbook pages 276-280. The Part openers on textbook pages 1-2 (Part 1); textbook pages 251-254 (Part 2); textbook pages 393-396 (Part 3); and textbook pages 611-612 (Part 4) include a chart which shows Chapter number; Backup (.ptb), Excel (.xlsx), and Adobe (.pdf) file name; Kilobytes; and textbook Page Nos. where each file was backed up or saved. The solution files use the same backup or file name that is shown in the textbook. Use these charts to identify the appropriate file name when you want to restore the Chapters 1-18 Solutions Files. Observe that Sage 50 backups have a .ptb extension; Excel files have an .xlsx (Microsoft Office 2007 or 2010), or, .xls (MS Office 2003 and lower) extension; Adobe files have a .pdf extension; and Word files have a .docx extension. If you save the Word file with MS Office 2003 or lower, the extension is .doc. On this page and the pages that follow, a chart shows the Chapter, Company Name, Backup, Excel, Adobe File Name, and Textbook Page Nos. where files are backed up and saved in Chapters 118 and Projects 2, 3, and 4. This chart is similar to the one included on the Part openers in the textbook. Chapter

Company Name

Backup, Excel, Adobe File Name

Textbook Page Nos.

Part 1: Exploring Sage 50 Complete Accounting 2013 1

Bellwether Garden Supply

bgs.ptb

23-25

Chapter 1.ptb

41-42

Chapter 1_Employee List.xlsx

45-47

Chapter 1_Employee List.pdf

47-48

Exercise 1-2.ptb

Exercise 1-2_Employee List.xlsx

Exercise 1-2_Employee List.pdf

Exercise 1-2_Chart of Accounts.xlsx Exercise 1-2_Chart of Accounts.pdf

52 52

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

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Appendix B: How to Use the Solutions Files

Bellwether Garden Supply

Chapter 2.ptb Chapter 2_Vendor List and Ledgers.xlsx Chapter 2_Vendor List.pdf Chapter 2_Vendor Ledgers.pdf Exercise 2-2.ptb

Bellwether Garden Supply

Chapter 3.ptb

Chapter 4.ptb

Exercise 4-2_Payroll Check Register.xlsx Exercise 4-2_Payroll Check Register.pdf Chapter 5.ptb Exercise 5-2.ptb Exercise 5-2_General Ledger Trial Balance.xlsx Exercise 5-2_General Ledger Trial Balance.pdf 6

Bellwether Garden Supply

Exercise 4-2.ptb

Bellwether Garden Supply

Exercise 2-2_Vendor Ledgers.pdf

Exercise 3-2_Customer Ledgers.pdf

Exercise 3-2_Customer Ledgers.xlsx

Bellwether Garden Supply

85-87

Exercise 2-2_Vendor List and Ledgers.xlsx Exercise 2-2_Vendor List.pdf

Exercise 3-2.ptb

Chapter 6.ptb Exercise 6-2.ptb Exercise 6-2_Job Profitability Report.xlsx

126 128 128

128

149 151 151

151

186 188 188

188

200-201 202 202

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Appendix B: How to Use the Solutions Files

Bellwether Garden Supply

Exercise 6-2_Job Profitability Report.pdf

Bellwether Garden Supply

Chapter 7.ptb (optional backup)

465 - IMK

Chapter 7_Financial Statements.xlsx Chapter 7_Balance Sheet.pdf Chapter 7_Income Statement.pdf Chapter 7_Dept Gross Profit Totals.pdf Chapter 7_Statement of Cash Flow.dpf Chapter 7_Statement of Retained Earnings.pdf Chapter 7_Statement of Changes in Financial Position.pdf 8

Stone Arbor Landscaping

Chapter 8.ptb Chapter 8_Time Ticket Register.xlsx Chapter 8_Time Ticket Register.pdf Exercise 8-1.ptb Exercise 8-2_Time and Billing Reports.xlsx Exercise 8-2_Job Ledger.dpf Exercise 8-2_Time Ticket Register.pdf Exercise 8-2_Payroll Time Sheet.pdf

202

223 223-225

225 225 225

225

243 244-246

246

248 249

249 249

249

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Appendix B: How to Use the Solutions Files

Part 2: Sage 50 Complete Accounting 2013 for Service Businesses 9

David Walsh Designer

Crafts by Student Name

David Walsh Designer

Chapter 9 Chart of Accounts.ptb

274-275

Chapter 9 Beginning Balances.ptb

289-290

Chapter 9_Chart of Accounts and Beginning Balances.xlsx

290-293

Chapter 9_Balance Sheet.pdf

293

Chapter 9_Chart of Accounts.pdf

293

Exercise 9-1.ptb

297

Exercise 9-2.ptb

299

Exercise 9-2_Chart of Accounts and Beginning Balances.xlsx

299

Exercise 9-2_Chart of Accounts.pdf

299

Exercise 9-2_Balance Sheet.pdf

299

Chapter 10 Transaction Register October.ptb

311-312

Chapter 10 October.ptb Chapter 10_October Trial Balance and Financial Statements.xlsx

Crafts by Student Name

325 325-327

Chapter 10_October Trial Balance.pdf

327

Chapter 10_October Balance Sheet.pdf

327

Chapter 10_October Income Statement.pdf

327

Exercise 10-1.ptb

329

Exercise 10-2.ptb

331

Exercise 10-2_October Trial Balance and Financial Statements.xlsx.

331

Exercise 10-2_OctoberTrial Balance.pdf

331

Exercise 10-2_October Balance Sheet.pdf

331

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Appendix B: How to Use the Solutions Files

467 - IMK

Crafts by Student Name

Exercise 10-2_October Income Statement.pdf

331

David Walsh Designer

Chapter 11_December Income Statement.pdf

346

Chapter 11_December Statement of Cash Flow.pdf

353

Chapter 11_December Statement of Retained Earnings.pdf

364

Chapter 11 EOY.ptb

Crafts by Student Name

Project 1

Sherry Pierce, Accounting

364-365

Chapter 11_Postclosing Trial Balance.xlsx

365

Chapter 11_Postclosing Trial Balance.pdf

365

Asset depreciation.xlsx (Going to the Net)

OLC

Exercise 11-2_Adjusted Trial Balance.pdf

376

Exercise 11-2_Balance Sheet.pdf

378

Exercise 11-2_Income Statement.pdf

379

Exercise 11-2_Statement of Cash Flow.pdf

379

Exercise 11-2_Statement of Retained Earnings.pdf

379

Exercise 11-2 End of Year.ptb

379

Exercise 11-2_Postclosing Trial Balance.xlsx

379

Exercise 11-2_Postclosing Trial Balance.pdf

379

Sherry Pierce Chart of Accounts.ptb

384

Sherry Pierce Beginning Balances.ptb

385

Sherry Pierce UTB.ptb

387

Sherry Pierce December.ptb

388

Sherry Pierce_Adjusted Trial Balance and Financial Statements.xlsx

388

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

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Project 1

Appendix B: How to Use the Solutions Files

Sherry Pierce, Accounting

Project 1_Balance Sheet.pdf

388

Project 1_Income Statement.pdf

388

Project 1_Statement of Cash Flow.pdf

388

Project 1_Statement of Retained Earnings.pdf

388

Sherry Pierce EOY.ptb

388

Sherry Pierce_Postclosing Trial Balance.xlsx

388

Project 1_Postclosing Trial Balance.pdf

388

Part 3 Sage 50 Complete Accounting 2013 for Merchandising Businesses 12

Nancy's Service Merchandise

Chapter 12 Chart of Accounts.ptb

408

Chapter 12 Starting Balance Sheet.ptb

411

Chapter 12 Begin.ptb

425

Chapter 12.ptb

449

Chapter 12_CofA_PJ_CDJ_

449-451

VL_GLTB.xlsx Student Name Sales and Service

Exercise 12-1_Chart of Accounts.ptb

454

Exercise 12-1_Starting Balance Sheet.ptb

456

Exercise 12-1.ptb

459

Exercise 12-2.ptb

460

Exercise 12-2_ CofA_PJ_CDJ_ VL_GLTB. xlsx

460

Exercise 12-2_Chart of Accounts.pdf

461

Exercise 12-2_Purchase Journal.pdf

461

Exercise 12-2_Cash Disbursements Journal.pdf

461

Exercise 12-2_Vendor Ledgers.pdf

461

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Appendix B: How to Use the Solutions Files

469 - IMK

Student Name Sales and Service

Exercise 12-2_General Ledger Trial Balance.pdf

461

Nancy's Service Merchandise

Chapter 13 Begin.ptb

476

Chapter 13.ptb

504

Chapter 13_SJ_CRJ_CL_

504

GLTB.xlxs Student Name Sales and Service

Exercise 13-1.ptb

507

Exercise 13-2.ptb

509

Exercise 13-2_SJ_CRJ_CL_

509

GLTB.xlsx

Nancy's Service Merchandise

Exercise 13-2_Sales Journal

509

Exercise 13-2_Cash Receipts Journal.pdf

509

Exercise 13-2_Customer Ledgers.pdf

509

Exercise 13-2_General Ledger Trial Balance.pdf

509

Chapter 14 Begin. ptb

520

Chapter 14.ptb

533

Chapter 14_CL_VL_CGSJ_IAJ_

533

_IPR_GLTB.xlsx Student Name Sales and Service

Exercise 14-1.ptb

535

Exercise 14-2_ CRJ_PJ_CGSJ_IAJ_IPR_GLTB. xlsx

536

Exercise 14-2_Cash Receipts Journal.pdf

536

Exercise 14-2_Purchase Journal.pdf

536

Exercise 14-2_Cost of Goods Sold Journal.pdf

536

Exercise 14-2_Inventory Adjustment Journal.pdf

536

Exercise 14-2_Inventory Profitability Report.pdf

536

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

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Appendix B: How to Use the Solutions Files

Student Name Sales and Service

Exercise 14-2_General Ledger Trial Balance.pdf

536

Nancy's Service Merchandise

Chapter 15 Begin.ptb

556

Chapter 15.ptb

580

Chapter 15_PayJ_GLTB_BS_

580

IS_SCF.xlsx Student Name Sales and Service

Project 2

Mountain Sports

Exercise 15-1.ptb

585

Exercise 15-1_General Journal.pdf

585

Exercise 15-2.ptb

587

Exercise 15-2_EL_CL_VL_IVR_ PayJ_GLTB_ BS_IS_SCF.xlsx

588

Exercise 15-2_Employee List.pdf

588

Exercise 15-2_Vendor Ledgers.pdf

588

Exercise 15-2_Customer Ledgers.pdf

588

Exercise 15-2_Inventory Valuation Report.pdf

588

Exercise 15-2_Payroll Journal.pdf

588

Exercise 15-2_General Ledger Trial Balance.pdf

588

Exercise 15-2_Balance Sheet.pdf

588

Exercise 15-2_Income Statement.pdf

588

Exercise 15-2_Statement of Cash Flow.pdf

588

Mountain Sports Chart of Accounts.ptb

594

Mountain Sports Starting Balance Sheet.ptb

594

Project 2_Dec 31 2012 Balance Sheet.pdf

594

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Project 2

Appendix B: How to Use the Solutions Files

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Mountain Sports Begin.ptb

602

Mountain Sports January.ptb

606

Mountain Sports_CofA_CL_VL_ GLTB_AcctRec_ BS_ IS_ SCF.xlsx

606

Project 2_Chart of Accounts.pdf

606

Project 2_Customer Ledgers.pdf

606

Project 2_Vendor Ledgers.pdf

606

Project 2_General Ledger Trial Balance.pdf

606

Project 2_Account Reconciliation.pdf

606

Project 2_Balance Sheet.pdf

606

Project 2_Income Statement.pdf

606

Project 2_Statement of Cash Flow.pdf

606

Mountain Sports

Part 4: Advanced Sage 50 Complete Accounting 2013 Applications 16

Bellwether Garden Supply

Exercise 16-2.ptb

635

Exercise 16-2_Copy of Income Stmnt.pdf Exercise 16-2_Copy of Income Stmnt.xlsx customer.csv

635 635 642-643

customer.txt

645

Exercise 17-2.ptb

653

Exercise 17-2_Vendor List.pdf

653

Exercise 17-2_Chart of Accounts.pdf Exercise 17-2_Vendor List_Chart of Accounts.xlsx Bellwether Garden Supply.docx

653

657

Customer Letters.docx

659

Bellwether Sales Special.doc

663

Exercise 18-1.docx

666

Exercise 18-2.docx

666

653

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

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Project 3

Project 4

Appendix B: How to Use the Solutions Files

Springfield Computer Club

CW Manufacturing, Inc.

Springfield Computer Club Chart of Accounts.ptb Springfield Computer Club Starting Balance Sheet.ptb Springfield Computer Club January.ptb Springfield Computer Club_CofA_ CDJ_CRJ_ GLTB_ BS_ IS_ SCF_SRE_xlsx Project 3_Chart of Accounts.pdf

674 675 676 676

676-677

Project 3_General Ledger Trial Balance.pdf Project 3_Balance Sheet.pdf

676-677 676-677

Project 3_Income Statement.pdf

676-677

Project 3_Statement of Cash Flow.pdf Project 3_Statement of Retained Earnings.pdf CW Mftg Chart of Accounts.ptb

676-677 676-677 681

CW Mftg Starting Balance Sheet.ptb CW Mftg Begin.ptb

682 692

CW Mftg January.ptb

697

CW Mftg_CofA_GLTB_BS_IS_SCF_ SRE.xlsx Project 4_Chart of Accounts.pdf

697

Project 4_General Ledger Trial Balance.pdf Project 4_Balance Sheet.pdf

697 697

Project 4_Income Statement.pdf

697

Project 4_Statement of Cash Flow.pdf Project 4_Statement of Retained Earnings.pdf

697 697

Refer to Appendix B-1, pages 475 - IMK to 478 - IMK to see a list of all the files backed up and saved in Computer Accounting with Sage 50 Complete Accounting 2013, 17e. The chart in Appendix B-1 organizes the files into these columns.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Appendix B: How to Use the Solutions Files     

473 - IMK

Chapter or Project: 1-18, Bellwether Garden Supply Project, Projects 1, 2, 3, and 4 .ptb extensions - Solution Files and Sage 50 Backups .pdf extensions - End of Chapter Exercises .xlsx extensions - Excel Report Solutions .doc, .docx, .csv, and .txt extensions: Microsoft Word files, Comma Separated Value files, and text files.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

APPENDIX C COURSE OUTLINE AND SYLLABUS: 12 WEEKS A Course Outline and Syllabus for a 12-week Computer Accounting course is shown on the next four pages. The Course Outline and Syllabus includes a course description, textbook and supplementary materials, course objectives, learning outcomes, grading policy, and a schedule for turn-in assignments. Chapters 16, 17, and 18 are not included in the 12week Course Outline and Syllabus. The turn-in assignments listed on the syllabus include end-of-chapter exercises; summary and review questions including the Assessment Rubrics and Analysis Questions; Going to the Net exercises; comprehensive projects, Projects 1, 2, 3, 4; and student-designed projects, Projects 1A and 2A. The total points suggested for the course are 1,200. The turn-in assignments on the Syllabus add up to 950 points. The remaining 250 points are for the end-of-chapter review questions, assessment rubrics, or analysis questions. You may collect the end-of-chapter questions at any time. I suggest random-unannounced intervals so that the students know that they might be collected but are not sure when. If you decide to collect the review or analysis questions for Chapter 2 at the end of the third week, you could give the students 50 points for completing the questions correctly. Then you might decide to collect the questions for Chapter 4 at the end of the sixth week. If the questions are worth 50 points, then you would collect them five times during the semester (50 X 5 = 250 points). Another suggestion is to use the comprehensive projects and the studentdesigned projects the way testing would be used in a traditional course. Project 1, Sherry Pierce, Accounting is a service business that culminates Part 2 of the textbook. Project 2, Mountain Sports, is a merchandising business that culminates Part 3 of the textbook. Project 3, Springfield Computer Club and Project 4, CW Manufacturing, Inc. are a non-profit business and a manufacturing business that culminate Part 4 of the textbook. The student-designed projects, Projects 1A and 2A, will show you if your students can create a business from scratch using the features of the software that they have learned in each part of the textbook. The comprehensive projects and the student-designed projects could serve as the testing for the course. The seven projects are worth 600 points or 50% of the course grade. Modify the Course Outline and Syllabus in any way that works best for you.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

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Appendix C: Course Outline and Syllabus – 12 Weeks

COURSE OUTLINE AND SYLLABUS: 12-WEEKS COMPUTER ACCOUNTING INSTRUCTOR:

MEETING TIMES:

COURSE DESCRIPTION: In this course computers are used to apply the basic principles and procedures of accrual accounting. Computer accounting applications include general ledger, accounts receivable, accounts payable, invoicing, payroll, inventory, and job costs. TEXTBOOK AND SUPPLEMENTARY MATERIALS: Yacht, Carol, Computer Accounting with Sage 50 Complete Accounting 2013, 17th Edition, McGraw-Hill/Irwin, ISBN No. 0077738446. For making backups, you can use the following external media: USB flash or thumb drive; one CD-R for a CD-RW disk drive; one DVD-R for a DVDRW drive. Backups can also be made to the hard drive or network drive. COURSE OBJECTIVES: 1. Develop the skills necessary to do general ledger computer accounting for service, merchandising, nonprofit, and manufacturing businesses. 2. Complete exercises using accounts receivable, accounts payable, invoicing, payroll, inventory, and job cost systems. 3. Prepare financial statements and complete financial statement analysis. 4. Complete the computer accounting cycle using Sage 50 Complete Accounting 2013 software. 5. Complete computer accounting projects that require designing service and merchandising businesses. 6. Complete Feature Quizzes, Online Quizzes, Going to the Net exercises, Assessment Rubrics, QA Templates and Analysis Questions. (Online Learning Center at www.mhhe.com/yacht2013.)

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Appendix C: Course Outline and Syllabus – 12 Weeks

483 - IMK

LEARNING OUTCOMES: 1. (Evaluation Level) Explain the methods for utilizing Sage 50 Complete to record transactions for a business. 2. (Analysis Level) Analyze financial reports which can be used to make sound business decisions. 3. (Knowledge Level) List the steps to set up accounting records for a business utilizing Sage 50 Complete. 4. (Analysis Level) Compare and contrast the benefits of utilizing Sage 50 Complete to maintain accounting records in a variety of business industries and situations. 5. (Analysis Level) Explain and demonstrate the steps to process payroll information in Sage 50 Complete. 6. (Evaluation Level) Summarize and demonstrate the process to track inventory and maintain inventory records in Sage 50 Complete. GRADING POLICY: The tables below illustrate points, grading scale, and grading instruments. See the syllabus for due dates. GRADING INSTRUMENTS Exercises End-of-Chapter Questions1 Projects 1, 2, 3, 4 Projects 1A, 2A Going to the Net TOTAL

POINTS 150 250 400 200 200 1,200

GRADING SCALE 1080 to 1200: A 960 to 1079: B 840 to 959: C 720 to 839: D - 719: F 1

End-of-chapter questions can also include Assessment Rubrics and Analysis Questions.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

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Appendix C: Course Outline and Syllabus – 12 Weeks

Grading Instruments:

Percentage of Grade:

Exercises End-of-Chapter Questions Projects 1, 2, 3, 4 Projects 1A, 2A Going to the Net

12.50 20.83 33.33 16.67 16.67

TOTAL

100.0

The Syllabus which shows a weekly assignment schedule is shown on the next page.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Appendix C: Course Outline and Syllabus – 12 Weeks

485 - IMK

SYLLABUS The review questions, analysis questions, or assessment rubrics are due when the chapter exercises are completed. Questions and/or assessment rubrics will be collected at random, unannounced intervals and are worth 250 points. Assignments may be turned in before due dates. DUE DATES

TURN-IN ASSIGNMENTS

Week 1

Exercises 3-2 and 4-2 (10 points).

Week 2

Exercises 6-2 (5 points), 7-1 and 7-2 (10 points); 8-1, 8-2 (5 points); turn in two Going to the Net exercises from Part 1 (50 points)

Week 3

Exercise, 11-2 (20 points); Project 1, Sherry Pierce, Accounting (75 points)

Week 4

Project 1A: student-designed service business (100 points); turn in two Going to the Net exercises from Part 2 (50 points)

Week 6

Exercise 12-2 (50 points)

Week 8

Exercises 15-2 and 15-2 (50 points)

Week 9

Project 2, Mountain Sports (150 points)

Week 10

Project 2A, student-designed merchandising business (100 points); turn in two Going to the Net exercises from Part 3 (50 points)

Week 11

Project 3, Springfield Computer Club 75 (points)

Week 12

Project 4, CW Manufacturing, Inc. (100 points); turn in two Going to the Net exercises from Part 4 (50 points)

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

APPENDIX D COURSE OUTLINE AND SYLLABUS: 15 WEEKS A Course Outline and Syllabus for a 15-week Computer Accounting course is shown on the next four pages. The Course Outline and Syllabus includes a course description, textbook and supplementary materials, course objectives, grading policy, and a schedule for turn-in assignments. The turn-in assignments listed on the syllabus include end-of-chapter exercises; summary and review questions including the Assessment Rubrics and Analysis Questions; Going to the Net exercises; comprehensive projects, Projects 1, 2, 3, 4; and student-designed projects, Projects 1A, 2A, 4A. The total points suggested for the course are 1,200. The turn-in assignments on the Syllabus add up to 950 points. The remaining 250 points are for the end-of-chapter review questions, assessment rubrics, or analysis questions. You may collect the end-of-chapter questions at any time. I suggest random-unannounced intervals so that the students know that they might be collected but are not sure when. If you decide to collect the questions for Chapter 2 at the end of the third week, you could give students 50 points for completing the questions correctly. Then you might decide to collect the questions or assessment rubrics for Chapter 4. If the questions or assessment rubrics were worth 50 points each, then you would collect them five times during the semester (50 X 5 = 250 points). Another suggestion is to use the comprehensive projects and the studentdesigned projects the way testing would be used in a traditional course. Project 1, Sherry Pierce, Accounting, is a service business that culminates Part 2 of the textbook. Project 2, Mountain Sports, is a merchandising business that culminates Part 3 of the textbook. Project 3, Springfield Computer Club and Project 4, CW Manufacturing, Inc. are a non-profit business and manufacturing business that culminate Part 4 of the textbook. The student-designed projects, Projects 1A and 2A, will show you if your students can create a business from scratch using all the features of the software that they have learned in each part of the textbook. Project 4A, the student-designed project, gives your students an opportunity to add another month's worth of transactions to Projects 1, 2, 3 or 4. The comprehensive projects and the student-designed projects could serve as the testing for the course. The seven projects are worth 600 points or 50% of the course grade. Modify the course Outline and Syllabus in any way that works best for you.

487 - IMK

488 - IMK

Appendix D: Course Outline and Syllabus – 15 Weeks

COURSE OUTLINE AND SYLLABUS: 15-WEEKS COURSE DESCRIPTION: In this course computers are used to apply the basic principles and procedures of accrual accounting. Computer accounting applications include general ledger, accounts payable, accounts receivable, invoicing, payroll, inventory, and job costs. TEXTBOOK AND SUPPLEMENTARY MATERIALS: Yacht, Carol, Computer Accounting with Sage 50 Complete Accounting, 17th Edition, McGraw-Hill/Irwin, ISBN No. 0077738446. For making backups, you can use the following external media: USB flash or thumb drive; one CD-R for a CD-RW disk drive; one DVD-R for a DVDRW drive; one USB drive. Backups can also be made to the hard drive or network drive COURSE OBJECTIVES: 1. Develop the skills necessary to do general ledger computer accounting for service, merchandising, nonprofit, and manufacturing businesses. 2. Complete exercises using accounts payable, accounts receivable, invoicing, payroll, inventory, and job cost systems. 3. Complete the computer accounting cycle using Sage 50 Complete Accounting 2013 software. 4. Complete exercises to customize forms, use Sage 50’s letter templates and online resources, and export Sage 50 data to a word processing program and Microsoft Excel. 5. Prepare financial statements and complete financial statement analysis. 6. Complete computer accounting projects that require designing service and merchandising businesses. 7. Complete Feature Quizzes, Online Quizzes, Going to the Net exercises, Assessment Rubrics, QA Templates and Analysis Questions. (Online Learning Center at www.mhhe.com/yacht2013.) The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Appendix D: Course Outline and Syllabus – 15 Weeks

489 - IMK

LEARNING OUTCOMES: 1. (Evaluation Level) Explain the methods for utilizing Sage 50 Complete to record transactions for a business. 2. (Analysis Level) Analyze and format financial reports which can be used to make sound business decisions. 3. (Knowledge Level) List the steps to set up accounting records for a business utilizing Sage 50 Complete. 4. (Analysis Level) Compare and contrast the benefits of utilizing Sage 50 Complete to maintain accounting records in a variety of business industries and situations. 5. (Analysis Level) Explain and demonstrate the steps to process payroll information in Sage 50 Complete. 6. (Evaluation Level) Summarize and demonstrate the process to track inventory and maintain inventory records in Sage 50 Complete. GRADING POLICY: The tables below illustrate points, grading scale, and grading instruments. See the syllabus for due dates. GRADING INSTRUMENTS

POINTS

Exercises End-of-Chapter Questions Projects 1, 2, 3, 4 Projects 1A, 2A, 4A Going to the Net exercises1

100 250 400 250 200

TOTAL

1,200

GRADING SCALE 1080 to 1200: A 960 to 1079: B 840 to 959: C 720 to 839: D - 719: F 1

End-of-chapter questions can also include Assessment Rubrics and Analysis Questions.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

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Appendix D: Course Outline and Syllabus – 15 Weeks

Grading Instruments:

Percentage of Grade:

Exercises End-of-Chapter Questions Projects 1, 2, 3, 4 Projects 1A, 2A, 4A Going to the Net exercises

12.50 20.83 33.33 16.67 16.67

TOTAL

100.0

The Syllabus which shows a weekly assignment schedule is shown on the next page.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Appendix D: Course Outline and Syllabus – 15 Weeks

491 - IMK

SYLLABUS The review questions and analysis questions are due when the chapter exercises are completed. Questions will be collected at random, unannounced intervals and are worth 250 points. Assignments may be turned in before due dates. DUE DATES

TURN-IN ASSIGNMENTS

Week 3

Exercises 5-2, 6-2 (10 points); 7-1, 7-2, 8-1, 8-2 (10 points); Turn in Going to the Net exercises from Part 1 (40 points)

Week 4

Exercise 11-2 (10 points); Project 1, Sherry Pierce, Accounting (75 points)

Week 5

Project 1A: student-designed service business (75 points); turn in two Going to the Net exercises from Part 2 (50 points)

Week 6

Exercise 12-2 (20 points)

Week 7

Exercise 15-1 and 15-2 (20 points)

Week 9

Project 2, Mountain Sports (150 points); turn in two Going to the Net exercises from Part 3 (50 points)

Week 11

Project 2A, student-designed merchandising business (100 points)

Week 12

Exercise 16-2 and 16-2 (20 points)

Week 13

Exercise 17-1, 17-2, 18-1, and 18-2 (20 points); Project 3, Springfield Computer Club (75 points); turn in two Going to the Net exercises from Part 4 (50 points)

Week 14

Project 4, CW Manufacturing, Inc. (100 points)

Week 15

Project 4A, student-designed project (75 points)

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

APPENDIX E ONLINE COURSE OUTLINE AND SYLLABUS Appendix E is a suggested course outline and syllabus for a six-week online course. A schedule of weekly assignments is included. Blackboard, WebCT or other online course delivery system may be used. If you are teaching online, contact your McGraw-Hill representative at http://catalogs.mhhe.com/mhhe/findRep.do for a cartridge for Computer Accounting with Sage 50 Complete Accounting 2013, 17th Edition (ISBN 0077738446). The Course Outline and Syllabus is followed by a Class Schedule. COURSE OUTLINE AND SYLLABUS Instructor: Email: Course website: I.

Course Name: Credit: 1 Lecture: 1

II.

Prerequisite: Financial, Principles or other introductory accounting courses, consent of the instructor or department chair.

III.

Course (Catalog) Description: This course introduces the student to Sage 50 software. Content includes setting up companies, entering payables, writing checks, entering sales, collecting receivables, tracking inventory, processing payroll, generating reports, entering journal entries and creating financial statements.

IV.

Learning Objectives: Students learn the basic procedures and menus relating to the following topics: A. General Ledger B. Accounts Payable C. Accounts Receivable D. Payroll E. Inventory Students also learn to consider options in the area of computer ethics.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

493 - IMK

494 - IMK

Online Course Outline and Syllabus

Academic Integrity: o

o o o o o o o o

Students and are required to demonstrate academic integrity and follow the college’s code of Academic Conduct. This code prohibits: cheating, plagiarism (turning in work not written by you, or lacking proper citation), falsification and fabrication (lying or distorting the truth), helping others to cheat, unauthorized changes on official documents, pretending to be someone else or having someone else pretend to be you, making or accepting bribes, special favors, or threats, and any other behavior that violates academic integrity. There are serious consequences to violations of the academic integrity policy. The policies and procedures provide students a fair hearing if a complaint is made against you. If you are found to have violated the policy, the minimum penalty is failure on the assignment and, a disciplinary record will be established and kept on file in the office of the Vice President for Student Affairs for a period of 3 years. Details of the Code of Academic Conduct can be found in the Student Handbook.

VI.

Methods of Instruction: A. B. C. D.

VII.

Discussion threads. Chapter specific questions & exercises. Hands on practice at computer. Comprehensive final examination.

Course Practices Required:   

Read the assigned chapters in the textbook and complete each chapter’s work. Sage 50 reports can be exported to Excel or saved as Adobe PDF files. Use a USB flash drive for backups.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Online Course Outline and Syllabus VIII.

495 - IMK

Instructional Materials: Textbook: Yacht, Carol, Computer Accounting with Sage 50 Complete Accounting 2013, 17th Edition, McGraw-Hill/Irwin Publishing Co.; ISBN No. 0077738446.

IX.

Method of Evaluating Student Progress: Grading: A = 90 – 100% Points: End of Chapter Questions 20% B = 80 – 89% End of Chapter Exercises 30% C = 70 – 79% Final Exam 50% D = 60 – 69% F = 59% and below A. Test Grade: The practice quizzes in multiple choice and true/false format are available at http://www.mhhe.com/yacht2013. You do not need a password to access the practice quizzes. Assessment rubrics may be used as extra credit. QA Templates may be collected any time after chapter is completed. Refer to the weekly schedule of assignments. B. Homework: Homework will be due the week after it is assigned.

XI.

Other Course Information Class requires student to take responsibility for obtaining instructional materials, completing course work, participating in discussion threads, and taking the examinations. Student should contact the instructor via email or class website regarding any problems meeting course requirements. If you have a documented learning, psychological, or physical disability you may be entitled to reasonable academic accommodations or services. To request accommodations or services, contact the ASSIST office in the Learning Center. All

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

496 - IMK

Online Course Outline and Syllabus

students are expected to fulfill essential course requirements. The College will not waive any essential skill or requirement of a course or degree program. Work within the chapter and end-of-chapter exercises will be collected. Refer to the Weekly Schedule of Assignments for due dates. XII.

Incomplete Grades & Late Assignments Regular Attendance is required. The grade “incomplete” will be given only at the request of the student. A student must have completed at least 60% of the required course work before an incomplete request will be considered. It is the student's responsibility to initiate requests for an incomplete and to follow through with the procedures to remove the incomplete grade. All assignments and examinations must be turned in by the last week of class. If not, see Incomplete Grades above. Make up examinations will be given only by prior arrangement. Late or missed assignments will be penalized.

XIII.

Other Information: Do not wait until you are in trouble to get help. Take advantage of the various support services offered by the College, such as free tutoring, audio visual learning materials, the learning lab, etc. CLASS SCHEDULE

This schedule is subject to change as conditions necessitate. The student is responsible for staying current at all times. Your grade will depend heavily upon timely and complete presentation of all written and printed work assignments. All current week’s assignments are due at the end of each week, on Sunday not later than 11:55 PM (Central Time), as noted on the schedule below. Schedule changes will be communicated to you via email or via course website.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Online Course Outline and Syllabus

497 - IMK

Refer to the weekly schedule of assignments for deadlines. You may work ahead of the schedule. 

Homework should be submitted via the assignments. See the Instructions link on the course homepage for homework submission directions. For each chapter shown in the course schedule below, you are required to complete the matching quiz. The matching quiz for each of these chapters is due by the Sunday of the week ending date noted below. See the Quizzes on the course homepage.



Review the PowerPoint slides included on the course site to supplement each textbook chapter.



You may use the Communication Tools such as Student Discussions and Send Email to share questions, ideas and comments with other students in the class. Under no circumstances will any inappropriate postings be acceptable. See the Student Discussions and Send Email on the course homepage.



Instructions for the projects are detailed in the weekly schedule below. There are specific due dates for each project. The projects are required to be completed utilizing the Sage 50 software, which is included in your textbook. You must submit all the projects as either Excel or Word documents via the assignment submission procedure.



All chapters include Analysis Questions or Assessment Rubric for 5 extra credit points. The Assessment Rubrics and Analysis Questions are within the QA Templates online at www.mhhe.com/yacht2013, Student Edition link.

IMPORTANT: Since some of the assignments start within the chapter and continue with the end-of-chapter exercises, you must complete chapter work before doing the end-of-chapter exercises. The next two pages show the schedule of assignments.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

498 - IMK

Online Course Outline and Syllabus

Weekly Schedule of Assignments WEEK ENDING

TOPIC

WEEK 1

Chapter 1

Complete Chapter 1.* Exercises 1-1 and 1-2. Complete quizzes and QA Templates online, www.mhhe.com/yacht2013.

Chapter 2

Complete Chapter 2. Exercises 2-1 and 2-2. Complete Quizzes-Chapter 2. Complete online quizzes and QA templates.

Chapter 3

Complete Chapter 3. Exercises 3-1 and 3-2. Complete Quizzes-Chapter 3. Complete online quizzes and QA templates.

HOMEWORK

PROJECTS TO SUBMIT

*All chapter work must be completed. Chapters 1 through 7, including the end-ofchapter exercises, are cumulative. If you only complete the exercises, your data will not match illustrations in textbook and Check your Figure amounts.

WEEK 2

Chapter 4

Complete Chapter 4. Exercises 4-1 and 4-2. Complete online quizzes and QA templates.

Chapter 5

Complete Chapter 5. Exercises 5-1 and 5-2. Complete online quizzes and QA templates.

Chapter 6 Chapter 7

Complete Chapter 6. Exercises 6-1 and 6-2. Complete online quizzes and QA templates. Complete Chapter 7. Exercises 7-1 and 7-2. Complete online quizzes and QA templates.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Online Course Outline and Syllabus

WEEK 3

Chapters 9

Chapter 10

WEEK 4

WEEK 5

WEEK 6

Complete Chapter 9. Exercises 9-1 and 9-2. Complete online quizzes and QA templates. Complete Chapter 10. Exercise 10-1 and 10-2. Complete online quizzes and QA templates.

Chapter 11

Complete Chapter 11. Exercise 11-1 and 11-2. Complete online quizzes and QA templates.

Mid-Term Exam

Project 1

Chapter 12

Complete Chapter 12. Exercises 12-1 and 12-2. Complete online quizzes and QA templates.

Chapter 13

Complete Chapter 13; Exercise 13-1 and 13-2. Complete online quizzes and QA templates

Chapter 14

499 - IMK

Chart of Accounts, Acct Reconciliation, GL Trial Balance (adjusted), Balance Sheet & Income Statement.

Complete Chapter 14; Exercises 14-1 and 14-2. Complete online quizzes and QA templates

Chapter 15

Complete Chapter 15; Exercise 15-1 and 15-2. Complete online quizzes and QA templates.

Final Exam

Project 2

GL Trial Balance, Balance Sheet, Income Statement & Statement of Cash Flow.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

APPENDIX F ONLINE COURSE OUTLINE AND SYLLABUS: 15 WEEKS CENTRAL ARIZONA COLLEGE Course No./Title: ACC227 Accounting With Sage 50 Complete Instructional Mode: Blackboard

E-mail: vaun.day@centralaz.edu Telephone: 520-494-5346

Instructor: Dr. Vaun C. Day

Office Hours: I’m available via email. Office hours will be posted on Blackboard under staff information. My office is N114 at the Signal Peak Campus.

COURSE DESCRIPTION: Practical application of accounting concepts utilizing Sage 50 Complete software. This course covers: accounts payable, accounts receivable, payroll, inventory, job costing, fixed assets, and time and billing features of Sage 50 Complete. Prerequisite: ACC100 or ACC201. Note: The prerequisite may be waived by the instructor when students can show they have experience in accounting. INSTRUCTIONAL MATERIALS: Computer Accounting with Sage 50 by Sage Complete Accounting 2013, 17th Edition, Carol Yacht. ISBN 0077738446. (Be sure to purchase the text that has the Sage 50 software included.) The software is not loaded at any of CAC’s facilities. USB drive to back up your data or you can back up on your own computer. LEARNING OUTCOMES: 1. (Evaluation Level) Explain the methods for utilizing Sage 50 Complete to record transactions for a business. 2. (Analysis Level) Analyze and format financial reports which can be used to make sound business decisions. 3. (Knowledge Level) List the steps to set up accounting records for a business utilizing Sage 50 Complete. 4. (Analysis Level) Compare and contrast the benefits of utilizing Sage 50 Complete to maintain accounting records in a variety of business industries and situations. 5. (Analysis Level) Explain and demonstrate the steps to process payroll information in Sage 50 Complete. 6. (Evaluation Level) Summarize and demonstrate the process to track inventory and maintain inventory records in Sage 50 Complete. REASONABLE DISABILITY ACCOMMODATIONS: Central Arizona College seeks to provide reasonable accommodations for all qualified individuals with disabilities. This college will comply with all applicable federal, state and local laws, regulations, and The McGraw-Hill Companies, Inc., Computer Accounting with Sage Complete Accounting 2013, 17e

501 - IMK © 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

502 - IMK Online Course Outline and Syllabus

guidelines with respect to providing reasonable accommodations as required to provide equal educational opportunity. It is the student's responsibility to register with the Special Needs Office and discuss their specific needs with the Special Needs Coordinator to determine reasonable accommodations. Once the student registers with the Special Needs office and provides documentation identifying the need for accommodations, an Accommodation Plan will be provided to the student. It is the student’s responsibility to show the Accommodation Plan to their instructor. The Special Needs office is located in the M building at the Signal Peak Campus. Students may contact the Special Needs Coordinator at (520) 494-5409 to set up a one to meeting. The Special Needs Coordinator travels to all campuses and centers. All information is kept confidential. GRADING: Students are graded on the degree to which they meet learning outcomes, not how much time and effort is put forth in the course. The following scale will be applied to the total possible points during the semester: The possible points are listed beside each assignment on Grading Scale: the list of assignments and on Blackboard. 90-100% A 80- 89% B You must complete all assignments in order to be eligible 70- 79% C to receive an A in this class. For example, if your average 60- 69% D is 94% but you didn’t complete one of the assignments you Below 60% F will receive a B. STUDENT RIGHTS & RESPONSIBILITIES: Refer to the CAC Student Handbook for information concerning your rights and responsibilities. INSTALLING THE SAGE 50 SOFTWARE: The Sage 50 software DVD is included in an envelope inside the front cover of your text. Before you insert the DVD included with the text, go online to www.Sage50Accounting.com/student/download to register. After completing the online registration process, go to textbook pages vi to xvi for step-by-step software installation instructions. To make sure your computer has the appropriate memory and system requirements, refer to textbook pages iv-vi. ASSIGNMENT INFORMATION: 1. Due Dates: Assignments must be turned in by the due date specified on the assignment sheet. Once the due date has passed, the assignment will no longer be shown on Blackboard. Once you complete an assignment, the next one becomes automatically available for you to complete. I have all the assignments set up for the entire semester, so feel free to work ahead. Be sure to adhere to due dates because they are strictly enforced.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage Complete Accounting 2013, 17e

Online Course Outline and Syllabus

503 - IMK

2. Check the solutions to the problems: Any mistakes will lower the number of points received on assignments. I have placed several key reports (solutions) under the Course Documents tab in Blackboard for each project. Make sure your reports agree with these before submitting them. 3.

Submitting exercises: All exercises are submitted via Blackboard. Do not email assignments or submit them via an incorrect assignment link because they will not be accepted. All exercises must first be saved as a pdf file before they are attached in Blackboard, with the exception of Chapters 7 and 8 where the exercises are questions.

4. Late assignments: The instructor may accept late work after the due date within 24-hours after it was due. However, it will be discounted at 50%. Should you need to turn in a late assignment, you must send the instructor an email before the due date passes requesting that the assignment be extended. It is up to the instructor’s discretion as to whether or not to allow you to submit a late assignment. 5. Multiple-Choice Questions: Several chapters have multiple choice questions at their end and these are administered via Blackboard under “Assignments” and are set up in Blackboard as “quizzes.” They are the same questions that are in your text so it is recommend you first answer the questions in your text and then enter your responses in Blackboard. 6.

Locating and Correcting Errors: When you complete an assignment and encounter errors when comparing your reports to the solutions, locate and correct them. This is why you were given access to many of the author’s solutions. You’ve been given access to the final General Ledger Reports on major projects so you can view all the postings to every account in the ledger. Locating and correcting errors can be tedious but each student is required to locate and correct their own errors. As mentioned previously, locating and correcting errors is an integral part of the learning process because you learn how the accounts are interrelated and how errors affect the financial statements. The instructor will not search for your errors and show you how to correct them. Below are some tips regarding errors that you’ll likely see mentioned throughout the semester: a. Don’t forget about the Sage 50 drill-down feature. This is where you put your cursor over an amount on many Sage 50 reports and the cursor changes to a magnifying-glass with a “Z” for zoom. Click in order to "drill down" to the original transaction information.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

504 - IMK Online Course Outline and Syllabus

b. If you have errors on your reports and are totally confused and frustrated, don't be apprehensive about starting a problem over. In the past, students have completed some projects three to four or more times before they are correct. Each time the data entry goes quicker and you're learning the Sage 50 program better. 7. Backing up your work: Be sure to back up your data and use the filename that our author assigns throughout the course; not doing so will give you problems when you least expect it. 8. Discussion Board: Please participate on the Discussion Board should you have any questions regarding the course or assignments because another student may have the same question and you can help each other with the class. These interactions include asking your classmates how to do something, giving assistance to a class member, advising the class on helpful tips of “what to do” and “what not to do”. Although these types of discussions are not graded, it is often the best way for students to learn. The instructor will monitor the board regularly to make sure everyone is on the right track. 9. Read the assigned textbook chapters and complete each chapter’s work and the assigned numbered exercises. At the discretion of the instructor, work within the chapter and end-of-chapter exercises will be collected. Refer to the Assignment Schedule for due dates. Chapter work is cumulative; for example, Chapters 1 through 7 work together, Chapters 9-11, etc. In order for your work to match the textbook illustrations and Check Your Figure amounts, complete both the chapter work and end-of-chapter exercises. The Assignment Schedule is on the next five pages.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage Complete Accounting 2013, 17e

Online Course Outline and Syllabus

505 - IMK

Assignment Schedule Week 1

Assignments 1. To complete the syllabus quiz, click on assignments and then click on “syllabus quiz.” 2. Answer each question. All questions are either multiple choice or true/false. The quiz is not timed and you can take it as many times as you need to in order to achieve 100%. You must receive 100% before you can proceed with the course. 1. Read and complete Chapter 1. 2. Complete Exercises 1-1 & 1-2 . 3. Convert the employee list (Exercise 1-2, step 2) to a PDF file by clicking on the PDF button at the top of the Sage 50 Employee List report. (Sage 50 converts the report files to a PDF file and this is the way you attach them in Bb.) 3. Name the file Exercise 1-2 as instructed by Carol. 4. Submit employee list, by clicking on the Assignments button in Bb. 5. In Bb, then click the Assignment button and then click Exercise 1-2. 6. Click on the browse button by the file field, navigate to the location where you saved your file (Exercise 1-2), and attach it. 7. Click Submit to send it to the instructor. BE SURE TO BACK UP YOUR DATA AND USE THE NAME THAT THE AUTHOR, CAROL YACHT, ASSIGNS THROUGHOUT THE BOOK. NOT DOING SO WILL GIVE YOU PROBLEMS WHEN YOU LEAST EXPECT IT!

Possible Points

Continued

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

506 - IMK Online Course Outline and Syllabus

Week 1

Assignments 1. Read and complete Chapter 2. 2. Complete Exercises 2-1 and 2-2. 3. Complete the Chapter 2 QA Templates online at www.mhhe.com/yacht2013, Student Edition. 4. Click on the Assignments button in Bb and then click on Chapter 2 Multiple Choice and answer them using Bb. Click Submit when you are done. 5. Complete Exercises 2-1 & 2. 6. Submit the vendor ledger report following the instructions above for submitting Exercise 1-2. AGAIN, BE SURE TO BACK UP YOUR DATA AND USE THE NAME THAT OUR AUTHOR ASSIGNS BECAUSE NOT DOING SO WILL GIVE YOU PROBLEMS WHEN YOU LEAST EXPECT IT!

Possible Points

1. Read and complete Chapter 3. 2. Complete Exercises 3-1 & 2. 3. Export the Customers Ledgers report to PDF format and submit. (Submit all reports in PDF format.)

1. Read and complete Chapter 4. 2. Complete Exercises 4-1 & 2. 3. Submit the Payroll Check Register.

1. Read and complete Chapter 5. 2. Complete Exercise 5-1 and 5-2. 3. Complete Chapter 5 multiple choice questions in Bb. Go online to www.mhhe.com/yacht2013, Student Edition, QA Templates. 4. Check your G/L Trial Balance report to the solutions under Course Documents. 5. Submit the G/L Trial Balance report. 1. Read and complete Chapter 6. 2. Complete Exercises 6-1 & 2. 3. Submit the Job Profitability Report.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage Complete Accounting 2013, 17e

Week 4

Online Course Outline and Syllabus

507 - IMK

Assignments

Possible Points

1. Read and complete Chapter 7. 2. Complete Exercises 7-1 & 2. 3. Type your answers to the QA Template questions (www.mhhe.com/yacht2013, Student Edition) in Word and submit them via the Assignment module. 1. Read and complete Chapter 8 2. Complete Exercises 8-1 & 2. 3. Complete the QA Template questions online at www.mhhe.com/yacht2013, Student Edition. 4. Type your answers to the questions using your word processor and submit them via the Assignment module. 1. Read and complete Chapter 9. 2. Complete the Chapter 9 multiple choice questions (QA Templates and Analysis Question). 3. Complete Exercises 9-1 & 2. 4. Submit the Chart of Accounts and beginning balances. (Remember to save as a pdf file.) 1. Read and complete Chapter 10. 2. Complete Exercises 10-1 & 2. 3. Submit the Income Statement and Balance Sheet.

10 10

1. Read and complete Chapter 11. 2. Complete Exercises 11-1 & 2: Submit the income statement, balance sheet and post-closing trial balance after saving reports as pdf. 3. Begin Project 1: Your Name, Accounting 10

Project 1–service business; Your Name, Accounting Submit the following reports after saving as pdf files:   

Account Reconciliation report (step 18) Balance Sheet & Income Statement (step 27) Post-Closing Trial Balance report (step 32)

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

508 - IMK Online Course Outline and Syllabus

Week 8

Assignments

Possible Points

1. Read Chapter and complete 12. 2. Complete Exercises 12-1 & 2 3. Submit the Vendor Ledger. 10

Continued

1. Read and complete Chapter 13. 2. Complete the Chapter 13 QA Templates and Analysis questions (online at www.mhhe.com/yacht2013, Student Edition. 3. Complete Exercises 13-1 & 2. 4. Submit General Ledger Trial Balance. 1. Read and complete Chapter 14. 2. Complete Exercises 14-1 & 2. 3. Submit the Inventory Profitability Report. 1. Read and complete Chapter 15. 2. Complete the Chapter 15 QA Templates and Analysis Question (online at www.mhhe.com/yacht2013, Student Edition). 3. Complete Exercises 15-1 & 2. 4. Submit the balance sheet and income statement (step 12). 5. Begin Your Name Mountain Sports Project 2, Your Name Mountain Sports Submit the following reports:  Account Reconciliation Report (step 2)  Balance Sheet & Income Statement (step 4) 1. Read and complete Chapter 16. 2. Complete Exercise 16-1 and 16-2. 2. Complete the Chapter 16 QA Templates (www.mhhe.com/yacht2013, Student Edition). 1. Read and complete Chapter 17. 2. Complete the Chapter 17 QA Tempaltes. 3. Begin working on (Your initials) Manufacturing, Inc.

15 10

10 10

Continue working on (Your initials) Manufacturing, Inc.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage Complete Accounting 2013, 17e

Week 14

Online Course Outline and Syllabus

509 - IMK

Assignments

Possible Points

Project 4, (Your initials) Manufacturing, Inc. After completing the project, submit the following reports in PDF format:  Account reconciliation for Benjamin Franklin Savings and Loan  Income Statement  Balance Sheet  Vendor Ledgers  Customer Ledgers  Job Ledger

Week 15

Assignments Final Practice Set: Your Name, Hardware Store, Inc.*

and

Go to Course Documents and print the practice set. After completing the practice set, submit the following reports in PDF format:

Final week

   

Account Reconciliation for Home State Bank (step 14) Vendor Ledgers (step 17) Customer Ledgers (step 17) Income Statement & Balance Sheet (step 18)

100 Possible Points

100

*NOTE: The Practice Set is located at http://www.mhhe.com/yacht2013; link to Student Edition, Practice Set.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

APPENDIX G COURSE OUTLINE AND SYLLABUS: COMPUTERIZED ACCOUNTING WITH SAGE 50 AND QUICKBOOKS Instructor: Email: Contact Information: Credit: General Description In this course, two accounting software applications are used to apply the basic principles and procedures of accrual accounting. The user interface of each software application illustrates how organizations complete business processes. Course Catalog Description This course introduces students to popular small business accounting software. Students use the software applications’ processes and procedures to prepare reports related to the accounting cycle, general ledger, accounts payable, accounts receivable, payroll, and inventory systems. Accounting concepts are demonstrated in real-world business situations. Learning Objectives Students learn how to navigate the user interface of Sage 50 and QuickBooks and complete these processes. A. Banking B. Vendors & Purchases C. Customers & Sales D. Payroll & Employees E. Inventory & Services Course Objectives 1. Develop the skills necessary to complete computer accounting for service and merchandising businesses.

511 - IMK

512 - IMK

Appendix G: Course Outline and Syllabus – Sage 50 and QuickBooks

2. Complete exercises using accounts receivable, accounts payable, invoicing, payroll, and inventory. 3. Prepare financial statements and complete financial statement analysis. 4. Complete the accounting cycle using Sage 50 Complete Accounting 2013 and QuickBooks 2012. 5. Compare and contrast Sage 50 and QuickBooks. Learning Outcomes 1. (Evaluation Level) Explain the methods for utilizing Sage 50 and QuickBooks to record transactions for a business. 2. (Analysis Level) Analyze and format financial reports which can be used to make sound business decisions. 3. (Knowledge Level) List the steps to set up accounting records for a business utilizing Sage 50 and QuickBooks. 4. (Analysis Level) Compare and contrast the benefits of utilizing Sage 50 and QuickBooks to maintain accounting records in a variety of business industries and situations. 5. (Analysis Level) Explain and demonstrate the steps to process payroll information in Sage 50 Complete and QuickBooks. 6. (Evaluation Level) Summarize and demonstrate the process to track inventory and maintain inventory records in Sage 50 Complete and QuickBooks. Textbooks and Supplementary Materials Carol Yacht, Computer Accounting with Sage 50 by Sage Complete Accounting 2013, 17h Edition, McGraw-Hill/Irwin, ISBN 0077738446. Carol Yacht and Susan Crosson, Computer Accounting Essentials with QuickBooks 2012, 6th Edition, McGraw-Hill/Irwin, ISBN 0077636864. For making backups, you can use the following external media: USB flash or thumb drive; one CD-R for a CD-RW disk drive; one DVD-R for a DVDRW drive. Backups can also be made to the hard drive or network drive.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Appendix G: Course Outline and Syllabus–Sage 50 and QuickBooks 513 - IMK

Method of Evaluating Student Progress: Grading: A = 90 – 100% Points: End of Chapter Questions 20% B = 80 – 89% End of Chapter Exercises 30% C = 70 – 79% Exams & Final 50% D = 60 – 69% F = 59% and below Test Grade A student failing to get a passing grade (60) on two tests will not get a passing grade in the course. Homework Homework is due the week after it is assigned. Additional time outside of class may be needed to complete some of the homework assignments. Exams and Final are completed in the week shown. ASSIGNMENT SCHEDULE Below is the suggested schedule for the term. You may work ahead of schedule. In weeks 1-9, you use Sage 50 Complete Accounting 2013. In weeks 10-15, you use QuickBooks 2012. Coursework submitted after the due date will be reduced by 15% of the maximum points. The assignment schedule is shown on the next three pages.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

514 - IMK

Appendix G: Course Outline and Syllabus – Sage 50 and QuickBooks

Week Ending Week 1

Computerized Accounting Topic Homework Chapter 1

Sage 50 Complete Accounting 2013 Chapter 2

Week 2

Chapter 3

Submit

Read Part 1 introduction. Read and Complete Chapter 1 and Exercises 11and 1-2. Complete the QA Templates* and Chapter 1 quizzes (online at http://www.mhhe.com/yacht2013, Student Edition, select Chapter 1.) Read and complete Chapter 2 and Exercise 2-1 and 2-2. Complete the QA Templates and Chapter 2 quizzes.

Read and complete Chapter 3 and Exercises 3-1 and 3-2. Complete the QA Templates and Chapter 3 quizzes.

Chapter 4 Read and complete Chapter 4 and Exercises 4-1 and 4-2. Complete the QA Templates and Chapter 4 quizzes. Chapter 5

Read and complete Chapter 5 and Exercises 5-1 and 5-2. Complete the Chapter 5 quizzes.

Chapter 6

Read and complete Chapter 6 and Exercises 6-1 and 6-2. Complete the QA Templates and Chapter 6 quizzes.

Week 4

Chapter 7

Read and complete Chapter 7 and Exercises 7-1 and 7-2. Complete Chapter 7 quizzes.

Week 5

Chapter 9

Read Part 2 introduction. Read and complete Chapter 9 and Exercises 9-1 and 9-2. Complete Chapter 9 quiz.

Week 6

Chapter 10

Read and complete Chapter 10 and Exercises 10-1 and 10-2. Complete Chapter 10 quiz.

Week 3

Chapter 11 Read and complete Chapter 11 and Exercise 11-1 and 11-2. Complete Chapter 11 quiz.

*The Sage 50 QA Templates are online at www.mhhe.com/yacht2013; Student Edition link, then select the appropriate chapter. The QA Templates include the end-of-chapter questions and chapter analysis question. They can be answered online, saved as a Word file, and emailed to the instructor.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Appendix G: Course Outline and Syllabus–Sage 50 and QuickBooks 515 - IMK

Week Ending

Topic

Homework

Week 7

EXAM

Project 1

Week 8

Chapter 12

Read Part 3 introduction. Read and complete Chapter 12 and Exercises 12-1 and 12-2. Complete the QA Templates and Chapter 13 quizzes.

Chapter 13 Chapter 14

Submit Chart of Accounts, Acct Reconciliation, GL Trial Balance (adjusted), Balance Sheet & Income Statement

Read and complete Chapter 13 and Exercise 13-1 and 13-2. Complete Chapter 14 quizzes Read and complete Chapter 14 and Exercises 14-1 and 14-2. Complete Chapter 14 quizzes.

Week 9

Chapter 15

Read and complete Chapter 15 and Exercises 15-1 and 15-2. Complete Chapter 15 quizzes.

EXAM Project 2

Week 10

Chapter 1

QuickBooks 2012

Chapter 2

Read and complete Chapter 1 and Exercises 1-1 and 1-2. Complete Multiple Choice Quiz and QA Templates* on the Online Learning Center (OLC) at www.mhhe.com/QBessentials2012, Student Edition, select Chapter 1.

GL Trial Balance, Balance Sheet, Income Statement & Statement of Cash Flow

Email your professor. See Exercise 2-2, steps 1-5.

Read and complete Chapter 2. Complete Exercise 2-1 and 202. Complete Exercises 2-1 and 2-2. Complete the OLC’s QA Templates and Multiple Choice Quiz for Chapter 2.

*The QuickBooks Multiple Choice Quiz and QA Templates are online at www.mhhe.com/QBessentials2012; Student Edition. Select the appropriate chapter, then link to the Multiple Choice Quiz and QA Templates. The Multiple Choice quiz is graded and can be emailed to the instructor. The QA Templates include the end-of-chapter questions and Analysis Questions. The QA Templates can be answered online, saved as a .doc file, and emailed to the instructor. The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

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Appendix G: Course Outline and Syllabus – Sage 50 and QuickBooks

Week Ending Week 11

Topic Chapter 3

Chapter 4

Homework

Submit

Read and complete Chapter 3 and Exercises 3-1 and 3-2. Complete the OLC’s QA Templates and Multiple Choice Quiz for Chapter 3.

Chart of accounts, journal, trial balance

Read and complete Chapter 4 and Exercises 4-1 and 4-2 and Chapter 4 quiz. Complete the OLC’s QA Templates and Multiple Choice Quiz for Chapter 4.

Trial balance, item list, purchases by vendor, transaction list by customer

Week 12

Chapter 5

Read and complete Chapter 5 and Exercises 5-1 and 5-2. Complete the OLC’s QA Templates and Multiple Choice Quiz for Chapter

Week 13

EXAM

Project 1

Check you progress

Week 14

FINAL

Use QuickBooks’s Project 1 and complete it in Sage 50

Sage 50’s trial balance

WEEK 15

FINAL

Use Sage 50’s Project 2 and complete it with QuickBooks

QuickBooks’s trial balance

Essay

Write an essay explaining what you see as the differences between Sage 50 and QuickBooks. Maximum length is 250 words; minimum length is 100 words. This can be submitted any time after Week 8 but before the final.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

APPENDIX H COURSE OUTLINE AND SYLLABUS: 15 WEEKS ACCOUNTING INFORMATION SYSTEMS A Course Outline and Syllabus for a 15-week Accounting Information Systems course is shown on the next three pages. The Course Outline and Syllabus includes a course description, textbooks, course objectives, grading policy, and a schedule for assignments. The assignments listed on the syllabus include end-of-chapter activities, chapter exercises, online quizzes, analysis questions, Projects 1, 2, 4, and exams. COURSE OUTLINE AND SYLLABUS: 15-WEEKS ACCOUNTING INFORMATION SYSTEMS COURSE DESCRIPTION: This course examines the relationship between computer-based information systems and accounting. Systems covered include computer accounting software, XBRL, Application Service Providers, and Enterprise Resource Planning. Additional topics include ethics, internal control, auditing, flowcharting, data flow diagramming, information technology, professional certification, computer crime and security. TEXTBOOKS: Hurt, Robert L., Accounting Information Systems: Basic Concepts and Current Issues, 3rd Edition, McGraw-Hill/Irwin, ISBN No. 0078025338. Yacht, Carol, Computer Accounting with Sage 50 Complete Accounting 2013, 17th Edition, McGraw-Hill/Irwin, ISBN No. 0077738446. COURSE OBJECTIVES: 1. 2. 3. 4. 5. 6. 7.

Understand the design and functionality of accounting information systems. Understand enterprise systems. Understand how information is organized and managed within AIS. Document and evaluate accounting systems; for example, flowcharts, data flow diagrams, REAL diagrams, accounting software. Explore various dimensions of organizational governance and associated effective internal controls. To increase understanding of business processes and internal controls, use accounting software to record transactions, generate reports, and analyze data. Understand reporting technologies such as XBRL.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

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Appendix H: Course Outline and Syllabus - AIS with Sage 50

Understand the implications of Sarbanes Oxley on information management and internal controls and the COSO framework (Committee of Sponsoring Organizations of the Treadway Commission). Evaluate internal controls using the control matrix to evaluate risk in business processes and accounting information systems. Develop professional skills such as time management, critical thinking, analytical skills, problem solving, written and electronic communication of data.

9. 10.

GRADING POLICY: Examinations (3 @ 150 points each)

450 pts

End-of-chapter activities and online quizzes

200 pts

Exercises and analysis questions

200 pts

Sage 50 Accounting projects

350 pts

TOTAL

1,200 pts SCHEDULE

Students are notified via email which assignments to turn in. If an assignment is turned in late, 15% is deducted from that assignment's points. Sage 50 assignments should be emailed as Excel or Adobe PDF file attachments. Refer to pages 85-87 in the Sage 50 textbook, Export two Sage 50 Reports to Excel; pages 87-88, Save PDF files. End-ofChapter Sage 50 Activities Part 1: Introduction and Basic Concepts 1 Chapter 1: Role and Purpose of 1, 2, 4, 8, 9 10 Complete Chapter 1, Exercises 1AIS 1 and 1-2; email Chapter 1 online multiple-choice and true/false quiz from Chapter 2: Transaction 1, 4, 8, 9, 10, www.mhhe.com/yacht202 select Processing in the AIS 11 Student Edition, Chapter 1. 2 Chapter 3: Professionalism and 1, 4,7, 9, 10, Restore Exercise 4-2.ptb file Ethics 11 which is provided by the professor. Complete Chapter 5, Exercises 5-1 and 5-2, Analysis Chapter 4, Internal Controls 1, 2, 3, 4, 5, 7,9, 13, 14, 15 question, email online quizzes.

Week

Chapters and Exams

3 Continue with chapter 4 activities Multiple-Choice Exam #1: AIS book Part 1, Chapters 1-4; Sage 50 book, Chapters 1 and 5

Complete Bellwether Garden Supply Project, http://www.mhhe.com/yacht2013

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e © 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Appendix H: Course Outline and Syllabus - AIS with Sage 50

Week

End-ofChapter Activities Part 2: Documentation Techniques

Chapters and Exams

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Sage 50

3 Chapter 5: Flowcharting

1, 5, 7, 8, 9, 10, 11

Read Part 2 introduction; Complete Chapter 9, Exercises 91 and 9-2; email online quizzes.

4 Chapter 6: Data Flow Diagramming

1, 5, 7, 8, 9, 10

Complete Chapter 10, Exercises 10-1 and 10-2; email online quizzes.

Chapter 7: REAL Modeling

1, 5, 6, 7, 8, 9

Part 3: Systems Analysis and Information Technology Complete Chapter 11, Exercises 5 Chapter 8: Information System 1, 5, 7, 9, 10, 11-1 and 11-2; analysis Concepts 11 questions, email online quizzes. Chapter 9: XBRL 1, 4, 5, 6, 7, 8, 10, 11, 12 6 Chapter 10: E-business and Enterprise Resource Planning Systems

1, 5, 6,7, 11, 12, 13

Complete Project 1; turn in step 29 or 30 (.xlsx or .pdf files) and steps 34 or 35 (.xlsx or .pdf files). Turn in Check Your Progress.

7 Multiple-Choice Exam #2: AIS book, Parts 2 and 3, Chapters 510; Sage 50 book, Chapters 911. Part 4: Business Processes 7 Chapter 11: Sales/Collection Process

9 10

1, 5, 9, 13, 15, 16, 17

Read Part 3 introduction; Complete Chapter 12, Exercises 12-1 and 12-2; email online quizzes. Chapter 12: Acquisition/Payment 1, 10, 11, 12, Complete Chapter 13, Exercises Process 13, 14 13-1 and 13-2; email online quizzes. Chapter 13: Other Business 1, 6, 11, 12, Complete Chapter 14, Exercises Processes 14, 15, 16 14-1 and 14-2. Chapter 14: Business Process 1, 6, 9, 10, 11 Complete Chapter 15, Exercises Management 15-1 and 15-2; analysis question; online quizzes. Part 5: Other Topics in Accounting Information Systems Chapter 15: Computer Crime and 1, 4, 6, 8, 10, Complete Project 2, turn in step 7 Information Technology Security 13, 14, 15 or step 8 (.xlsx or .pdf files) and Check Your Progress.

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Appendix H: Course Outline and Syllabus - AIS with Sage 50

Week

Chapters and Exams

12 Chapter 16: Decision-Making Models and Knowledge Management

13 Chapter 17: Professional Certifications and Career Planning 14 Chapter 18: Auditing and Evaluating the AIS

15 Multiple-Choice Exam #3: AIS book, Parts 4 and 5, Chapters 11-18; Sage 50 book Chapters 12, 13, 14, 15.

End-ofChapter Activities 1, 4, 6, 10, 11, 12

Sage 50 Internal Control assignment (Use Bellwether Garden Supply): 1. Identify the default in Sage 50 that prevents recording transactions over vendor and customer limits. 2. What happens if a vendor is paid more than A/P balance? 3. What happens if a customer is paid more than A/R balance? 4. List three Sage 50 internal controls. Complete Bellwether Garden Supply Project, online at http://www.mhhe.com/yacht2013; Student Edition link

1, 6, 7, 9, 10, 11 1, 4, 5, 6, 10, 11, 12, 13

Auditing assignment Description of Transaction Control: 1. Select a transaction. Prepare a short description of what sort of application control would prevent the transaction from processing, what it would do, and why. 2. After entering a transaction, describe the result. Did you receive a warning? Were you allowed to complete the transaction? Was an appropriate application control in place and did it work as you expected? Project 4, turn in Nos. 2 or 3 (.xlsx or .pdf files) and Check Your Progress.

PART 1: EXPLORING SAGE 50 COMPLETE ACCOUNTING 2013 Part 1, Chapters 1-8, shows your students how to get started using Sage 50 Complete Accounting 2013 (SCA). The students learn about the basic features of Sage 50. The aim of Part 1 is to provide software familiarity rather than to test accounting knowledge. The sample companies, Bellwether Garden Supply (Chapters 1-7) and Stone Arbor Landscaping (Chapter 8), are used for this purpose. The sample companies include transactions and reports that demonstrate the features of the software. Bellwether Garden Supply and Stone Arbor Landscaping are not intended to teach these features in depth. Computer accounting skills, setting up companies from scratch, and completing the accounting cycle are shown in Chapters 9–18 and Projects 1, 1A, 2, 2A, 3, 4 and 4A. In Chapters 1 through 7, the work completed with Bellwether Garden Supply is cumulative. That means all work within the chapter and end-ofchapter exercises needs to be completed. Throughout Part 1, report illustrations and Check your figure amounts are shown. To insure that work matches the textbook, students need to complete both the work within the chapter and the end-of-chapter exercises. The Online Learning Center at http://www.mhhe.com/yacht2013 includes a Bellwether Garden Supply Project; Student Edition and Instructor Edition links. In Part 2, Chapters 9, 10, 11, Projects 1, and 1A, students set up four service businesses, complete the accounting cycle, and close the fiscal year. Entries are recorded in the Receipts window (Cash Receipts Journal) and the Write Checks window (Cash Disbursements Journal). Adjusting entries are recorded in the General Journal. Students reconcile bank statements, print journals and financial statements, and close the fiscal year. At the end of Part 2, there are two comprehensive projects: Sherry Pierce, Accounting and a Student-Designed Service Business. Part 3, Chapters 12 through 15, Projects 2, and 2A, shows your students how to use Sage 50's Accounts Payable, Accounts Receivable, and General Ledger systems for merchandising businesses. At the end of Part 3, there are two comprehensive projects: Mountain Sports and a StudentDesigned Merchandising Business. Part 4, Chapters 16-18, Projects 3, 4, 4A, explains Sage 50's advanced features: customizing forms; import/export; and Microsoft Word integration, templates, and Sage 50 online. At the end of the Part 4, there are three comprehensive projects: Springfield Computer Club, CW Manufacturing, Inc., and a Student-Designed Project. The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

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Part 1

Throughout the textbook key terms are boldfaced and italicized. This indicates words that are defined in the Glossary, which is available on the textbook's website at http://www.mhhe.com/yacht2013. Remind your students to refer to the Glossary for these terms. Part 1 includes eight chapters: Chapter 1: Introduction to Bellwether Garden Supply Chapter 2: Vendors Chapter 3: Customers Chapter 4: Employees Chapter 5: General Ledger, Inventory, and Internal Control Chapter 6: Job Cost Chapter 7: Financial Statements Chapter 8: Stone Arbor Landscaping—Time & Billing In the chart below and on the next page, the sizes of the backups, Excel files and PDF files saved in Part 1 (Chapters 1-8) are shown. Backups can be made to the desktop, hard drive location, network location, or external media—USB flash drive, CD-RW drive or DVD-RW drive. Chapter 1

1 2

Sage 50 Backup (.ptb) Excel (.xlsx) and Adobe (.pdf) bgs.ptb2 Chapter 1.ptb Chapter 1_Employee List.xlsx Chapter 1_Employee List.pdf Exercise 1-2.ptb Exercise 1-2_Employee List.xlsx Exercise 1-2_Employee List.pdf Exercise 1-2_Chart of Accounts.xlsx Exercise 1-2_Chart of Accounts.pdf Chapter 2.ptb Chapter 2_Vendor List and Vendor Ledgers.xlsx Chapter 2_Vendor List.pdf Chapter 2_Vendor Ledgers.pdf Exercise 2-2.ptb Exercise 2-2_Vendor List and Vendor Ledgers.xlsx

Kilobytes1 3,540 KB 3,594 KB 14 KB 68 KB 3,575 KB KB 7 KB 17 KB 13 KB 3,715 KB 21 KB

Page Nos. 23-25 41-42 45-47 47-48 52 52 52 52 52 85 85-87

53 KB 82 KB 3,703 KB 21 KB

87 88 90 90

Your backup sizes may differ. This is the first backup and includes starting data for Bellwether Garden Supply.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Chapter 2 3

OLC 8

Part 1

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Sage 50 Backup (.ptb) Kilobytes3 Excel (.xlsx) and Adobe (.pdf) Exercise 2-2_Vendor Ledgers.pdf 68 KB Exercise 2-2_Purchase Order Register.pdf 51 KB Chapter 3.ptb 3,747 KB Exercise 3-2.ptb 3,772 KB Exercise 3-2_Customer Ledgers.xlsx 18 Exercise 3-2_Customer Ledgers.pdf 75 KB Chapter 4.ptb 3,810 KB Exercise 4-2.ptb 3,816 KB Exercise 4-2_Payroll Check Register.xlsx 13 KB Exercise 4-2_Payroll Check Register.pdf 58 KB Chapter 5.ptb 3,852 KB Exercise 5-2.ptb 3,815 KB Exercise 5-2_General Ledger Trial 15 KB Balance.xlsx Exercise 5-2_General Ledger Trial 63 KB Balance.pdf Chapter 6.ptb 3,863 KB 3,850 KB Exercise 6-2.ptb4 Exercise 6-2_Job Profitability Report.xlsx 16 KB Exercise 6-2_Job Profitability Report.pdf 69 KB No backups in Chapter 7 -Chapter 7_Financial Statements.xlsx 37 KB Chapter 7_Balance Sheet.pdf 8 KB Chapter 7_Income Statement.pdf 9 KB Chapter 7_Dept Gross Profit Totals.pdf 10 KB Chapter 7_Statement of Cash Flow.pdf 6 KB Chapter 7_Statement of Retained 4 KB Earnings.pdf Chapter 7_Statement of Changes in 6 KB Financial Position.pdf Bellwether Garden Supply Project, www.mhhe.com/yacht2013 Chapter 8.ptb 1,856 KB Chapter 8_Time Ticket Register.xlsx 14 KB Chapter 8_Time Ticket Register.pdf 63 KB Exercise 8-1.ptb 1,880 KB Exercise 8-2_Time and Billing Reports.xlsx 33 KB Exercise 8-2_Job Ledger.pdf 89 KB Exercise 8-2_Time Ticket Register.pdf 62 KB Exercise 8-2_Payroll Time Sheet.pdf 60 KB

Page Nos. 90 90 126 128 128 128 149 151 151 151 186 188 188 188 200-201 202 202 202 -223-225 225 225 225 225 225 225

243 244-246 246 248 249 249 249 249

Your backup sizes may differ. The Exercise 6-2.ptb backup file is used in Part 4, Chapters 16, 17, and 18. If necessary, backup to external media. Do not delete the Exercise 6-2.ptb file. 4

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

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Part 1

Read Me: Problem Backing Up to USB Drive If your students encounter difficulties backing up to a USB drive, backup to the desktop first. Then, copy the backup file from the desktop to the USB drive. Refer to Appendix A, Troubleshooting, at www.mhhe.com/yacht2013, Problem Backing Up to USB Drive; or textbook page 706; or .

The Instructor's Resource CD (ISBN 007763201X) and passwordprotected Instructor Edition Online Learning Center at http://www.mhhe.com/yacht2013 includes Sage 50 backup files (.ptb extensions, Solution Files and Sage 50 Backups link); Excel files (.xlsx extensions, Excel Report Solutions link); and exercises saved as Adobe files (.pdf extensions, End of Chapter Exercises link).

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

PART 2 SAGE 50 COMPLETE ACCOUNTING 2013 FOR SERVICE BUSINESSES In Part 2 of Computer Accounting with Sage 50 Complete Accounting 2013, 17th Edition, each student is the owner of an accounting practice. Their accounting business does the monthly record keeping for several service businesses. In Chapters 9, 10, 11, Projects 1 and 1A (Part 2), students use Sage 50 to set up four service businesses, complete the accounting cycle, and close the fiscal year. In Part 2, entries are recorded in the Receipts window (Cash Receipts Journal) and the Write Checks window (Cash Disbursements Journal). Also, adjusting entries are recorded in the General Journal. At the end of each month, students reconcile the bank statement and print the general ledger trial balance and financial statements. At the end of the fourth quarter, students use Sage 50 to complete end-of-quarter adjusting entries, print the adjusted trial balance, print financial statements, close the fiscal year, and print a post-closing trial balance. After entering checks, ATMs, and deposits, the next step is to post them to the general ledger. One of the best features of a computerized accounting system is how quickly posting is done. Once entries are recorded and checked for accuracy, posting is a click of the mouse. All entries are posted to accounts in the general ledger and account balances are calculated – fast, easy, and accurate. Think of it as a process where journalizing and posting is the first step, then ledgers and financial statements are next. The diagram below illustrates this process.

Journalize and Post

General Ledger

Financial Statements

Remember that the accuracy of your students’ general ledger and financial statement reports depends on the accuracy of entries on the Write Checks and Receipts windows. An added feature is that once .

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entries are posted, account reconciliation can be completed. Chapters 9, 10 and 11 work together. The services businesses set up in Chapter 9 are continued in Chapters 10 and 11. Part 2 ends with two comprehensive projects. The chapters in Part 2 include: Chapter 9: Chapter 10: Chapter 11: Project 1: Project 1A:

New Company Setup and Beginning Balances Maintaining Accounting Records for Service Businesses Completing Quarterly Activities and Closing the Fiscal Year Sherry Pierce, Accounting Student-Designed Service Business

Part 2 includes three chapters and two projects: Chapters 9, 10, and 11 and Projects 1 and 1A. In Chapters 9, 10, and 11, students set up two services businesses from scratch—David Walsh Designer and Crafts by Student Name. Students complete accounting tasks for the fourth quarter– October, November and December 2013. End-of-quarter adjusting entries are also completed. At the end of Chapter 9, students set up a new service business in Exercise 9-1. The service business set up in Exercise 9-1 is continued in Exercises 9-2, 10-1, 10-2, 11-1 and 11-2. In Project 1, students complete the accounting cycle for Sherry Pierce, Accounting. This project gives students an opportunity to apply what they have learned in Chapters 9, 10, and 11. Project 1A involves designing a service business from scratch. Students are instructed to select one of the sample Chart of Accounts and modify it to suit their needs. They also create source documents or write journal transactions. It is the purpose of Project 1A to give students an opportunity to create a business of their own and complete computer accounting activities for one month. This project also gives students an opportunity to review the software features they have learned to use in Part 2 of the book. In order to grade Project 1A you may want to collect the following printouts: 1. 2. 3. 4. 5. 6.

Chart of Accounts Account Reconciliation Cash Account Register General Ledger Trial Balance (unadjusted) Cash Receipts Journal Cash Disbursements Journal

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Part 2: Sage 50 Complete Accounting 2013 for Service Businesses 159 - IMK

7. 8. 9. 10. 11. 12. 13. 14. 15.

General Journal General Ledger Trial Balance (adjusted) General Ledger Balance Sheet Income Statement Statement of Retained Earnings Statement of Cash Flow Statement of Changes in Financial Position Post-closing Trial Balance

The student-designed business gives your students opportunities to problem solve. A look at an income statement could lead into a discussion about profit or loss. Did their service business generate enough revenue to cover expenses? Did they have enough cash flow? What was the difference between the beginning cash balance and the ending cash balance? The chart below and on the next two pages (textbook pages 277-278) shows the size of the backups, Excel files, and PDF files saved in Part 2– Chapters 9, 10, 11, and Project 1. The textbook shows how to back up to a USB drive. Backups can be made to the desktop, hard drive location, network location or external media. Chapter 9

Sage 50 Backup (.ptb) Excel (.xlsx) and Adobe (.pdf)

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Chapter 9 Chart of Accounts.ptb

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Chapter 9 Beginning Balances.ptb

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Chapter 9_Balance Sheet.pdf

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Chapter 9_Chart of Accounts.pdf

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Exercise 9-2_Balance Sheet.pdf

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Chapter 10 Transaction Register October.ptb

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Chapter 10 October.ptb

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Chapter 10_October Trial Balance and Financial Statements.xlsx

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Chapter 10_October Trial Balance.pdf

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Chapter 10_October Balance Sheet.pdf

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Exercise 10-2.ptb

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Chapter 11 December UTB.ptb

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Chapter 11 EOY.ptb

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Exercise 11-2_Balance Sheet.pdf

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Exercise 11-2_Income Statement.pdf

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Exercise 11-2_Statement of Retained Earnings.pdf

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Exercise 11-2 End of Year.ptb

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Project 1_Balance Sheet.pdf

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The size of your students' backup files may differ from the amounts shown on the table. This is okay. The differences are usually insignificant. The Instructor's Resource CD (ISBN 007763201X) and passwordprotected Instructor Edition Online Learning Center at http://www.mhhe.com/yacht2013 includes the Sage 50 backup files (PTB extensions) and Excel files (XLSX extensions). End-of-chapter exercises are also saved as Adobe files (PTB extensions). Part 2 shows your students how to computerize accounting records for three service businesses: 1) David Walsh Designer; 2) Crafts by Student Name; 3) Project 1, Sherry Pierce, Accounting. In Part 3, Sage 50 Accounting for Merchandising Businesses, your students learn how special journals and subsidiary ledgers are used for retail businesses.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

PART 3 SAGE 50 COMPLETE ACCOUNTING 2013 FOR MERCHANDISING BUSINESSES In Part 3 of Computer Accounting with Sage 50 Complete Accounting 2013, 17th Edition, your students learn how to do the monthly record keeping for three merchandising businesses: Nancy’s Service Merchandise, Student Name Sales and Service, and Mountain Sports. Part 3 includes four chapters and two projects: Chapter 12: Vendors & Purchases Chapter 13: Customers & Sales Chapter 14: Inventory & Services Chapter 15: Employees, Payroll and Account Reconciliation Project 2: Mountain Sports Project 2A: Student-Designed Merchandising Business You may want to review what merchandising businesses do with your students. The Online Learning Center at www.mhhe.com/yacht2013 includes Appendix D, Glossary. You may want to review the merchandising business terms with your students. For example, the Glossary defines a merchandising business as a retail store that resells goods and services. Merchandising businesses earn revenue by buying and selling goods called merchandise. In Part 1 your students were shown how the sample company, Bellwether Garden Supply, dealt with customers, vendors, payroll, and inventory. The chapters in Part 3 show these features in more detail. Chapters 12 through 15 are cumulative. This means that the businesses students set up in Chapter 12, Nancy’s Service Merchandise; and Exercise 12-1, Student Name Sales and Service, are continued in Chapters 13, 14, and 15. At the end of Part 3, your students complete Project 2, Mountain Sports, which reviews the features of SCA that apply to merchandising businesses. Then, in Project 2A, your students have an opportunity to design their own merchandising business.

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The chart shows the size of the Sage 50 backups and Excel and Adobe files saved in Part 3–Chapters 12, 13, 14, 15, and Project 2. The textbook steps show students how to back up to a USB flash drive. Students can also backup up to the desktop, hard drive location, network location, or other external media. The size of your students' files may differ from those shown. Backup (.ptb extension) Excel (.xlsx)

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The extension for Excel 2007 and 2010 files is .xlsx. If you are using Excel 2003, the extension is .xls. The Instructor's Resource CD (ISBN 007763201X) and passwordprotected Instructor Edition Online Learning Center at http://www.mhhe.com/yacht2013 includes the Sage 50 backup files (.ptb extensions), Excel files (.xlsx extensions), and the end-of-chapter exercises saved as Adobe files (.pdf extensions).

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

PART 4 ADVANCED SAGE 50 COMPLETE ACCOUNTING 2013 APPLICATIONS Part 4 includes three chapters and three projects. Chapter 16: Customizing Forms Chapter 17: Import/Export Chapter 18: Microsoft Word and Templates Project 3:

Springfield Computer Club (a nonprofit company)

Project 4:

CW Manufacturing, Inc.

Project 4A:

Student-Designed Project

Chapter 16, Customizing Forms, shows how to change the preprinted forms included with the software. Chapter 17, Import/Export, shows how to use PCA 2013 with a word processing program. Chapter 18, Microsoft Word and Templates, shows students how to copy Sage 50 reports to Microsoft Word, use Sage 50’s write letters feature, and create templates. Projects 3 and 4 complete the study of Computer Accounting with Sage 50 Complete Accounting 2013, 17th Edition. All features of the software are included for review in these projects. Project 4A gives your students an opportunity to add another month's worth of transactions to any of the projects that they have completed. The chart on the next page shows the size of the backups made in Part 4—Chapters 16, 17, 18, Project 3 and Project 4. To complete work in Chapters 16-18, the Exercise 6-2.ptb file is restored. The size of your students' files may differ from the amounts shown on the chart. Backups can be made to a USB flash drive, the hard drive, or network.

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Project 4

Sage 50 Backup (.ptb) Excel (.xlsx) and Adobe (.pdf)* Exercise 16-2.ptb Exercise 16-2_Copy of Income Stmnt.pdf Exercise 16-2_Copy of Income Stmnt.xlsx customer.csv customer.txt Exercise 17-2.ptb Exercise 17-2_Chart of Accounts_Vendor List.xlsx Exercise 17-2_Chart of Accounts.pdf Exercise 17-2_Vendor List.pdf Bellwether Garden Supply.docx Customer Letters.docx Bellwether Sales Special.doc Exercise 18-1.docx Exercise 18-2.docx Springfield Computer Club Chart of Accounts.ptb Springfield Computer Club Starting Balance Sheet.ptb Springfield Computer Club January.ptb Springfield Computer Club_CofA_ CDJ_CRJ_ GLTB_ BS_ IS_ SCF_SRE_xlsx Project 3_Chart of Accounts.pdf Project 3_General Ledger Trial Balance.pdf Project 3_Balance Sheet.pdf Project 3_Income Statement.pdf Project 3_Statement of Cash Flow.pdf Project 3_Statement of Retained Earnings.pdf CW Mftg Chart of Accounts.ptb CW Mftg Starting Balance Sheet.ptb CW Mftg Begin.ptb CW Mftg January.ptb CW Mftg_CofA_GLTB_BS_IS_SCF_ SRE.xlsx Project 4_Chart of Accounts.pdf Project 4_General Ledger Trial Balance.pdf Project 4_Balance Sheet.pdf Project 4_Income Statement.pdf Project 4_Statement of Cash Flow.pdf Project 4_Statement of Retained Earnings.pdf

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*The Instructor's Resource CD (ISBN 007763201X) and password-protected Instructor Edition Online Learning Center at http://www.mhhe.com/yacht2013 includes the Sage 50 backup files (.ptb extensions) and Excel files (.xlsx extensions). End-of-chapter exercises are also saved as Adobe files (.pdf extensions).

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

PREFACE Computer Accounting with Sage 50 [formerly Peachtree] Complete Accounting 2013, 17e, teaches your students how to use Sage 50 Complete Accounting 2013 software. For more than 37years1, Sage has produced award-winning accounting software. Over 6 million customers use Sage software products. More than 12,600 employees work for Sage (http://sage.com/ourbusiness/aboutus). The Sage family of software products, which includes Sage 50 Complete Accounting, is the leading global supplier of business management solutions and services. For more information about Sage's worldwide community, refer to textbook page xxxv. In the United States and Canada, Sage 50 is used by 3.2 million businesses. Each year, tens of thousands of customers choose accountant-recommended Sage 50 for their business needs. Why? Because Sage 50 helps users do more to support the success of their business. Industries that use Sage 50 include retail stores, healthcare, human resources/payroll, construction/real estate, transportation/distribution, payment processing, nonrofit, manufacturing, public utilities, legal, medical, and accounting firms. In Computer Accounting with Sage 50 Complete Accounting 2013, 17th Edition, students learn about the relationship between Sage 50 software and fundamental accounting principles, procedures, and business processes. Read Me: Classroom Site License To install Sage 50 Complete Accounting 2013 on multiple classroom computers, complete the Sage academic site license at www.mhhe.com/yacht2013 (refer to xii - IMK to xiii - IMK, Sage 50 Student Version and Education Version). The full Educational Version software is free to schools and does not have a time limit. To install the Educational Version, use the Serial Number emailed by Sage50US.education@sage.com. The Student Version software can be installed on one computer and is accessible for 14 months. For the Student Version serial number, register Sage 50 Complete Accounting 2013 at www.Sage50Accounting.com/student/download.

Since 1976, Peachtree Software (renamed Sage 50 in 2012) has been available.

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Preface

System Requirements: For system requirements, go online to http://na.sage.com/sage-50-accounting-us/products/complete/systemrequirements. Refer to textbook pages iv-vi. SAGE 50 STUDENT VERSION AND EDUCATIONAL VERSION Student Version Before inserting the software DVD, students go online to www.Sage50Accounting.com/student/download to register and receive a serial number. When installing the software, the Student Version serial number is entered. During installation, the Serial Number window appears. Students type the serial number provided at www.Sage50Accounting.com/student/download.

Type the “Student Version” or “Educational Version” serial number.

Educational Version To receive a free classroom site license, complete the Sage 50 Academic Site License at www.mhhe.com/yacht2013. Once the Academic Site license is received by Sage, a serial number is emailed to the school. To install the software, use the DVD included with

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the textbook and the serial number emailed by Sage50US.education@sage.com. The serial number identifies the software as the Educational Version. The two versions, Student Version for individual installation, and Educational Version for classroom installation, include the same features. The difference is the Student Version expires after 14 months. The Educational Version does not include a time limit. The serial numbers for the Student Version and Educational are also different. For classroom installation of the Educational Version, it is best to create a lab image. Refer to textbook page xviii, Computer Lab Installation. SAGE 50 COMPLETE ACCOUNTING 2013 Each textbook includes a copy of the software, Sage 50 Complete Accounting 2013. NEW The software, Sage 50 Complete Accounting 2013, is included with every textbook. For software installation, see textbook pages vi-xv or Appendix A, pages 441 - IMK to 448 - IMK, steps 1 through 20. Before installing the DVD that is included with the textbook, students go online to www.Sage50Accounting.com/student/download to register and receive the serial number used during installation. NEW The student version software can be used for 14 months and then it expires. The expiration date can be found in the Company Information section of the System Navigation Center and on the Maintain, Company Information window NEW For classroom installation, schools complete the Sage Academic Site License at www.mhhe.com/yacht2013. Sage emails the serial number to use when installing the software. NOTE TO INSTRUCTORS/SCHOOLS: Once the Academic Site license is received by Sage, a serial number is emailed to the school or instructor. To install the software, use the DVD included with the textbook and the serial number emailed by Sage50US.education@sage.com. If your school completed the Academic Site License for Peachtree 2012Educational Version, the update to Sage 50 2013 is automatic. No need to complete the license again. NEW Online Learning Center at www.mhhe.com/yacht2013. The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

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NEW Bellwether Garden Supply project includes questions and answers for analyzing the sample company data, identifying software features and functions, and reviewing correct and incorrect sample company transactions. The Online Learning Center includes the Bellwether Garden Supply project, http://www.mhhe.com/yacht2013. NEW Sage 50’s emphasis on double-entry accounting and business processes is explained throughout the textbook. Accounting skills are applied to all facets of running a business. Students create 12 companies, complete the accounting cycle, and practice computer accounting skills. NEW Narrated PowerPoint slides for Chapters 1-18 on the textbook’s Online Learning Center at http://www.mhhe.com/yacht2013. The narrated PowerPoints include chapter review, Sage 50 tips, glossary of terms, Assessment Rubrics, Analysis Questions, links to the Going to the Net exercise, and additional chapter resources included on the Online Learning Center. NEW Chapter 8, Stone Arbor Landscaping: Time and Billing. Use Sage 50's time and billing feature to record a time ticket, enter a sales invoice, and record payroll for jobs completed. NEW Chapters 1-18 include saving Sage 50 reports as Adobe Acrobat PDF files, and exporting reports to Excel. NEW Payroll tax tables for 50 states. Example payroll withholdings are included in Chapter 4, Employees; Chapter 15, Employees, Payroll, and Account Reconciliation; Exercise 15-1, Student Name Sales and Service; Project 2, Mountain Sports; and Project 4, CW Manufacturing, Inc. NEW End-of-Chapter exercises include Check Your Figures. NEW File Management includes where Sage 50 stores program and company data, including differences between Windows 7 and Vista/XP. NEW Use Sage 50's import/export feature to copy lists into another company. NEW Sage 50’s modular system design is explained and compared to other accounting information systems. NEW Workflow diagrams illustrate Sage 50's system design.

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NEW An accounting software diagram illustrates where Sage 50 fits into the range of accounting software applications. NEW Sage 50 is compared to QuickBooks and Microsoft Dynamics GP. Computer Accounting with Sage 50 Complete Accounting 2013, 17th Edition, shows your students how to set up service, merchandising, nonprofit, and manufacturing businesses. When the textbook is completed, students have a working familiarity with Sage 50 Complete Accounting 2013 software. The Part 1, 2, 3, and 4 introductions include a chart showing the chapter number, backup and Excel and Adobe file names, size in kilobytes of each file backed up or saved, and page numbers where each backup, Excel, and Adobe PDF file is completed. Refer to Appendix B-1, pages 475 - IMK to 480 - IMK to see a list of files organized by type (.ptb; .pdf; .xlsx; .doc, .csv, .txt). Some of the new and continued features included in Computer Accounting with Sage 50 Complete Accounting 2013, 17e, are:  The software, Sage 50 Complete Accounting 2013 is included with every textbook. Students can use company data for 14 months.  Students can download or install the software. For software install, use the DVD included with the textbook. For download, go online to www.Sage50Accounting.com/student/download (textbook page xxii, My PC or Laptop Does Not have a DVD Drive). Use this website to obtain a serial number for software installation.  Sage Academic Site License at www.mhhe.com/yacht2013 for installation on multiple classroom computers.  Backup and restore data from USB flash drive.  Payroll withholding tables for 50 states. Students complete exercises and projects using tax tables for different states.  Troubleshooting, How to Fix, Comments, and Troubleshooting within every chapter.  Appendixes A, B, C, and D online at www.mhhe.com/yacht2013. Appendixes A, Troubleshooting, and B, Accounting Information Systems, also within textbook.  Source document practice set at http://www.mhhe.com/yacht2013.  Bellwether Garden Supply project at http://www.mhhe.com/yacht2013.  PDF, XLSX, PTB FILES. Steps for saving files in Adobe PDF format, Excel (xlsx), and Sage 50 backups (ptb).

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Preface

 Narrated PowerPoint slides for Chapters 1-18 online at http://www.mhhe.com/yacht2013.  Assessment Rubrics, QA Templates and Analysis Questions (chapter tests), Going to the Net for Chapters 1-18 online at http://www.mhhe.com/yacht2013.  Password Protected Test Bank with multiple choice and true/false questions for each chapter online at www.mhhe.com/yacht2013, Instructor Edition.  Check Your Figures. In Chapters 1-18 and Projects 1-4, students verify their work.  No printer, no problem. Students can save files as Adobe PDF or Microsoft XPS Document Writer files.  Import lists to another company.  Online Feature Quizzes, Demonstration [flash] Videos, and Sage 50 videos.  Vendor Management and Customer Management.  Inventory & Services and Inventory/Service Management.  Sage 50’s modular system design is explained—includes how the user interface is organized into general ledger, accounts receivable, accounts payable, inventory, payroll, and job costing.  Appendix A, Troubleshooting, includes issues and workarounds.  Appendix B, Accounting Information Systems (AIS)—defines accounting information systems and compares Sage 50 to other accounting software applications.  Watch videos to review key software features at http://www.mhhe.com/yacht2013. The icon indicates there is a video.  Chapters include reminders to check the appropriate place in the data. This icon— —reminds students to check their work.  Feature quizzes at http://www.mhhe.com/yacht2013 review Sage 50’s user interface and include immediate feedback.  Interactive true/false and multiple choice quizzes are graded and can be emailed to the instructor (www.mhhe.com/yacht2013) .  In Chapters 1-18, export reports to Excel and save files in PDF format.  Part 2, Sage 50 2013 for Service Businesses, includes 3 chapters and two projects—Chapter 9, New Company Setup and Beginning Balances; Chapter 10, Maintaining Accounting Records for Service Businesses; Chapter 11, Completing Quarterly Activities and Closing the Fiscal Year; and Projects 1 and 1A.

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 Part 4, Advanced Sage 50 2013 Applications, includes 3 chapters and three projects—Chapter 16, Customizing Forms; Chapter 17, Import/Export; and Chapter 18, Microsoft Word and Templates; and Projects 3, 4, and 4A.  All instructions, screen captures, and detailed steps are consistent with Windows 7. Sage 50 2013 is compatible with Windows 7/Vista/XP.  Navigation Bar includes Business Status; Customers & Sales, Vendors & Purchases, Inventory & Services, Employees & Payroll, Banking, System.  Navigation Centers for accessing information, recording transactions, drill down to reports, setup windows, and graphs.  Enhanced Excel Integration.  Expanded purchase orders, receiving reports, sales orders, and shipping notices.  Improved customer and inventory management.  Open multiple companies.  Enhanced prior year reports. Information available for general ledger and financial statements for all closed years.  Real-time error alerts. Alerts if a transaction is saved with non-standard accounts payable or accounts receivable accounts.  Cash flow manager.  Improved time and expense tracking.  Payroll wizard.  Enhanced password security, role-based features, audit trail and internal controls.  Daily customer balances on sales and customers windows.  Custom date-range filtering and enhanced report options.  Restore Wizard lets users restore An Existing Company or A New Company.  Smart sort for account identification.  E-mail reports, financial statements, and add attachments.  Design tools for report customization.  Set up 12 new service, merchandising, nonprofit, and manufacturing businesses, including source document practice set at http://www.mhhe.com/yacht2013. What's New in Sage 50 2013? The Help menu includes the new Sage 50 2013 software features. To see that window, follow these steps:

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

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Preface

1. Start Sage 50. 2. Open the sample company, Bellwether Garden Supply. (Detailed steps for installing the software and starting Bellwether are on textbook pages vi-xv.) 3. From Bellwether Garden Supply's menu bar, select Help, What's New in Sage 50.

4. On the What's New in Sage 50? window, click to see more. Read the information on these windows to review the new software features. Click through, click

to review information. When

PART 1: EXPLORING SAGE 50 COMPLETE ACCOUNTING 2013 There are two sample companies included with the software: Bellwether Garden Supply and Stone Arbor Landscaping. Bellwether Garden Supply The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

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is a retail and service company that demonstrates Sage 50's inventory and job tracking capabilities. Stone Arbor Landscaping is a service company that demonstrates time and billing features. Each part of the textbook includes an introduction. Refer to textbook pages 1 and 2 for an overview of Part 1. Pages 2 and 3 include a chart showing chapter numbers, files backed up and saved (.ptb, .pdf, .xlsx), file sizes, and page numbers where work was completed. Part 1, Chapters 1-8, shows how to export Sage 50 reports to Excel and save PDF files. Sage 50’s system design is explained. This includes how Sage 50’s user interface is organized into general ledger, accounts receivable, accounts payable, inventory, payroll, and job costing modules. In Part 1 of the textbook, students complete eight chapters that demonstrate how Sage 50 is used. This introduces the procedures that will be used with all the chapters of the textbook. NEW Chapter 1, Introduction to Bellwether Garden Supply, includes Sage 50’s Navigation Centers and Restore Wizard for opening new or existing companies. New menu bar selections are explained. Bellwether Garden Supply is updated to March 2013. NEW Chapter 2, Vendors, shows how to view accounts payable lists and reports from the Vendors & Payables Navigation Center as well as custom date filtering and how to add columns to reports. New sections include Receive Inventory from a Purchase Order and Apply to Purchase Order. Explanation of Sage 50’s accounts payable system. Chapter 3, Customers, shows how to view customer lists and reports from the Customers & Sales Navigation Center as well as custom date filtering and how to add columns to reports. Use Sage 50 2013’s new customer management center. New sections include Sales Orders and Ship Items from a Sales Order. Explanation of Sage 50’s accounts receivable system. Chapter 4, Employees, shows how to navigate Sage 50's Employees & Payroll system.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

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Preface

Chapter 5, General Ledger, Inventory, and Internal Control, shows Sage 50’s budget feature, how selected access for security is used, internal controls, and audit trail. Explanation of Sage 50’s inventory system. Chapter 6, Job Cost, shows your students how to use Sage 50's job cost system. Chapter 7, Financial Statements, shows the result of work completed in Chapters 1-6. NEW After Chapter 7, the Bellwether Garden Supply Project can be completed. It is included online at www.mhhe.com/yacht2013. NEW In Chapter 8, Stone Arbor Landscaping: Time & Billing, your students work with a service company that demonstrates Sage 50's time and billing features. In Exercises 8-1 and 8-2, record time and billing transactions, including a time ticket that is applied to a sales invoice and payroll entry. PART 2: SAGE 50 COMPLETE ACCOUNTING 2013 FOR SERVICE BUSINESSES Chapters 9, 10, 11, Project 1, and Project 1A are included in this section of the textbook. The work completed in Chapter 9 is continued in Chapters 10 and 11. The accounting cycle is completed for the fourth quarter of the year. For an overview of Part 2, refer to textbook pages 251‐254. Pages 253‐254 includes a chart showing chapter numbers, files backed up and saved (.ptb, .pdf, .xlsx), file sizes, and page numbers where work was completed. NEW In Chapter 9, New Company Setup and Beginning Balances, students set up two service companies—David Walsh Designer and Crafts by Student Name—with Sage 50’s simplified chart of accounts. Students use Sage 50’s new Company Setup Wizard and enter beginning balances. The companies set up in Chapter 9 continue in Chapters 10 and 11. In Chapter 10, Maintaining Accounting Records for Service Businesses, students record entries for October and November in the Write Checks and Receipts windows. Students also use Sage 50’s enhanced account reconciliation feature, print reports, save in Excel format and Adobe PDF format.

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Chapter 11, Completing Quarterly Activities and Closing the Fiscal Year, shows how to complete adjusting entries, print financial statements, and close the fiscal year. NEW Exercises 9-1 through 11-2 include three months of transactions, account reconciliation, adjusting entries, financial statements, Sage 50’s closing procedure, and Check Your Figures. Sage 50 reports are saved as PDF files and exported to Excel. NEW Project 1, Sherry Pierce, Accounting, is a comprehensive project that reviews what students have learned in Chapters 9, 10, and 11. Project 1A, Student-Designed Service Business, shows how to design a service business from scratch. Students set up the business, choose a chart of accounts, create a Balance Sheet, write business transactions, complete the computer accounting cycle, and close the fiscal year. PART 3: SAGE 50 COMPLETE ACCOUNTING 2013 FOR MERCHANDISING BUSINESSES Chapters 12, 13, 14, 15, Project 2, and Project 2A are included in this section of the textbook. Students set up two merchandising businesses in Chapter 12—Nancy's Service Merchandise and Student Name Sales and Service. The work started in Chapter 12 is continued in Chapters 13, 14 and 15. For an overview of Part 3, refer to textbook pages 393‐396. Pages 394‐396 includes a chart showing chapter numbers, files backed up and saved (.ptb, .pdf, .xlsx), file sizes, and page numbers where work was completed. In Chapter 12, Vendors & Purchases, use Sage 50’s accounts payable system; record inventory purchases and payments from vendors; set up vendor defaults to automatically track purchase discounts; and use vendor credit memos for purchase returns. In Chapter 13, Customers & Sales, use Sage 50’s accounts receivable system; record cash and credit sales and receipts from customers; set up customer defaults; use credit memos for sales returns.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

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Chapter 14, Inventory & Services, shows how to use Sage 50's inventory system. NEW Chapter 15, Employees, Payroll and Account Reconciliation, shows Sage 50’s payroll system using two states, Arizona and Georgia, as an example for payroll withholdings. Set up payroll defaults, add employee information, learn about automatic payroll tax calculations, and complete payroll entries. Account reconciliation shows how Sage 50’s Accounts Payable, Accounts Receivable, Inventory, and General Ledger systems work together. Chapter 15 includes account reconciliation for both the checking and payroll accounts. Check Your Figure amounts are included for Exercises 12-1 through 15-2. NEW Project 2, Mountain Sports, is a comprehensive project that incorporates what students have learned in Chapters 12 through 15. Project 2 includes payroll withholdings for Oregon. Project 2A, Student-Designed Merchandising Business, asks students to create a merchandising business from scratch. PART 4: ADVANCED SAGE 50 COMPLETE ACCOUNTING 2013 APPLICATIONS Chapters 16, 17, 18, Project 3, Project 4, and Project 4A are included in this section of the textbook. Chapter 16, Customizing Forms, shows how to use Sage 50's design tools. Chapter 17, Import/Export, shows how to export data from Sage 50 Complete Accounting 2013 to a word processing program and how to import lists into a company. Chapter 18, Microsoft Word and Templates, students copy a Sage 50 report to Word and look at templates included with the software. For an overview of Part 4, refer to textbook pages 611‐612. Page 612 includes a chart showing chapter numbers, files backed up and saved, file sizes, and page numbers where work was completed. Chapter 16, Customizing Forms, includes design tools for report customization. In Exercises 16-1 and 16-2, forms and financial statements are customized.

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Chapter 17, Import/Export, includes how to import a chart of accounts into another company and export to a word processing program. NEW In Exercises 17-1 and 17-2 import lists from Bellwether Garden Supply into the company set up in Chapter 17. Chapter 18, Microsoft Word and Templates, includes copying reports to Word, using templates, and the write letters feature. NEW Project 3, Springfield Computer Club, is a nonprofit business. NEW Project 4, CW Manufacturing, Inc., is the culminating project in the study of Sage 50 Complete Accounting 2013. Project 4A, Student-Designed Project, instructs students to write another month's transactions for one of the four projects completed. Appendix B, Accounting Information Systems (AIS). This appendix defines an accounting information system, and compares Sage 50’s user interface and modular system design to other accounting software applications. An accounting software diagram illustrates where Sage 50 fits into the range of accounting software applications. CONVENTIONS USED IN TEXTBOOK As students work through Computer Accounting with Sage 50 Complete Accounting 2013, 17e, they should read and follow the step-by-step instructions. Numerous screen illustrations help students check their work. The following conventions are used in this textbook: 1.

Information that students type appears in boldface; for example, Type Supplies in the Account ID field.

Keys on the keyboard that should be pressed appear in angle brackets; for example, <Enter>.

When students see this icon , there is a video on the textbook website at http://www.mhhe.com/yacht2013; Student Edition link. Select the appropriate chapter, link to Videos, and then select the video.

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This icon— completed.

—reminds students to check the Sage 50 work

Unnamed buttons and picture icons are shown as they actually appear on the screen. Examples:

(Next button)

(Display icon) GLOBAL OPTIONS Follow these steps to set Sage 50’s Global Options. These options will be in effect for all Sage 50 companies. 1.

From the menu bar, select Options; Global. If necessary, select the Accounting tab. a. In the Decimal Entry area, select Manual. b. In the Number of Decimal Places area, make sure 2 is shown in the Quantity, Standard and Unit Price fields. c. In the Hide General Ledger Accounts area, make sure that there are no checkmarks in the boxes. (To uncheck the boxes, click on them.) d. In the Other Options area, a checkmark should be placed next to Warn if a record was changed but not saved; and Recalculate cash balance automatically in Receipts, Payments, and Payroll Entry. The Maintain Global Options/Accounting window is shown on the next page.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Preface

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Click the General tab. Make sure the screen matches the one shown below.

Click companies.

. The selections made in global options are set for all

The textbook ends with two appendixes: Appendix A, Troubleshooting; Appendix B, Accounting Information Systems. Appendix A and B are also online at www.mhhe.com/yacht2013.

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Preface

Appendix C, Review of Accounting Principles; and Appendix D, Glossary. are included on the textbook’s Online Learning Center at http://www.mhhe.com/yacht2013. Index: Each chapter in the textbook ends with an index. The index at the end of the textbook is an alphabetic listing of the chapter indexes. The Instructor's Manual and Key includes the following Appendixes: Appendix A: Software Installation Appendix B: How to Use the Solution Files NEW Appendix B-1: Solution File Chart Appendix C: Course Outline and Syllabus (12 weeks) Appendix D: Course Outline and Syllabus (15 weeks) Appendix E: Online Course Outline and Syllabus (6 weeks) Appendix F: Online Course Outline and Syllabus (15 weeks) Appendix G: Course Outline and Syllabus--Sage 50 and QuickBooks (15 weeks) Appendix H: Course Outline and Syllabus: AIS with Sage 50

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

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About the author: carol@carolyacht.com Carol Yacht is a textbook author and accounting educator. Carol is the author of Sage 50, Peachtree, QuickBooks, Microsoft Dynamics-GP textbooks, and accounting textbook supplements for Sage 50, Peachtree, and QuickBooks (www.mhhe.com/yacht). Carol taught on the faculties of California State UniversityLos Angeles, West Los Angeles College, Yavapai College, and Beverly Hills High School. To help students master accounting principles, procedures, and business processes, Carol includes accounting software in her classes. An early user of accounting software, Carol Yacht started teaching computerized accounting in 1980. Yacht's teaching career includes first and second year accounting courses, accounting information systems, and computer accounting. Since 1989, Yacht's textbooks have been published by McGraw-Hill. Carol contributes regularly to professional journals and is the Accounting Section Editor for Business Education Forum, a publication of the National Business Education Association. She is also the Editor of the American Accounting Association's Teaching, Learning, and Curriculum section's The Accounting Educator. Carol Yacht was an officer of AAA’s Two-Year College section and recipient of its Lifetime Achievement Award. She is an emeritus board member of the Microsoft Dynamics Academic Alliance, worked for IBM Corporation as an education instruction specialist, served on the AAA Commons Editorial Board, and NBEA’s Computer Education Task Force. Carol is an educational consultant for Sage 50, Peachtree, and Intuit’s QuickBooks. She is a frequent speaker at state, regional, and national conventions. Carol earned her MA degree from California State University-Los Angeles, BS degree from the University of New Mexico, and AS degree from Temple University.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

PROJECT 1: SHERRY PIERCE, ACCOUNTING Project 1 culminates the activities in Part 2 of the book: Sage 50 Complete Accounting 2013 for Service Businesses. In this project the students set up a sole proprietorship, service business for Sherry Pierce, Accounting. Ms. Pierce started her accounting practice on December 1, 2013, in Peoria, AZ. Ms. Pierce has two employees who are independent contractors. In Chapter 15, payroll accounting is studied in detail. It is the students' job to use SCA to set up Ms. Pierce’s business, edit the Chart of Accounts, enter Chart of Accounts beginning balances for November 1 through 30, 2013, and record the transactions for the month of December 2013. Students also complete account reconciliation, journalize and post adjusting entries, print financial statements, and close the fiscal year. Step-by-step instructions are provided for completing the Computer Accounting Cycle. Checklist of Printouts, Project 1: Sherry Pierce, Accounting Chart of Accounts Account Reconciliation Account Register General Ledger Trial Balance (unadjusted) December 31, 2013 General Journal Cash Receipts Journal Cash Disbursements Journal General Ledger Trial Balance (adjusted) General Ledger Balance Sheet Income Statement Statement of Retained Earnings Statement of Cash Flow Post-Closing Trial Balance

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224 - IMK Project 1: Sherry Pierce, Accounting

CHECK YOUR PROGRESS: PROJECT 1, SHERRY PIERCE, ACCOUNTING 1.

10.

11.

12.

What are the total debit and credit balances on your unadjusted trial balance?

$118,600.00

What are the total debit and credit balances on your adjusted trial balance?

$119,478.50

According to your account reconciliation report, what is the Ending GL Balance?

$36,998.82

What is the depreciation expense for furniture and fixtures on December 31?

$166.67

What is the depreciation expense for computer equipment on December 31?

$353.50

What is the amount of total revenues as of December 31?

$15,000.00

How much net income (or net loss) is reported on December 31?

$3,396.19

What is the account balance in the Supplies account on December 31?

$3,250.00

What is the account balance in the Accounts Payable account on December 31?

$11,200.00

What is the total liabilities and capital balance on December 31?

$106,996.19

Is there an Increase or Decrease in cash for the month of December? Were any Accounts Payable incurred during the month of December? (Circle your answer)

Increase

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Project 1 (12)

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Project 1 (15) - November 30, 2013 Balance Sheet (beginning balances)

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Project 1 (19)

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Project 1 (20)

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Project 1 (21) – Unadjusted Trial Balance

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Project 1 (24)

Project 1 (24) (continued)

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Project 1 (24) (Concluded)

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Project 1 (25) – Adjusted Trial Balance

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Project 1 (26)

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Project 1 (26) (Continued)

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Project 1 (26) (Continued)

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Project 1 (26) (Concluded)

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Project 1 (27)

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Project 1 (27) (Continued)

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Project 1 (27) (Continued)

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Project 1 (27) (Concluded)

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Project 1 (32) – Postclosing Trial Balance

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Sage 50 Backup (.ptb) Excel (.xlsx) and Adobe (.pdf)

Project Project 1

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The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

PROJECT 1A: STUDENT-DESIGNED SERVICE BUSINESS The purpose of Project 1A is for students to design their own sole proprietorship service business. In Chapters 9, 10, 11 and Project 1 (Part 2 of the book), your students learned how to complete SCA's Computer Accounting Cycle. The students select the type of service business they want, edit the business's Chart of Accounts, create source documents, and complete SCA's Computer Accounting Cycle. Project 1A also gives your students an opportunity to review the software features learned so far. Students are reminded that they have been working on sole proprietorship service businesses in Part 2 of the book. They might want to design a business similar to those. Service businesses include: accountants, beauty salons, architects, hotels, cleaning stores, doctors, artists, etc. Another suggestion is that students use their own financial records. If they have a checking account and receive a monthly bank statement, they could use these records for their source documents. Before your students begin, they will need the following: 1. Company information that includes business name, address, and telephone number. (Hint: Students should select period 12, December 1-31, so that they can close the fiscal year.) 2. One of SCA's sample companies. 3. A Chart of Accounts: 25 accounts minimum; 30 accounts maximum. 4. One month's transactions for their business. They will need a Balance Sheet for the opening entry, check register, and a bank statement for the Account Reconciliation. The check register should include a minimum of 15 transactions and a maximum of 25. Students should have at least four adjusting entries. If they don't want to use a check register and bank statement, they must create a Balance Sheet and write 15 to 25 narrative transactions.

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244 - IMK Project 1A: Student-Designed Service Business

In order to grade Project 1A you should look at the following printouts: 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14.

Chart of Accounts Account Reconciliation Report Account Register General Ledger Trial Balance (unadjusted) Cash Receipts Journal Cash Disbursements Journal December 31, 200X General Journal General Ledger Trial Balance (adjusted) General Ledger Balance Sheet Income Statement Statement of Retained Earnings Statement of Cash Flow Postclosing Trial Balance

The student-designed service business gives your students an opportunity to problem solve. A look at an income statement could lead to a discussion about profit or loss. Did their service business generate enough revenue to cover expenses? Did they have enough cash flow? What was the difference between the beginning cash balance and the ending cash balance?

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

PROJECT 2: MOUNTAIN SPORTS Project 2 culminates the activities in Part 3 of the book: Sage 50 Complete Accounting 2013 for Merchandising Businesses. In this project your students set up Mountain Sports, a merchandising business organized as a corporation. Accounts payable, accounts receivable, merchandise inventory, and payroll transactions are included in this project. CHECKLIST OF PRINTOUTS, Mountain Sports 1

General Ledger Trial Balance

Account Reconciliation – Eugene Bank

Inventory Valuation Report

Balance Sheet

Income Statement

Statement of Cash Flow

Customer Ledgers

Vendor Ledgers OPTIONAL PRINTOUTS

Chart of Accounts

December 31, 2012 Balance Sheet

General Ledger

Customer List

Vendor List

Purchase Journal

Cash Disbursements Journal

Sales Journal

Cash Receipts Journal

Payroll Journal

Cost of Goods Sold Journal

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Project 2: Mountain Sports

Student Name_________________________________Date__________ CHECK YOUR PROGRESS: PROJECT 2, MOUNTAIN SPORTS 1.

What are the total debit and credit balances on your General Ledger Trial Balance?

$141,841.26

What are the total assets on January 31?

$128,765.53

What is the balance in the Eugene Bank account on January 31?

$89,540.53

How much are total revenues as of January 31?

$13,980.00

How much net income (net loss) is reported on January 31?

$965.77

What is the balance in the Inventory-Mountain Bikes account on January 31?

$4,650.00

What is the balance in the Inventory-Road Bikes account on January 31?

$7,275.00

What is the balance in the Inventory-Children’s Bikes account on January 31?

$3,510.00

What is the balance in the Short-Term Notes Payable account on January 31?

$3,755.00

10. What is the balance in the Common Stock account on January 31?

$116,600.00

11. What are the total expenses reported on January 31?

$6,085.73

12. Were any Accounts Payable incurred during the month of January?

YES

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Solution to Project 2 (1), General Ledger Trial Balance1

Refer to the Checklist of Printouts, page 315 - IMK, for the report number.

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Project 2: Mountain Sports

Solution to Project 2 (2), Account Reconciliation—Eugene Bank

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Solution to Project 2 (3), Inventory Valuation Report

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Project 2: Mountain Sports

Solution to Project 2 (4), Balance Sheet

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Solution to Project 2 (5), Income Statement (Continued)

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Project 2: Mountain Sports

Solution to Project 2, (6), Statement of Cash Flow (Concluded)

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Solution to Project 2 (7) – Customer Ledgers

Solution to Project 2 (8) (Concluded) – Vendor Ledgers

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Project 2: Mountain Sports

OPTIONAL PRINTOUTS: Project 2 (9) - Chart of Accounts2

The Checklist of Printouts, page 293 - IMK, shows the Chart of Accounts as optional printout number 9.

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Optional Printouts: Project 2 (9), Chart of Accounts (Concluded)

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Project 2: Mountain Sports

Optional Printout: Project 2 (10) December 31, 2012 Balance Sheet

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Optional Printouts: Project 2 (11), General Ledger

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Optional Printouts: Project 2 (11), General Ledger (Continued)

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Optional Printouts: Project 2 (11), General Ledger (Continued)

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Project 2: Mountain Sports

Optional Printouts: Project 2 (11), General Ledger (Continued)

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Optional Printouts, Project 2 (11), General Ledger (Continued)

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Optional Printouts, Project 2 (11), General Ledger (Continued)

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Optional Printouts, Project 2 (11), General Ledger (Concluded)

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Project 2: Mountain Sports

Optional Printouts: Project 2 (12), Customer List

Optional Printouts: Project 2 (13), Vendor List

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Optional Printouts: Project 2 (14), Purchase Journal

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Project 2: Mountain Sports

Optional Printouts: Project 2 (15), Cash Disbursements Journal

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Optional Printouts: Project 2 (16), Sales Journal

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Project 2: Mountain Sports

Optional Printouts: Project 2 (17), Cash Receipts Journal

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Optional Printouts: Project 2 (18), Payroll Journal

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Optional Printouts: Project 2 (18), Payroll Journal (Continued)

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Optional Printouts: Project 2 (18), Payroll Journal (Concluded)

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Project 2: Mountain Sports

Optional Printouts: Project 2 (19), Cost of Goods Sold Journal

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Excel (.xlsx) and Adobe (.pdf)

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Mountain Sports Starting Balance Sheet.ptb

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Project 2_Vendor Ledgers.pdf

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Project 2_General Ledger Trial Balance.pdf

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Project 2_Account Reconciliation.pdf

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Project 2_Income Statement.pdf

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The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

PROJECT 2A: STUDENT-DESIGNED MERCHANDISING BUSINESS In Chapters 12, 13, 14, 15 and Project 2, your students learned how to complete the computer accounting cycle for merchandising businesses. Project 2A gives them a chance to design a merchandising business of their own. Your students select the type of merchandising business they want, edit their business’ Chart of Accounts, create an opening Balance Sheet and transactions, and complete SCA's computer accounting cycle. Project 2A also gives your students an opportunity to review the software features learned so far. Students should plan the type of business they want to create. In Chapters 12, 13, 14 and 15 they worked with Nancy's Service Merchandise, a partnership form of business; and Student Name Sales & Service, a sole proprietorship. In Project 2, they worked with Mountain Sports, a corporate form of business. They could design a business that is similar to those. There are many merchandising businesses included in SCA's sample companies. They are: jewelry store, automobile dealer, convenience store, furniture dealer, gift shop, hardware store, hobby shop, home appliance dealer, music store, pet store, sporting goods store, etc. The student designed merchandising business should consist of: 1. Company information: business name, address, telephone number, and form of business. 2. One of SCA's sample companies. 3. A Chart of Accounts: 80 accounts minimum, 110 accounts maximum. 4. A Balance Sheet for the opening entry in the General Journal. 5. One month's transactions. These transactions must include accounts receivable, accounts payable, inventory, and payroll. Your students should have a minimum of 25 transactions, a maximum of 35 transactions. 6. A bank statement.

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Project 2A: Student-Designed Merchandising Business

After students have created their business, they should follow the steps of SCA's computer accounting cycle to complete Project 2A. After completing the Student-Designed Merchandising Business, your students should have the following printouts. CHECKLIST OF PRINTOUTS Student-Designed Merchandising Business 1

General Ledger Trial Balance

Account Reconciliation Report

Inventory Valuation Report

Balance Sheet

Income Statement

Statement of Cash Flow

Customer Ledgers

Vendor Ledgers OPTIONAL PRINTOUTS

Chart of Accounts

General Ledger

Customer List

Vendor List

Purchase Journal

Cash Disbursements Journal

Sales Journal

Cash Receipts Journal

Payroll Journal

Cost of Goods Sold Journal

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

PROJECT 3: SPRINGFIELD COMPUTER CLUB In Project 3, your students complete the computer accounting cycle for Springfield Computer Club which is located in Springfield, Illinois. Springfield Computer Club is a computer club that is a nonprofit business organized as a corporation. Because Springfield Computer Club is a nonprofit business, there are some differences in the Chart of Accounts and some of its transactions. For example, revenues are derived from membership fees and seminars. Club members can also contribute computers to local schools. The club sponsors a trip to the International Consumer Electronics Show (ICES) trade show in Las Vegas, Nevada. The trip involves expenses for bus rental, motel rooms, meals, and entrance fees to the trade show. Since so many club members attend the Consumer Electronics Show, a special rate is offered to them. In this project your students complete the accounting cycle for the month of January 2013. Springfield Computer Club's Balance Sheet, checkbook register, and bank statement are provided as source documents. At the end of this project there is a Checklist that lists the printed reports that you may want your students to turn in. Checklist of Printouts, Project 3: Springfield Computer Club 1 Chart of Accounts 2 Account Reconciliation 3 Account Register - National Bank 4 Cash Disbursements Journal 5 Cash Receipts Journal 6 General Journal 7 General Ledger Trial Balance 8 General Ledger 9 Balance Sheet 10 Income Statement 11 Statement of Cash Flow 12 Statement of Retained Earnings

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Project 3: Springfield Computer Club

CHECK YOUR PROGRESS: PROJECT 3, Springfield Computer Club 1.

What are the total debit and credit balances on the general ledger trial balance?

$29,400.00

What is the total amount of checks outstanding?

$770.00

How much are the total expenses on January 31?

$3,419.68

How much are the total revenues on January 31?

$3,650.00

How much is the net income (net loss) on January 31?

$230.32

What is the account balance in the Membership Contributions account on January 31?

$250.00

What are the total assets on January 31?

$25,980.32

What is the ending retained earnings amount on January 31, 2013?

$25,730.32

What is the balance in the Credit Card Payable account on January 31?

$0.00

10. What is the balance in the Office Supplies Expense account on January 31?

$155.65

11. Is there an Increase or Decrease in cash for the month of January?

Decrease

12. Was any Credit Card Payable incurred during the month of January? (Circle your answer)

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Solution to Project 3 (1) - Chart of Accounts

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Project 3: Springfield Computer Club

Solution to Project 3 (2) – Account Reconciliation Report

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Solution to Project 3 (3) – Account Register

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Project 3: Springfield Computer Club

Solution to Project 3 (4) – Cash Disbursements Journal

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Solution to Project 3 (5) – Cash Receipts Journal

Solution to Project 3 (6) – General Journal

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Project 3: Springfield Computer Club

Solution to Project 3 (7) – General Ledger Trial Balance

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Solution to Project 3 (8) – General Ledger

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Solution to Project 3 (8) – General Ledger

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Solution to Project 3 (9) – Balance Sheet

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Solution to Project 3 (10) – Income Statement

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Solution to Project 3 (11) – Statement of Cash Flow

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Project 3: Springfield Computer Club

Solution to Project 3 (12) – Statement of Retained Earnings

Project Project 3

Sage 50 Backup (.ptb) Excel (.xlsx) and Adobe (.pdf) Springfield Computer Club Chart of Accounts.ptb Springfield Computer Club Starting Balance Sheet.ptb Springfield Computer Club January.ptb Springfield Computer Club_CofA_ CDJ_CRJ_ GLTB_ BS_ IS_ SCF_SRE_xlsx Project 3_Chart of Accounts.pdf Project 3_General Ledger Trial Balance.pdf Project 3_Balance Sheet.pdf Project 3_Income Statement.pdf

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PROJECT 4: CW MANUFACTURING, INC. Project 4 completes the activities in this book. All the features of the software are used. CHECKLIST OF PRINTOUTS, CW MANUFACTURING, INC. 1

Account Reconciliation Report: Penn Bank

Account Reconciliation Report: Benjamin Savings and Loan

Account Register: Penn Bank

Account Register: Benjamin Savings and Loan

General Ledger Trial Balance

General Ledger

Balance Sheet

Income Statement

Statement of Cash Flow

Statement of Retained Earnings

Customer Ledgers

Vendor Ledgers

Job Ledger

Job Profitability Report

Inventory Profitability Report

Payroll Register Optional printouts, CW Manufacturing, Inc.

Chart of Accounts

Customer List

Vendor List

Payroll Journal

Purchase Journal

Cash Disbursements Journal

Sales Journal

Cash Receipts Journal

Cost of Goods Sold Journal

General Journal

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

395 - IMK

396 - IMK

Project 4: CW Manufacturing, Inc.

CHECK YOUR PROGRESS: PROJECT 4, CW MANUFACTURING, INC. 1.

What are the total debit and credit balances on your General Ledger Trial Balance?

$288,703.16

What are the total assets on January 31?

$275,542.38

What is the balance in the Penn Bank account on January 31?

$86,022.41

What is the balance in the Benjamin Savings and Loan account on January 31?

$24,674.62

What is Suzi’s Camping Store account balance on January 31?

$2,625.00

What are the Direct Labor Costs on January 31?

$6,240.00

How many backpacks were sold during the month of January?

How many sleeping bags were sold during the month of January?

How many tents were sold during the month of January?

What is the ending retained earnings amount on January 31?

$918.51

10.

11.

What are the total expenses reported on January 31?

12.

Was any Accounts Payable incurred during the month of January? (Circle your answer)

$2,962.73

YES

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Project 4: CW Manufacturing, Inc.

397 - IMK

Solution for Project 4 (1) – Account Reconciliation – Penn Bank

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

398 - IMK

Project 4: CW Manufacturing, Inc.

Solution for Project 4 (2) – Account Reconciliation; Benjamin Savings and Loan

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Project 4: CW Manufacturing, Inc.

399 - IMK

Solution for Project 4 (3) – Account Register – Penn Bank

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

400 - IMK

Project 4: CW Manufacturing, Inc.

Solution for Project 4 (4) – Account Register – Benjamin Savings and Loan

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Project 4: CW Manufacturing, Inc.

401 - IMK

Solution for Project 4 (5) – General Ledger Trial Balance

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

402 - IMK

Project 4: CW Manufacturing, Inc.

Solution for Project 4 (6) – General Ledger

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Project 4: CW Manufacturing, Inc.

403 - IMK

Solution for Project 4 (6) – General Ledger (Continued)

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

404 - IMK

Project 4: CW Manufacturing, Inc.

Solution for Project 4 (6) – General Ledger (Continued)

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Project 4: CW Manufacturing, Inc.

405 - IMK

Solution for Project 4 (6) – General Ledger (Continued)

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

406 - IMK

Project 4: CW Manufacturing, Inc.

Solution for Project 4 (6) – General Ledger (Continued)

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Project 4: CW Manufacturing, Inc.

407 - IMK

Solution for Project 4 (6) – General Ledger (Continued)

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

408 - IMK

Project 4: CW Manufacturing, Inc.

Solution for Project 4 (6) – General Ledger (Continued)

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Project 4: CW Manufacturing, Inc.

409 - IMK

Solution for Project 4 (6) – General Ledger (Concluded)

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

410 - IMK

Project 4: CW Manufacturing, Inc.

Solution to Project 4 (7) – Balance Sheet

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Project 4: CW Manufacturing, Inc.

411 - IMK

Solution to Project 4 (8) – Income Statement

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

412 - IMK

Project 4: CW Manufacturing, Inc.

Solution for Project 4 (9) – Statement of Cash Flow

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Project 4: CW Manufacturing, Inc.

413 - IMK

Solution for Project 4 (10) – Statement of Retained Earnings

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

414 - IMK

Project 4: CW Manufacturing, Inc.

Solution for Project 4 (11) – Customer Ledgers

Solution for Project 4 (12) – Vendor Ledgers

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Project 4: CW Manufacturing, Inc.

415 - IMK

Solution for Project 4 (13) – Job Ledger

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

416 - IMK

Project 4: CW Manufacturing, Inc.

Solution for Project 4 (13) – Job Ledger (concluded)

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Project 4: CW Manufacturing, Inc.

417 - IMK

Solution for Project 4 (14) – Job Profitability Report

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

418 - IMK

Project 4: CW Manufacturing, Inc.

Solution for Project 4 (15) – Inventory Profitability Report

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Project 4: CW Manufacturing, Inc.

419 - IMK

Solution for Project 4 (16) – Payroll Register

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

420 - IMK

Project 4: CW Manufacturing, Inc.

Solution for Project 4 (16) – Payroll Register (Concluded)

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Project 4: CW Manufacturing, Inc.

421 - IMK

OPTIONAL PRINTOUTS: Solution for Project 4 (17) – Chart of Accounts

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

422 - IMK

Project 4: CW Manufacturing, Inc.

Solution for Project 4 (17) – Chart of Accounts (Concluded)

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Project 4: CW Manufacturing, Inc.

423 - IMK

Solution for Project 4 (18) – Customer List

Solution for Project 4 (19) – Vendor List

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

424 - IMK

Project 4: CW Manufacturing, Inc.

Solution for Project 4 (20) – Payroll Journal

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Project 4: CW Manufacturing, Inc.

425 - IMK

Solution for Project 4 (20) – Payroll Journal (Continued)

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

426 - IMK

Project 4: CW Manufacturing, Inc.

Solution for Project 4 (20) – Payroll Journal (Continued)

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Project 4: CW Manufacturing, Inc.

427 - IMK

Solution for Project 4 (20) – Payroll Journal (Concluded)

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

428 - IMK

Project 4: CW Manufacturing, Inc.

Solution for Project 4 (21) – Purchase Journal

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Project 4: CW Manufacturing, Inc.

429 - IMK

Solution for Project 4 (22) – Cash Disbursements Journal

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

430 - IMK

Project 4: CW Manufacturing, Inc.

Solution for Project 4 (23) – Sales Journal

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Project 4: CW Manufacturing, Inc.

431 - IMK

Solution for Project 4 (24) - Cash Receipts Journal

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

432 - IMK

Project 4: CW Manufacturing, Inc.

Solution to Project 4 (25) – Cost of Goods Sold Journal

Solution to Project 4 (26) – General Journal

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

Project 4: CW Manufacturing, Inc.

433 - IMK

The chart below shows the size of Project 4's solution files (Sage 50 backups, Excel reports and Adobe PDF exercise files).

Project Project 4

Sage 50 Backup (.ptb) Excel (.xlsx) and Adobe (.pdf) CW Mftg Chart of Accounts.ptb CW Mftg Starting Balance Sheet.ptb CW Mftg Begin.ptb CW Mftg January.ptb CW Mftg_CofA_GLTB_BS_IS_SCF_ SRE.xlsx Project 4_Chart of Accounts.pdf Project 4_General Ledger Trial Balance.pdf Project 4_Balance Sheet.pdf Project 4_Income Statement.pdf Project 4_Statement of Cash Flow.pdf Project 4_Statement of Retained Earnings.pdf

Kilobytes 933 KB 935 KB 966 KB 1,100 KB 37 KB

Page No. 681 682 692 697 697

13 KB 7 KB 6 KB 5 KB 6 KB 4 KB

697 697 697 697 697 697

The McGraw-Hill Companies, Inc., Computer Accounting with Sage 50 Complete Accounting 2013, 17e

PROJECT 4A STUDENT-DESIGNED PROJECT Your students have completed four projects: Sherry Pierce, Accounting; Mountain Sports; Springfield Computer Club; and CW Manufacturing, Inc. In each project, the students completed the Computer Accounting Cycle for one month. It is the purpose of Project 4A to have students write the next month's transactions for one of the four projects. They pick the project they want to work with and then complete the accounting cycle. Their choices are: Project 1, Sherry Pierce, Accounting, a service business; Project 2, Mountain Sports, a merchandising business; Project 3, Springfield Computer Club, a nonprofit business; or Project 4, CW Manufacturing, Inc., a manufacturing business. At the end of the month that the students create, they should complete the appropriate adjusting entries. Giving your students opportunities to problem solve is the goal of the student-designed businesses and student-designed project. Projects 1A and 2A ask the students to design a business from scratch. Project 4A asks that they expand upon businesses that were previously created. Another suggestion is to use a project from another source; for example, you could have your students use Sage 50 to complete an end-of-chapter problem from Fundamental Accounting Principles, 21e, Wild et. al, McGraw-Hill/Irwin, 2013. Or, use Sage 50 to complete a practice set or comprehensive problem from another accounting textbook.

The McGraw-Hill Companies, Inc., Computer Accounting with Sage50 Complete Accounting 2013, 17e

435 - IMK