Case Problem -
On April 1, 2017, Lynn Garcia began her business, Lynn's Music Studio. In the first month of business, Lynn set up the music studio, provided guitar and piano lessons, and recorded month-end activity. In May, the second month of business, Lynn started purchasing and selling inventory items of guitars, keyboards, music stands, and sheet music. In April and May, Lynn was recording the financial activities using a manual accounting system. On June 1, 2017, Lynn decides to switch her accounting method to QuickBooks. Lynn has organized the information about the company but has hired you to convert the accounting records to QuickBooks.
1. Use the following information to create the company file and record the information for the company using the Detailed Start method and the EasyStep Interview window. Where no specific information is given, accept the EasyStep Interview window default setting.
Company Name: CH6 [Your Name] Lynn's Music Studio
Tax ID: 45-6123789
Address: 228 Pearl Street Scranton, PA 18501
Country: U.S.
Phone: 570-555-0400
Fax: 570-555-0500
E-mail: LYNN@emcp.net
Industry: General Product-based Business
Company: Sole Proprietorship
Fiscal Year Start: January
Password: (none)
Save As: CH6 [Your Name] Lynn's Music Studio
Sell: Both services and products
Sales Tax: Yes
Estimates: No
Tracking Customer
Orders: No
Statements: No
Invoices: Yes
Progress Invoicing: No
Bills You Owe: Yes
Tracking Inventory: Yes
Tracking Time: No
Employees: No
Start Tracking: 06/01/2017
Remove the check mark from the following accounts:
- Shipping and Delivery Income
- Freight and Shipping Costs
- Merchant Account Fees
- Product Samples Expense
- Purchases - Resale Items
- Advertising and Promotion
- Automobile Expense
- Bank Service Charges
- Computer and Internet Expenses
- Dues and Subscriptions
- Meals and Entertainment
- Postage and Delivery
- Professional Fees
- Repairs and Maintenance
- Travel Expense
- Ask My Accountant
Place a check mark to the left of the following account: Sales Discounts.