PROJECT 2: VALLEY BIKES
Project 2 culminates the activities in Part 3 of the book: Sage 50 2019 for
Merchandising Businesses. In this project your students set up Valley
Bikes, a merchandising business organized as a corporation. Accounts
payable, accounts receivable, merchandise inventory, and payroll
McGraw-Hill Education, Computer Accounting with Sage 50 2019, 21e
Student Name_________________________________Date__________
CHECK YOUR PROGRESS: PROJECT 2, VALLEY BIKES
1. What are the total debit and credit balances on your
General Ledger Trial Balance? $145,912.14
2. What are the total assets on January 31? $132,835.53
4. How much are total revenues as of January 31? $13,980.00
5. How much net income (net loss) is reported on
January 31? $964.89
7. What is the balance in the Inventory-Road Bikes
account on January 31? $7,275.00
8. What is the balance in the Inventory-Children’s Bikes
account on January 31? $3,510.00
10. What is the balance in the Common Stock account
on January 31? $120,600.00
11. What are the total expenses reported on January 31? $6,086.61
Project 2: Valley Bikes 329 – IMK
Solution to Project 2 (1), General Ledger Trial Balance1
1Refer to the Checklist of Printouts, page 327 – IMK, for the report number.
330 – IMK Project 2: Valley Bikes
Solution to Project 2 (2), Account Reconciliation—State Bank
Project 2: Valley Bikes 331 – IMK
Solution to Project 2 (3), Inventory Valuation Report
332 – IMK Project 2: Valley Bikes
Solution to Project 2 (4), Balance Sheet, January 31, 2019
Project 2: Valley Bikes 333 – IMK
Solution to Project 2 (5), Income Statement
334 – IMK Project 2: Valley Bikes
Solution to Project 2, (6), Statement of Cash Flow
Project 2: Valley Bikes 335 – IMK
Solution to Project 2 (7) – Customer Ledgers
Solution to Project 2 (8) – Vendor Ledgers
336 – IMK Project 2: Valley Bikes
OPTIONAL PRINTOUTS: Project 2 (9) – Chart of Accounts2
2The Checklist of Printouts, page 327 – IMK, shows the Chart of Accounts as optional
printout number 9.
Project 2: Valley Bikes 337 – IMK
Optional Printouts: Project 2 (9), Chart of Accounts (Concluded)
338 – IMK Project 2: Valley Bikes
Optional Printout: Project 2 (10) December 31, 2018 Balance Sheet
This is the starting balance sheet. Chart of Accounts beginning balances
are entered as of December 31, 2018.
Project 2: Valley Bikes 339 – IMK
Optional Printouts: Project 2 (11), General Ledger
340 – IMK Project 2: Valley Bikes
Optional Printouts: Project 2 (11), General Ledger (Continued)
Project 2: Valley Bikes 341 – IMK
Optional Printouts: Project 2 (11), General Ledger (Continued)