preparation of final accounts using Microsoft excel

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CHAPTER 10
Preparation of the trial balance on Microsoft excel
Steps
Select cell A43, right click and hold the mouse down and swipe sideways to the
right up to F43
Select dropdown merge and centre then select merge across
Then type B. White
Select cell A44, right click and hold the mouse down and swipe sideways to the
right up to F4
Select dropdown merge and centre then select merge across
Then type Trial Balance as at 31 July 20X2
Select cell E46 and type Dr and press ctrl + U to underline
Select cell F46 and type Cr and press ctrl + U to underline
Select cell E47 and press shift key + 4 which had a $ sign
pressing shift is to upper case, $ sign will be selected select aligh centre
Select cell F47 and press shift key + 4 which had a $ sign
Repeat the process as above to insert dollar sign on F47

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Select A48 then type bank
Select E47 while there write an equal sign then select cell C8, Bank balance will
be copied to trial balance.
Select F49 while there write an equal sign then select cell F14, Capital account
balance will be copied to trial balance.
Select E50 while there write an equal sign then select cell C20, Capital account
balance will be copied to trial balance.
Do the same with the remaining acounts
Balancing off the trial balance on Microsoft excel
Select cell E55
Write an equal sign and the word sum, open blacket then select cell E48 right
click the mouse keep holding it down and swipe the mouse down to cell E54,
close blacket.
Hit enter
Totals will be displayed in cell E55

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To copy the fomula from cell E55 to F55 select the plus sign under cell E55
Select the plus sign while holding down the right click of the mouse drag to cell
F55 then release the mouse.
The formula will be copied to cell F55

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CHAPTER 11
FINAL ACCOUNTS ON MICROSOFT EXCEL
To prepare final accounts, first we need the trial balance with the required
information as previously discussed.

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The principles are the same
Here I will just discuss how you can utilise microsoft excel powerful formulae.
Follow the layout as before
Select cell B6
Select home then borders
Select dropdown under borders
Select bottom border
Select cell B7
Under cell B7 enter this formula =SUM(B4:B6)
Hit enter

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Select cell D5
Select home then borders
Select dropdown under borders
Select bottom border
Select D6 and enter this formula =D4-D5
Hit enter
Select cell B8
Select home then borders
Select dropdown under borders
Select bottom border
Select B9 and enter this formula =B7-B8
Hit enter
Select B12 and enter this formula =D6-B11
Hit enter
Select cell B13 and enter this formula =SUM(B11:B12)
Hit enter
Select cell B13
Select home then borders
Select dropdown under borders
Select Top and Double Bottom Border
Select D13 and enter this formula =D6
Hit enter
Select cell D13
Select home then borders
Select dropdown under borders
Select Top and Double Bottom Border
Select D14 and enter this formula =B12
Hit enter
Select cell D15
Select home then borders
Select dropdown under borders
Select Bottom Border
Select D16 and enter this formula =D14+D15
Hit enter

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For Net Profit
Select B20 and enter this formula =D16-SUM(B15:B19)
Hit enter
For final totals
Select cell B21 and enter this formula =SUM(B15:B20)
Hit enter
Select cell B21
Select home then borders
Select dropdown under borders
Select Top and Double Bottom Border
Select cell D21 and enter this formula =D16
Hit enter
Select cell D21
Select home then borders
Select dropdown under borders
Select Top and Double Bottom Border

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Preparation of Balance sheet (statement of financial position) using
microsoft excel
The Procedure is the same as previously discussed
Here I will just focus on how you can insert formulae
Select cell C6
Select home then borders
Select dropdown under borders
Select Bottom Border
Select cell C7 and enter this formula =SUM(C5:C6)
Hit enter
Select cell B12
Select home then borders
Select dropdown under borders
Select Bottom Border
Select cell C13 and enter this formula =SUM(B9:B12)
Hit enter
Select cell C14 and enter this formula =SUM(C7:C13)
Hit enter
Select cell C14
Select home then borders
Select dropdown under borders
Select Top and Double Bottom Border

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Select cell E6
Enter equal sign and go to sheet where there is trading account in our case,
sheet 4
Select cell where there is net profit amount, select and hit enter, net profit
amount will be copied to cell E6 and the formula will look like this =Sheet4!B20
Select cell E6
Select home then borders
Select dropdown under borders
Select Bottom Border
Select cell E8
Select home then borders
Select dropdown under borders
Select Bottom Border
Select cell E9 and enter this formula =E7-E8
Hit enter
Select cell E14 and enter this formula =E9+E11
Hit enter
Select cell E14
Select home then borders
Select dropdown under borders
Select Top and Double Bottom Border

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Assignment

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Following the procedure discussed in previous pages, prepare Balance sheet of
L. Smart using the format provided above, insert appropriate formulae and
format, using microsoft excel.
Using the information provided in the trial balance above, prepare final
accounts of B. Strong using Microsoft excel in vertical format.

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ABOUT THE AUTHOR
Davie Kaliu was born and raised in Malawi, a country
in the southern part of Africa.
He is married to Lucina and together they have three
children, two boys; Tony and Davie Jr, and a girl
Evalister. He also looks after three high school
children.
He studied accounting and spent early years of his
carrier as a high school accounting teacher.
When he is not writing books, he is writing poetry or
growing vegetables
He has plans to write computer and fiction books.
More books coming your way, get ready.
+265 881123815
kaliudavie2018@gmail.com
dkaliu@yahoo.com
Also by the same author
 Double entry book keeping using T accounts.
 Revenue and Expenditure.
 Drawings.
 Balancing off the accounts.
 Balancing off the accounts using Microsoft excel
 Final accounts of a sole trader.
 Preparation of final accounts using Microsoft excel
 Depreciation of fixed assets.
 Bad debts and Provision for bad debts.
 The cashbook.
 Preparation of cashbook using Microsoft excel.
 The petty cashbook.
 Preparation of Petty cashbook using Microsoft excel.
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