The ledger of Quentin Company contains the following balances: Owner Capital $30,000; Owner Drawings $2,000; Service Revenue $50,000; Salaries and Wages Expense $27,000; and Supplies Expense $7,000. Prepare the closing entries at December 31.
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The ledger of Saddler Company includes the following unadjusted balances: Prepaid Insurance $3,000, Service Revenue $58,000, and Salaries and Wages Expense $25,000. Adjusting entries are required for
(a) Expired insurance $1,800; (b) Services provided $1,100, but unbilled and uncollected; and (c) Accrued salaries payable $800. Enter the unadjusted balances and adjustments into a worksheet and complete the worksheet for all accounts. Note: You will need to add the following accounts: Accounts Receivable, Salaries and Wages Payable, and Insurance Expense. The following balance sheet data for Mayer Company are shown below. a. Determine the working capital and current ratio for 2012 and 2011. b. Does the change in the current ratio form 2011 to 2012 indicate a favorable or an unfavorable trend? The ledger and trial balance of Sweet water Services Co. as of July 31, 2012, the end of the first month of its current fiscal year, are presented in the working papers. Date needed to determine the necessary adjusting entries are as follows.
a. Service revenue accrued at July 31 is $1,500. b. Supplies on hand at July 31 are $3,800. c. Insurance premiums expired during July are $1,200. d. Depreciation of the building during July is $1,400. e. Depreciation of equipment during July is $1,100. f. Unearned rent at July 31 is $900. g. Wages accrued but not paid at July 31 are $200. Instructions 1. Optional: Complete the end-of-period spreadsheet using the adjustment data shown on the previous page. 2. Journalize and post the adjusting entries, inserting balances in the accounts affected. 3. Prepare an adjusted trial balance. 4. Prepare an income statement, a retained earnings statement, and a balance sheet. 5. Journalize and post the closing entries. Indicate closed accounts by inserting a line in both Balance columns opposite the closing entry. Insert the new balance of the retained earnings account. 6. Prepare a post-closing trial balance. The unadjusted trial balance of Laundry Basket at January 31, 2012, the end of the current fiscal year, is shown below. The data needed to determine year-end adjustments are as follows: a. Wages accrued but not paid at January 31 are $900. b. Depreciation of equipment during the year is $7,000. c. Laundry supplies on hand at January 31 are $2,100. d. Insurance premiums expired during the year are $4,000. Instructions 1. For each account listed in the unadjusted trial balance, enter the balance in a T account. Identify the balance as Jan, 31 Bal.In addition, add T accounts for Wages Payable, Depreciation Expense, Laundry Supplies Expense, Insurance Expense, and Income Summary. 2. Optional: Enter the unadjusted trial balance on an end-of-period spreadsheet (work sheet) and complete the spreadsheet. Add the accounts listed in part (1) as needed. 3. Journalize and post the adjusting entries. Identify the adjustments by and the new balance as € 4. Prepare an adjusted trial balance. 5. Prepare an income statement, a retained earnings statement, and a balance sheet. 6. Journalize and post the closing entries. Identify the closing entries by Clos 7. Prepared a post-closing trial balance. DNA 4 U Company offers legal consulting advice to prison inmates. DNA 4 U Company prepared the end-of-period spreadsheet at the top of the following page at April 31, 2012, the end of the current fiscal year.
Instructions 1. Prepare an income statement for the year ended April 30. 2. Prepare a retained earnings statement for the year ended April 30. 3. Prepare a balance sheet as of April 30. 4. On the basis of the end-of-period spreadsheet, journalize the closing entries. 5. Prepare a post-closing trial balance. For the past several years, Shane Banovich has operated a part-time consulting business from his home. As of October 1, 2012, Shene decided to move to rented quarters and to operate the business as Professional Corporation which was to be known as Epic Consulting P.C., on a full-time basis. Epic Consulting entered into the following transaction during October.
Oct. 1. The following assets were received from Shane Banovich in exchange for capital stock: cash, $12,000; accounts receivable, $6,000; supplies, $1,500; and office equipment, $9,000. There were no liabilities received. 1. Paid three months rent on a lease rental contract, $4,800 2. Paid the premiums on property and casualty insurance policies, $3,000. 4. Received cash from clients as an advance payment for services to be provided and recorded it as unearned fees $4,000. 5. Purchased additional office equipment on account from Office Station Co., $2,000. 6. Received cash from clients on accounts, $3,500. 10. Paid cash for a newspaper advertisement, $400. 12. Paid Office Station Co. for part of the debt incurred on October 5, $1,000. 12. Recorded services provided on account for the period October 1-12, $6,000. 14. Paid part-time receptionist for two weeks’ salary, $1,000. Record the following transaction s on Page 2 of the journal. 17. Recorded cash from cash clients for fees earned during the period October 1-17, 7,500. 18. Paid cash for supplies, $750. 18. Paid cash for supplies, $750. 20. Recorded services provided on account for the period October 13-20, $5,200. 24. Recorded cash from cash clients for fees earned for the period October 17-24, $3,700. 26. Received cash from clients on account, $5,500. 27. Paid part-time receptionist for two weeks salary, $1,000. 29. Paid telephone bill for October, $250. 31. Paid electricity bill for October, $300. 31. Recorded cash from cash clients for fees earned for the period October 25-31, $2,800. 31. Recorded services provided on account for the remainder of October, $3,000. 31. Paid dividends of $8,000. Instructions 1. Journalize each transaction in a two-column journal starting on Page 1, referring to the following chart of accounts in selecting the accounts to be debited and credited. (Do not insert the account numbers in the journal at this time.) 11 Cash 31 Capital Stock 12 Accounts Receivable 32 Retained Earnings 14 Supplies 33 Dividends 15 Prepaid Rent 41 Fees Earned 16 Prepaid Insurance 51 Salary Expense 18 Office Equipment 52 Rent Expense 19 Accumulated Depreciation 53 Supplies Expense 21 Accounts Payable 54 Depreciation Expense 22 Salaries Payable 55 Insurance Expense 23 Unearned Fees 59 Miscellaneous Expense 2. Post the journal to a ledger of four-column accounts, 3. Prepare an unadjusted trial balance. 4. At the end of October, the following adjustment data were assembled. Analyze and use these data to complete parts (5) and (6). a. Insurance expired during October is $250. b. Supplies on hand on October 31 are $700. c. Depreciation of office equipment for October is $300. d. Accrued receptionist salary on October 31 is $250. e. Rent expired during October is $1,600. f. Unearned fees on October 31 are $1,800. 5. Optional; Enter the unadjusted trial balance on an end-of-period spreadsheet (work sheet) and complete the spreadsheet. 6. Journalize and post the adjusting entries. Record the adjusting entries on Page 3 of the journal. 7. Prepare an adjusted trial balance. 8. Prepare an income statement, a retained earnings statement, and a balance sheet. 9. Prepare and posts the closing entries (Income Summary is account #34 in the chart of accounts). Record the closing entries on Page 4 of the journal. Indicate closed accounts by inserting a line in both the Balance columns opposite the closing entry. 10. Prepare a post-closing trial balance. Beacon Company maintains and repairs warnings lights, such as those found on radio towers and lighthouses. Beacon Company prepared the end-of-period spreadsheet shown on the next page at October 31, 2012, the end of the current fiscal year. Instructions 1. Prepare an Income statement for the year ended October 31. 2. Prepare a retained earnings statement for the year ended October 31. 3. Prepare a balance sheet as of October 31. 4. Based upon the end-of-period spreadsheet, journalize the closing entries. 5. Prepare a post-closing trial balance. The balances for the accounts listed below appear in the Adjusted Trial Balance columns of the end-of-period spreadsheet. Indicate whether each account would flow into the income statement, retained earnings statements, or balance sheet.
1. Accounts Receivable 2. Capital Stock 3. Depreciation Expense-Equipment 4. Office Equipment 5. Rent Revenue 6. Supplies Expense 7. Unearned Revenue 8. Wages Payable The following accounts appear in an adjusted trial balance of Pilot Consulting. Indicate whether10/14/2015 The following accounts appear in an adjusted trial balance of Pilot Consulting. Indicate whether each account would be reported in the
(a) Current asset: (b) Property, plant, and equipment; (c) Current liability; (d) Long-term liability; or (e) Stockholders equity section of the December 31, 2011, balance sheet of Pilot Consulting. 1. Building 2. Salaries Payable 3. Notes Payable (due in 2017) 4. Prepaid Rent 5. Salaries Payable 6. Supplies 7. Taxes Payable 8. Unearned Services Fees |
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