Question

1. Use worksheet to complete the adjusting and closing process.
2. Prepare adjusting journal entries using the following information. Adjusting entries should be recorded in your general journal and then posted to your general ledger.
   1. One month of prepaid rent has expired.
   2. Record appropriate insurance expense for the period ending May 31.
   3. Depreciation expense for the two months ending May 31 totaled $2,420 - Building $1,620, Computer Equipment $100, Kayaks $600, Paddle Boards $100.
   4. Katie worked 16 hours on May 30 and 31 for which she has not been pai
   5. A physical count show $165 of office supplies on hand at May 31.

Extra:

Prepaid $4,800 for four months’ rent on beach space.
	Paid $4,800 for a two year insurance policy that began April 1.

3. Post adjusting journal entries to the worksheet you began in Part 1.
4. Using the worksheet, prepare adjusted trial balance. Note: net income should equal $13,395.
5. Prepare closing entries in your general journal (should follow your adjusting journal entries) and then post to the general ledger.

1. Post your closing entries to the worksheet.
2. Using the worksheet, prepare post-closing trial balance. Note: The balances on your completed worksheet should agree with your general ledger balances after completing the closing process.

Chesapeake Bay Kayak Rentals	Unadjusted TB
Account Names	Debit	Credit
Cash	23,640
Accounts Receivable	4,500
Prepaid Insurance	4,800
Prepaid Rent	4,800
Office Supplies	600
Land	250,000
Building	80,000
Accumulated Depreciation-Building		-
Computer Equipment	2,800
Accumulated Depreciation-Computer Equip		-
Kayaks (Equipment)	13,700
Accumulated Depreciation-Kayaks		-
Paddle Boards (Equipment)	3,600
Accumulated Depreciation-Paddle Boards		-
Accounts Payable		250
Wages Payable		-
Notes Payable		6,600
Unearned Revenue		1,500
Common Stock		72,000
Paid in Capital in Excess of Par		290,000
Retained Earnings		-
Rental Revenue		25,430
Advertising expense	600
Depreciation expense	-
Insurance expense	-
Rent expense	1,200
Supplies expense	-
Utilities expense	370
Telephone expense	340
Wages expense	4,830
Totals	395,780	395,780

Once you have finished, upload your completed Excel file to Blackboard.

Answer 1