Question

In: Accounting

The Crane Hotel opened for business on May 1, 2022. Here is its trial balance before...

The Crane Hotel opened for business on May 1, 2022. Here is its trial balance before adjustment on May 31.

CRANE HOTEL
Trial Balance
May 31, 2022

Debit

Credit

Cash

 $ 2,403

Supplies

 2,600

Prepaid Insurance

 1,800

Land

 14,903

Buildings

 70,000

Equipment

 16,800

Accounts Payable

 $ 4,603

Unearned Rent Revenue

 3,300

Mortgage Payable

 36,000

Common Stock

 59,903

Rent Revenue

 9,000

Salaries and Wages Expense

 3,000

Utilities Expense

 800

Advertising Expense

500

$112,806

$112,806


Other data:

1. Insurance expires at the rate of $450 per month.
2. A count of supplies shows $1,160 of unused supplies on May 31.
3. (a) Annual depreciation is $3,480 on the building.
(b) Annual depreciation is $2,880 on equipment.
4. The mortgage interest rate is 6%. (The mortgage was taken out on May 1.)
5. Unearned rent of $2,580 has been earned.
6.

Salaries of $760 are accrued and unpaid at May 31.

Prepare a ledger using T-accounts. Enter the trial balance amounts and post the adjusting entries. (Post entries in the order of journal entries presented in the previous question.)

Solutions

Expert Solution

Ledgers using T-Accounts - Entering trial balance amounts and posting adjusting entries.

T-Accounts
Cash Supplies
Beg. Bal. $2,403 Beg. Bal. $2,600 May. 31 $1,440
May. 31 $1,160
Prepaid Insurance Land
Beg. Bal. $1,800 May. 31 $450 Beg. Bal. $14,903
Buildings Equipment
Beg. Bal. $70,000 Beg. Bal. $16,800
Accounts Payable Unearned Rent Revenue
Beg. Bal. $4,603 May. 31 $2,580 Beg. Bal. $3,300
Mortgage Payable Common Stock
Beg. Bal. $36,000 Beg. Bal. $59,903
Rent Revenue Salaries and Wages Expense
May. 31 $9,000 May. 31 $3,000
May. 31 $2,580 May. 31 $760
Utilities Expense Advertising Expense
May. 31 $800 May. 31 $500
Insurance Expense Supplies Expense
May. 31 $450 May. 31 $1,440
Accumulated Depreciation - Building Accumulated Depreciation - Equipment
May. 31 $3,480 May. 31 $2,880
Depreciation Expense - Building Depreciation Expense - Equipment
May. 31 $3,480 May. 31 $2,880
Interest Payable Interest Expense
May. 31 $180 May. 31 $180
Salaries and Wages Payable
May. 31 $760
* $2,600 - $1,160 = $1,440.
** $36,000*6/100*1/12 = $180

ekkarill92 answered 3 years ago
Next > < Previous

Related Solutions

The Ivanhoe Hotel opened for business on May 1, 2022. Here is its trial balance before...
The Ivanhoe Hotel opened for business on May 1, 2022. Here is its trial balance before adjustment on May 31. IVANHOE HOTEL Trial Balance May 31, 2022 Debit Credit Cash $ 2,613 Supplies 2,600 Prepaid Insurance 1,800 Land 15,113 Buildings 70,000 Equipment 16,800 Accounts Payable $ 4,813 Unearned Rent Revenue 3,300 Mortgage Payable 36,000 Common Stock 60,113 Rent Revenue 9,000 Salaries and Wages Expense 3,000 Utilities Expense 800 Advertising Expense 500 $113,226 $113,226 Other data: 1. Insurance expires at the...
The Ivanhoe Hotel opened for business on May 1, 2022. Here is its trial balance before...
The Ivanhoe Hotel opened for business on May 1, 2022. Here is its trial balance before adjustment on May 31. IVANHOE HOTEL Trial Balance May 31, 2022 Debit Credit Cash $ 2,613 Supplies 2,600 Prepaid Insurance 1,800 Land 15,113 Buildings 70,000 Equipment 16,800 Accounts Payable $ 4,813 Unearned Rent Revenue 3,300 Mortgage Payable 36,000 Common Stock 60,113 Rent Revenue 9,000 Salaries and Wages Expense 3,000 Utilities Expense 800 Advertising Expense 500 $113,226 $113,226 Other data: 1. Insurance expires at the...
The Sandhill Hotel opened for business on May 1, 2022. Here is its trial balance before...
The Sandhill Hotel opened for business on May 1, 2022. Here is its trial balance before adjustment on May 31. SANDHILL HOTEL Trial Balance May 31, 2022 Debit Credit Cash $ 2,523 Supplies 2,600 Prepaid Insurance 1,800 Land 15,023 Buildings 72,400 Equipment 16,800 Accounts Payable $ 4,723 Unearned Rent Revenue 3,300 Mortgage Payable 38,400 Common Stock 60,023 Rent Revenue 9,000 Salaries and Wages Expense 3,000 Utilities Expense 800 Advertising Expense 500 $115,446 $115,446 Other data: 1. Insurance expires at the...
The Ivanhoe Hotel opened for business on May 1, 2022. Here is its trial balance before...
The Ivanhoe Hotel opened for business on May 1, 2022. Here is its trial balance before adjustment on May 31. IVANHOE HOTEL Trial Balance May 31, 2022 Debit Credit Cash $ 2,613 Supplies 2,600 Prepaid Insurance 1,800 Land 15,113 Buildings 70,000 Equipment 16,800 Accounts Payable $ 4,813 Unearned Rent Revenue 3,300 Mortgage Payable 36,000 Common Stock 60,113 Rent Revenue 9,000 Salaries and Wages Expense 3,000 Utilities Expense 800 Advertising Expense 500 $113,226 $113,226 Other data: 1. Insurance expires at the...
The Moto Hotel opened for business on May 1, 2017. Here is its trial balance before...
The Moto Hotel opened for business on May 1, 2017. Here is its trial balance before adjustment on May 31. MOTO HOTEL Trial Balance May 31, 2017 Debit Credit Cash $ 2,463 Supplies 2,600 Prepaid Insurance 1,800 Land 14,963 Buildings 71,200 Equipment 16,800 Accounts Payable $ 4,663 Unearned Rent Revenue 3,300 Mortgage Payable 37,200 Common Stock 59,963 Rent Revenue 9,000 Salaries and Wages Expense 3,000 Utilities Expense 800 Advertising Expense 500 $114,126 $114,126 Other data: 1. Insurance expires at the...
The Moto Hotel opened for business on May 1, 2017. Here is its trial balance before...
The Moto Hotel opened for business on May 1, 2017. Here is its trial balance before adjustment on May 31. MOTO HOTEL Trial Balance May 31, 2017 Debit Credit Cash $ 2,333 Supplies 2,600 Prepaid Insurance 1,800 Land 14,833 Buildings 67,600 Equipment 16,800 Accounts Payable $ 4,533 Unearned Rent Revenue 3,300 Mortgage Payable 33,600 Common Stock 59,833 Rent Revenue 9,000 Salaries and Wages Expense 3,000 Utilities Expense 800 Advertising Expense 500 $110,266 $110,266 Other data: 1. Insurance expires at the...
Mac’s Motel opened for business on May 1, 2017. Its trial balance before adjustment on May...
Mac’s Motel opened for business on May 1, 2017. Its trial balance before adjustment on May 31 is as follows. MAC’S MOTEL Trial Balance May 31, 2017 Account Number Debit Credit 101 Cash $ 3,500 126 Supplies 2,080 130 Prepaid Insurance 2,400 140 Land 12,000 141 Buildings 60,000 149 Equipment 15,000 201 Accounts Payable $ 4,800 208 Unearned Rent Revenue 3,300 275 Mortgage Payable 40,000 301 Owner’s Capital 41,380 429 Rent Revenue 10,300 610 Advertising Expense 600 726 Salaries and...
The Skysong, Inc. opened for business on May 1, 2020. Its trial balance before adjustment on...
The Skysong, Inc. opened for business on May 1, 2020. Its trial balance before adjustment on May 31 is as follows. Skysong, Inc. Trial Balance May 31, 2020 Account Number Debit Credit 101 Cash $ 3,400 126 Supplies 2,050 130 Prepaid Insurance 3,000 140 Land 14,000 141 Buildings 59,400 149 Equipment 14,900 201 Accounts Payable $ 11,900 208 Unearned Rent Revenue 3,100 275 Mortgage Payable 40,000 311 Common Stock 35,800 429 Rent Revenue 10,750 610 Advertising Expense 650 726 Salaries...
QUESTIONS: (c) Prepare an adjusted trial balance on May 31. Based on: The Moto Hotel opened...
QUESTIONS: (c) Prepare an adjusted trial balance on May 31. Based on: The Moto Hotel opened for business on May 1, 2017. Here is its trial balance before adjustment on May 31. MOTO HOTEL Trial Balance May 31, 2017 Debit Credit Cash $  2,333 Supplies 2,600 Prepaid Insurance 1,800 Land 14,833 Buildings 71,200 Equipment 16,800 Accounts Payable $  4,533 Unearned Rent Revenue 3,300 Mortgage Payable 37,200 Common Stock 59,833 Rent Revenue 9,000 Salaries and Wages Expense 3,000 Utilities Expense 800 Advertising Expense...
Pina Resort opened for business on June 1 with eight air-conditioned units. Its trial balance on...
Pina Resort opened for business on June 1 with eight air-conditioned units. Its trial balance on August 31 is as follows. PINA RESORT TRIAL BALANCE AUGUST 31, 2017 Debit Credit Cash $26,800 Prepaid Insurance 11,700 Supplies 9,800 Land 28,000 Buildings 128,000 Equipment 24,000 Accounts Payable $11,700 Unearned Rent Revenue 11,800 Mortgage Payable 68,000 Common Stock 106,200 Retained Earnings 9,000 Dividends 5,000 Rent Revenue 84,200 Salaries and Wages Expense 44,800 Utilities Expenses 9,200 Maintenance and Repairs Expense 3,600 Totals $290,900 $290,900...
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT