Question

Selected worksheet data for jane Freeman Company presented below:
	Trial Balance		Adjusted Trial Balance
	Dr	Cr	Dr	Cr
Account Receivable	?		34000
Prepaid Insurance	26000		18000
Supplies	7000		?
Accumulated Depreciation		12000		?
Salaries payable		?		5000
Service Revenue		88000		95000
Insurance Expenses			?
Depreciation Expenses			10000
Supplies Expenses			4000
Salaries Expenses	?		49000
Instructions:
A)Fill in the missing amounts
	Trial Balance		Adjusted Trial balance
	Dr	Cr	Dr	Cr
Account Receivable	?		34000
Prepaid Insurance	26000		18000
Supplies	7000		?
Accumulated Depreciation		12000		?
Salaries Payable		?		5000
Service Revenue		88000		95000
Insurance Expenses			?
Depreciation expenses			10000
Supplies Expenses			4000
Salaries expenses	?		49000
B) prepare the adjusting entries that were made
Accounts Receivable	?
Service Revenue			?
Insurance Expenses	?
Prepaid Insurance			?
Depreciation Expenses	?
Accumulated depreciation			?
Salaries Expenses	?
salaries payable			?
Supplies Expenses	?
Supplies			?

Answer 1

A)

		TRIAL BALANCE		ADJUSTED TRIAL BALANCE
Account Receivable		27000		34000
Prepaid Insurance		26000		18000
Supplies		7000		7000-4000supplies expense=3000
Accumulated Depreciation			12000		22000   [12000+10000]
Salaries Payable			0		5000
Service Revenue			88000		95000
Insurance Expenses				8000    [26000prepaid insurance-18000 ]
Depreciation expenses				10000
Supplies Expenses				4000
salaries expense		44000   [49000-5000payable]		49000

**service revenue increase by 95000 -88000 = 7000

accounts receivable unadjusted : 34000-7000=27000

B)

Date	Account title	Debit	credit
a	Accounts receivable	7000
	service revenue		7000
b	Insurance expense	8000
	prepaid insurance		8000
c	Depreciation expense	10000
	Accumulated depreciation		10000
d	salaries expense	5000
	salaries payable		5000
e	supplies expense	4000
	supplies		4000