Question

In: Accounting

Using the partial Unadjusted Trial Balance at yearend June 30, 2020 below prepare the annual adjusting...

Using the partial Unadjusted Trial Balance at yearend June 30, 2020 below prepare the annual adjusting journal entries in proper general journal form for the below transactions and answer additional questions. Please record all your answers in the journal entry table provided.

Account Title   Dr. $   Cr. $
Prepaid Insurance   24,000.00     
Notes Receivable    5,500.00     
Shop Supplies   2,700.00     
Delivery Vehicle   40,000.00     
Accumulated Depreciation - Delivery Vehicle      0.00
Unearned Service Revenue      10,000.00
Notes Payable        5,000.00

a) January 1, 2020 a new delivery vehicle was purchased for $40,000. The delivery vehicle has an estimated salvage value of $4,000 and has a estimated useful life of 5 years. Record the depreciation.

b) Accrued revenues at year end totalled $4,200.

c) Employees are paid bi-weekly on Fridays. The total biweekly wage expense for all employees is $10,000. The last pay day was Friday, June 26, 2020 for work to the end of June 26, 2020. Employees do not work weekends.
d)The Notes Payable represents a loan received on April 1, 2020. Interest is accrued at 3% per year. Both the interest and principal are payable on March 31, 2020.

e) At year end it was determined that $1,000 of the Shop Supplies had been used. What is the adjusted ending balance in the Shop Supplies account at year end. Please state whether it will be a debit or credit balance.

Solutions

Expert Solution

Adjusting entries
S.no. Accounts title and explanations Debit $ Credit $
a. Depreciation expense (36000*6/60) 3600
   Accumulated dep-Vehicle 3600
(for depreciation charged)
b. Accounts receivable 4200
     Service revenue 4200
(for revenue earned nt received)
c. Salaries and wages expense (10000*2/10) 2000
     Salaries and wages payable 2000
(for salaries accrued)
d. Interest expense (5000*3%*3/12) 37.5
     Interest payable 37.5
(for interest accrued)
e. Shop supplies expenses 1000
    Shop Supplies 1000
(for supplies used)
Adjusting Ending balance of Shop Supplies account (2700-1000): 1700 debit

ekkarill92 answered 1 year ago
Next > < Previous

Related Solutions

Prepare Journal Entries for January Activities Prepare Unadjusted Trial Balance Prepare Adjusting Entries Prepare Unadjusted Trial...
Prepare Journal Entries for January Activities Prepare Unadjusted Trial Balance Prepare Adjusting Entries Prepare Unadjusted Trial Balance Prepare Balance Sheet Prepare Income Statement Preare Statement of Cash Flows Prepare Statement of Stockholders Equity Prepare Analysis of Results The Wholesale Company began operations on January 1, 2019. During the month of January 2019, the following transactions occurred: Owners invest $50,000 cash in the corporation in exchange for 5,000 shares of common stock. Equipment is purchased for $20,000 cash. On the first...
Sandox Retail has the following unadjusted trial balance as at 30 June 2020 in the table:...
Sandox Retail has the following unadjusted trial balance as at 30 June 2020 in the table: Debit ($) Credit ($) Cash 8,524 Accounts Receivable 7,000 Supplies 15,000 Prepaid Insurance 300 Insurance Expense 600 Equipment 27,000 Accumulated Depreciation 12,000 Other Assets 5,100 Wages Payable 1,500 Accounts Payable 7,500 Income Tax Payable 3,150 Share Capital (3000 shares outstanding all year) 16,000 Retained Profit 10,300 Sales Revenue 95,000 COGS 32,900 Wages Expense 18,000 Supplies Expense 25,680 Income Tax Expense 5,346 Total 145,450 145,450...
Brighton Ltd has unadjusted trial balance as follows on 30 June 2020. Debit Credit Cash at...
Brighton Ltd has unadjusted trial balance as follows on 30 June 2020. Debit Credit Cash at bank 20,820 Accounts receivable 6,800 Prepaid insurance 5,200 Office supplies 1,200 Motor vehicles 108,000 Accumulated depreciation – Motor vehicles 45,000 Equipment 2,850 Accumulated depreciation – Equipment 1,120 Accounts payable 7,900 Bank loan 42,100 Unearned rental revenue 1,150 Capital 45,600 Drawings 13,100 Rental revenue 55,200 Salaries expense 24,200 Repairs and maintenance expense 4,100 Office supplies expense 9,900 Electricity expense 1,900 Totals 198,070 198,070 Additional information:...
Account Unadjusted trial balance(debit) Unadjusted trial balance(credit Adjusting entries(debit) adjusting entries(credit) adjusted trial balance(debit) Adjusted trial...
Account Unadjusted trial balance(debit) Unadjusted trial balance(credit Adjusting entries(debit) adjusting entries(credit) adjusted trial balance(debit) Adjusted trial balance(credit) Cash 32,236.75 32,236.75 baking supplies 18,500 18,500 merchandise inventory(fifo) 175.65 175.65 prepaid rent 1500 1500 prepaid insurance 2400 2400 baking equipment 6000 6000 accumulated depreciation 208.33 208.33 office supplies 600 600 accounts receivable 7700 7700 notes payable 10,000 10,000 wages payable 480 480 common stock 16,000 16,000 dividends 10,000 10,000 bakery sales 55,000 55,000 merchandise sales 221 221 baking supplies expense rent expense...
prepare unadjusted trial balance, adjusted trial balance Accounts Receivable: April 30 1,300 Balance, April 30 1,300...
prepare unadjusted trial balance, adjusted trial balance Accounts Receivable: April 30 1,300 Balance, April 30 1,300 Lawn and Garden Supplies: April 2 6,000 April 24 500 Lawn and Garden Supplies Expense 4,650 Balance, April 30 850 Office Supplies: April 6 500 Office Supplies Expense 350 Balance, April 30 150 Prepaid Rent: April 1 4,000 Rent Expense 1,000 Balance, April 30 3,000 Prepaid Insurance: April 8 1,600 Insurance Expense 400 Balance, April 30 1,200 Security Deposit: Rent April 1 1,500 Balance,...
The unadjusted trial balance of Epicenter Laundry at June 30, 2016, the end of the fiscal...
The unadjusted trial balance of Epicenter Laundry at June 30, 2016, the end of the fiscal year, follows: Epicenter Laundry UNADJUSTED TRIAL BALANCE June 30, 2016 ACCOUNT TITLE DEBIT CREDIT 1 Cash 11,000.00 2 Laundry Supplies 21,500.00 3 Prepaid Insurance 9,600.00 4 Laundry Equipment 232,600.00 5 Accumulated Depreciation 125,400.00 6 Accounts Payable 11,800.00 7 Sophie Perez, Capital 105,600.00 8 Sophie Perez, Drawing 10,000.00 9 Laundry Revenue 232,200.00 10 Wages Expense 125,200.00 11 Rent Expense 40,000.00 12 Utilities Expense 19,700.00 13...
The unadjusted trial balance of Epicenter Laundry at June 30, 2019, the end of the fiscal...
The unadjusted trial balance of Epicenter Laundry at June 30, 2019, the end of the fiscal year, follows: Epicenter Laundry UNADJUSTED TRIAL BALANCE June 30, 2019 ACCOUNT TITLE DEBIT CREDIT 1 Cash 11,000.00 2 Laundry Supplies 21,500.00 3 Prepaid Insurance 9,600.00 4 Laundry Equipment 232,600.00 5 Accumulated Depreciation 125,400.00 6 Accounts Payable 11,800.00 7 Sophie Perez, Capital 105,600.00 8 Sophie Perez, Drawing 10,000.00 9 Laundry Revenue 232,200.00 10 Wages Expense 125,200.00 11 Rent Expense 40,000.00 12 Utilities Expense 19,700.00 13...
The unadjusted trial balance of Epicenter Laundry at June 30, 2016, the end of the fiscal...
The unadjusted trial balance of Epicenter Laundry at June 30, 2016, the end of the fiscal year, follows: Epicenter Laundry UNADJUSTED TRIAL BALANCE June 30, 2016 ACCOUNT TITLE DEBIT CREDIT 1 Cash 11,000.00 2 Laundry Supplies 21,500.00 3 Prepaid Insurance 9,600.00 4 Laundry Equipment 232,600.00 5 Accumulated Depreciation 125,400.00 6 Accounts Payable 11,800.00 7 Wages Payable 8 Common Stock 40,000.00 9 Retained Earnings 65,600.00 10 Dividends 10,000.00 11 Income Summary 12 Laundry Revenue 232,200.00 13 Wages Expense 125,200.00 14 Rent...
The unadjusted trial balance of Epicenter Laundry at June 30, 2019, the end of the fiscal...
The unadjusted trial balance of Epicenter Laundry at June 30, 2019, the end of the fiscal year, follows: Epicenter Laundry UNADJUSTED TRIAL BALANCE June 30, 2019 ACCOUNT TITLE DEBIT CREDIT 1 Cash 11,000.00 2 Laundry Supplies 21,500.00 3 Prepaid Insurance 9,600.00 4 Laundry Equipment 232,600.00 5 Accumulated Depreciation 125,400.00 6 Accounts Payable 11,800.00 7 Sophie Perez, Capital 105,600.00 8 Sophie Perez, Drawing 10,000.00 9 Laundry Revenue 232,200.00 10 Wages Expense 125,200.00 11 Rent Expense 40,000.00 12 Utilities Expense 19,700.00 13...
E3–14 Prepare an adjusted trial balance for Toronto Mobile Pet Grooming as at June 30, 2020....
E3–14 Prepare an adjusted trial balance for Toronto Mobile Pet Grooming as at June 30, 2020. Assume that all accounts have their normal balances. List expenses in alphabetical order. Accounts payable.............................................................. $ 4,000 Accumulated amortization—truck................................. 7,000 Amortization expense—truck.......................................... 1,000 Cash..................................................................................... 2,400 Truck................................................................................... 40,000 Insurance expense............................................................. 200 Les Birman, capital............................................................ 17,000 Les Birman, withdrawals................................................. 8,000 Prepaid insurance............................................................. 1,800 Salaries expense................................................................. 16,000 Salaries payable................................................................. 2,000 Service revenue.................................................................. 44,000 Grooming supplies............................................................ 4,000 Supplies expense................................................................ 2,000 Unearned service revenue................................................ 1,400
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT