Question

Prepare a worksheet that contains the following columns: Trial Balance, Adjustments, Adjusted Trial Balance, Income Statement and Balance Sheet.

From the following transactions as well as add't data, please complete the entire accounting cycle for Parker's Plowing (using the chart of accounts below) for 2018.

Jan. 1 Parker invested $10,000 cash and $12,000 worth of snow equipment into the plowing company.

Jan. 1 Paid rent for six months in advance for garage space, $6000

Jan. 6 Purchased snow supplies for $800 casj/

Jan. 8 Collected $14,000 from plowing local shopping centers.

Jan. 12 Parker muroney withdrew $4000 from the business for his own personal use.

Jan. 20 Plowed Alton Co. parking lots, payment not to be received until May, $1, 500.

Jan. 26 Paid salaries to employees, $1900.

Jan. 28 Paid Lumen Corp. one-half amount owed for office equipment

Jan. 29 Advertising bill received from Washington Co. but will not be paid until May, $700

Jan. 30 Paid telephone bill, $130

Adjustent Data

a. Snow supplies on hand, $700

b. Rent expired, $1000

c. Depreciation on office equipent, $210: (12,600/5 yr = $2,520/12 mo. = $210).

d. Depreciation on snow equipment, $200: ($12,000/5 yr = $2,400/12 mo. = $200).

e. Accrued salaries, $380

Chart of accounts

Assets

111 Cash

112 Accounts Receivable

114 Prepaid Rent

115 Snow Supplies

121 Office Equipment

122 Accumulated Depreciation, Office Equipment

123 Snow Equipment

124 Accumulated Depreciation, Snow Equipment

Liabilities

211 Accounts Payable

212 Salaries Payable

Owners Equity

311 Parker Muroney, Capital

312 Parker Muroney, Withdrawls

313 Income Summary

Revenue

411 Plowing Fees

Expenses

511 Salary Expense

512 Advertising Expense

513 Telephone Expense

514 Rent Expense

515 Snow Supplies Expense

516 Depreciation Expense, Office Equipment

517 Depreciation Expense, Snow Equipment

General Journal
	Date		Accounts Titles and Descriptions					Dr.	Cr.
	2018 Jan	1	Cash					10000
			Snow Equipment					12000
			Parker Muroney, Capital						22000
			Investent
		1	Prepaid Rent					6000
			Cash						6000
			Rent Paid in Advance-6 months
		4	Office Equipment					12600				12600
			Accounts Payable						12600
			Purchased Equipment on Account
		6	Snow Supplies					800
			Cash						800
			Supplies purchased for cash
		8	Cash					14000
			Plowing Fees						14000
		12	Parker Muroney, Withdrawls					4000
			Cash						4000
			Personal use
		20	Accounts Receivable					1500
			Plowing Fees						1500
			Services Rendered on Account
		26	Salary Expense					1900
			Cash						1900
			Paid Salaries
		28	Cash						6000
			Accounts Payable					6000
			Payment on Account
		29	Advertising Expenses					700
			Accounts Payable						700
		30	Telephone Expense					130
			Cash						130
			Totals					69630	69630

Answer 1

Accounts Title	Trial Balance		Adjustments		Adjusted Trial balance		Income Statement		Balance Sheet
	Debit	Credit	Debit	Credit	Debit	Credit	Debit	Credit	Debit	Credit
111 Cash	$    4,870.00				$    4,870.00				$    4,870.00
112 Accounts Receivable	$    1,500.00				$    1,500.00				$    1,500.00
114 Prepaid Rent	$    6,000.00			$ 1,000.00	$    5,000.00				$    5,000.00
115 Snow Supplies	$        800.00			$     100.00	$        700.00				$        700.00
121 Office Equipment	$ 12,600.00				$ 12,600.00				$ 12,600.00
122 Accumulated Depreciation, Office Equipment				$     210.00		$        210.00				$        210.00
123 Snow Equipment	$ 12,000.00				$ 12,000.00				$ 12,000.00
124 Accumulated Depreciation, Snow Equipment				$     200.00		$        200.00				$        200.00
211 Accounts Payable		$    7,000.00				$    7,000.00				$    7,000.00
212 Salaries Payable				$     380.00		$        380.00				$        380.00
311 Parker Muroney, Capital		$ 22,000.00				$ 22,000.00				$ 22,000.00
312 Parker Muroney, Withdrawls	$    4,000.00				$    4,000.00				$    4,000.00
313 Income Summary							$ 10,880.00			$ 10,880.00
411 Plowing Fees		$ 15,500.00				$ 15,500.00		$ 15,500.00
511 Salary Expense	$    1,900.00		$         380.00		$    2,280.00		$    2,280.00
512 Advertising Expense	$        700.00				$        700.00		$        700.00
513 Telephone Expense	$        130.00				$        130.00		$        130.00
514 Rent Expense			$      1,000.00		$    1,000.00		$    1,000.00
515 Snow Supplies Expense			$         100.00		$        100.00		$        100.00
516 Depreciation Expense, Office Equipment			$         210.00		$        210.00		$        210.00
517 Depreciation Expense, Snow Equipment			$         200.00		$        200.00		$        200.00
	$ 44,500.00	$ 44,500.00			$ 45,290.00	$ 45,290.00	$ 15,500.00	$ 15,500.00	$ 40,670.00	$ 40,670.00