Question

1.Record the adjusting entries in the general journal (transactions 1-3).

2.Record the closing entries in the general journal (transactions 4-7).

3.Post the adjusting entries and the closing entries to the general ledger accounts. Hint: Be sure to enter beginning balances.

4.Prepare a post-closing trial balance.

Complete the worksheet.

At Home Pet Grooming Service Worksheet Month Ended December 31, 2019 Trial Balance Adjustments Adjusted Trail Balance Income Statement Balance Sheet Account Name Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit Cash $30,450 $30,450 $30,450 Accounts receivable 4,650 4,650 4,650 Supplies 2,800 1,300 1,500 1,500 Prepaid advertising 2,400 1,100 1,300 1,300 Equipment 19,400 19,400 19,400 Accumulated depreciation—Equipment 420 420 420 Accounts payable 4,400 4,400 4,400 Shara Johns, Capital 29,500 29,500 53,880 Shara Johns, Drawing 1,400 1,400 1,400 Fees income 32,040 32,040 32,040 Salaries expense 4,200 4,200 4,200 Utilities expense 640 640 640 Supplies expense 1,300 1,300 1,300 Advertising expense 1,100 1,100 1,100 Depreciation expense—Equipment 420 420 420 Totals $65,940 $65,940 $2,820 $2,820 $66,360 $66,360 $7,660 $32,040 $58,700 $58,700 Net income $7,660 $32,040 $58,700 $58,700

Answer 1

1. In the books of At Home Pet Grooming Service:

Adjusting entries:

	General Journal	Debit	Credit
December 31, 2019		$	$
1.	Supplies Expense	1,300
	Supplies		1,300
2.	Advertising Expense	1,100
	Prepaid Advertising		1,100
3.	Depreciation Expense- Equipment	420
	Accumulated Depreciation - Equipment		420

2. Closing Entries:

	General Journal	Debit	Credit
December 31, 2019		$	$
1.	Fees Income	32,040
	Income Summary		32,040
	To close the revenue accounts
2.	Income Summary	7,660
	Salaries Expense		4,200
	Utilities Expense		640
	Supplies Expense		1,300
	Advertising Expense		1,100
	Depreciation Expense: Equipment		420
	To close the expense accounts
3.	Income Summary	24,380
	Shara Johns, Capital		24,380
	To close income summary
4.	Shara Johns, Capital	1,400
	Shara Johns, Drawing		1,400

4. At Home Pet Grooming Service:

Post Closing Trial Balance

December 31, 2019

Account Titles	Debit	Credit
	$	$
Cash	30,450
Accounts Receivable	4,650
Supplies	1,500
Prepaid Advertising	1,300
Equipment	19,400
Accumulated Depreciation : Equipment		420
Accounts Payable		4,400
Shara Johns Capital		52,480
Totals	57,300	57,300