Question

At June 30, 2017, the end of its most recent fiscal year, Blue Computer Consultants’ post-closing trial balance was as follows:

		Debit		Credit
Cash		$6,380
Accounts receivable		1,460
Supplies		840
Accounts payable				$490
Unearned service revenue				1,370
Common stock				4,400
Retained earnings				2,420
		$8,680		$8,680

The company underwent a major expansion in July. New staff was hired and more financing was obtained. Blue conducted the following transactions during July 2017, and adjusts its accounts monthly.

July	1		Purchased equipment, paying $4,400 cash and signing a 2-year note payable for $24,400. The equipment has a 4-year useful life. The note has a 6% interest rate which is payable on the first day of each following month.
	2		Issued 24,400 shares of common stock for $61,000 cash.
	3		Paid $4,200 cash for a 12-month insurance policy effective July 1.
	3		Paid the first 2 (July and August 2017) months’ rent for an annual lease of office space for $4,900 per month.
	6		Paid $4,600 for supplies.
	9		Visited client offices and agreed on the terms of a consulting project. Blue will bill the client, Connor Productions, on the 20th of each month for services performed.
	10		Collected $1,460 cash on account from Milani Brothers. This client was billed in June when Blue performed the service.
	13		Performed services for Fitzgerald Enterprises. This client paid $1,370 in advance last month. All services relating to this payment are now completed.
	14		Paid $490 cash for a utility bill. This related to June utilities that were accrued at the end of June.
	16		Met with a new client, Thunder Bay Technologies. Received $14,600 cash in advance for future services to be performed.
	18		Paid semi-monthly salaries for $13,400.
	20		Performed services worth $34,200 on account and billed customers.
	20		Received a bill for $2,700 for advertising services received during July. The amount is not due until August 15.
	23		Performed the first phase of the project for Thunder Bay Technologies. Recognized $12,200 of revenue from the cash advance received July 16.
	27		Received $18,300 cash from customers billed on July 20.

Adjustment data:

1.		Adjustment of prepaid insurance.
2.		Adjustment of prepaid rent.
3.		Supplies used, $1,550.
4.		Equipment depreciation, $600 per month.
5.		Accrual of interest on note payable.
6.		Salaries for the second half of July, $13,400, to be paid on August 1.
7.		Estimated utilities expense for July, $980 (invoice will be received in August).
8.		Income tax for July, $1,460, will be paid in August.

The chart of accounts for Blue Computer Consultants contains the following accounts: Cash, Accounts Receivable, Supplies, Prepaid Insurance. Prepaid Rent, Equipment, Accumulated Depreciation—Equipment, Accounts Payable, Notes Payable, Interest Payable, Income Taxes Payable, Salaries and Wages Payable, Unearned Service Revenue, Common Stock, Retained Earnings, Dividends, Income Summary, Service Revenue, Supplies Expense, Depreciation Expense, Insurance Expense, Salaries and Wages Expense, Advertising Expense, Income Tax Expense, Interest Expense, Rent Expense, Supplies Expense, and Utilities Expense.

**********Prepare a post-closing trial balance*******

Here is some of the info I have already thus far its a comprehensive problem so these are from the other steps

S No	Date	Account	Debit	Credit
1	Jul 1	Equipment	28800
1	Jul 1	Cash		4400
1	Jul 1	Note Payable 6%		24400
2	Jul 2	Cash	61000
2	Jul 2	Common Stock 24400 Share		61000
3	Jul 3	Prepaid Insurance	4200
3	Jul 3	Cash		4200
4	Jul 3	Prepaid Rent (4900*2)	9800
4	Jul 3	Cash		9800
5	Jul 6	Supplies	4600
5	Jul 6	Cash		4600
6	Jul 9	No Entry
6	Jul 9
7	Jul 10	Cash	1460
7	Jul 10	Accounts Receivable		1460
8	Jul 13	Unearned Service Revenue	1370
8	Jul 13	Service Revenue		1370
9	Jul 14	Accounts Payable	490
9	Jul 14	Cash		490
10	Jul 16	Cash	14600
10	Jul 16	Unearned Service Revenue		14600
11	Jul 18	Salaries Expense	13400
11	Jul 18	Cash		13400
12	Jul 20	Accounts Receivable	34200
12	Jul 20	Service Revenue		34200
13	Jul 20	Advertising Expense	2700
13	Jul 20	Accounts Payable		2700
14	Jul 23	Unearned Service Revenue	12200
14	Jul 23	Service Revenue		12200
15	Jul 27	Cash	18300
15	Jul 27	Accounts Receivable		18300
		Adjusting Entries
1	Jul 31	Insurance Expense	350			4200/12
1	Jul 31	Prepaid Insurance		350
2	Jul 31	Rent Expense	4900
2	Jul 31	Prepaid Rent		4900
3	Jul 31	Supply Expense	1500
3	Jul 31	Supplies		1500
4	Jul 31	Depreciation Expense-Equipment	600
4	Jul 31	Accumulated Depcreciation		600
5	Jul 31	Interest Expense	122			24400*6%*1 month
5	Jul 31	Interes Payable		122
6	Jul 31	Salaries Expense	13400
6	Jul 31	Salaries Payable		13400
7	Jul 31	Utilities Expense	980
7	Jul 31	Accounts Payable		980
8	Jul 31	Income Tax Expense	1460
8	Jul 31	Income Tax Payable		1460

	Unadjusted		Adjusted Entries		Adjusted-post closing
Unadjusted Trial Balance	Debit	Credit	Debit	Credit	Debit	Credit				Net Income Statement
Accounts Receivable	15900				15900
Cash	64850				64850					Service Revenue	47770
Prepaid Rent	9800			4900	4900					Less:
Equipment	28800				28800					Advertising Expense	2700
Accumulated Depreciation				600	-600					Salary Expense	26800
Prepaid Insurance	4200			350	3850					Insurance Expense	350
Supplies	5440			1500	3940					Supply Expense	1500
Note Payable 6%		24400				24400				Depreciation Expense	600
Common Stock 24400 Share		65400				65400				Rent Expense	4900
Salary Payable				13400		13400				Interest Expense	122
Interes Payable				122		122				Utility Expense	980
Income Tax Payable				1460		1460
Accounts Payable		2700		980		3680				Net Income before tax	9818
Unearned Service Revenue		2400				2400				Income Tax	1460
Advertising Expense	2700				2700					Net Income	8358
Salaries Expense	13400		13400		26800
Service Revenue		47770				47770				Balance Sheet
Insurance Expense			350		350					Common Stock 24400 Share	65400	Accounts Receivable	15900
Supply Expense			1500		1500					Retained Earning (2420+8358)	10778	Cash	64850
Depreciation Expense			600		600					Note Payable 6%	24400	Prepaid Rent	4900
Retained Earning		2420				2420				Salary Payable	13400	Equipment	28800
Interst Expense			122		122					Interes Payable	122	Accumulated Depreciation	-600
Utility Expense			980		980					Income Tax Payable	1460	Prepaid Insurance	3850
Income Tax Expense			1460		1460					Accounts Payable	3680	Supplies	3940
Rent Expense			4900		4900					Unearned Service Revenue	2400
Total	145090	145090	23312	23312	161052	161052					121640		121640

Answer 1

• All working forms part of the answer
• Question has already been solved.
• You only asked for Post Closing Trial balance
• Before preparing the Post closing Trial Balance, following CLOSING JOURNAL entries are required:

General Journal	Debit	Credit
Service Revenue	$   47,770.00
Income Summary		$   47,770.00
Income Summary	$   39,412.00
Advertising Expense		$     2,700.00
Salary Expense		$   26,800.00
Insurance Expense		$         350.00
Supply Expense		$     1,500.00
Depreciation Expense		$         600.00
Rent Expense		$     4,900.00
Interest Expense		$         122.00
Utility Expense		$         980.00
Income Tax		$     1,460.00
Income Summary	$     8,358.00
Retained earnings		$     8,358.00

• Post Closing Trial balance

	Post Closing Trail Balance
	Debit ($)	Credit ($)
Accounts Receivable	15900
Cash	64850
Prepaid Rent	4900
Equipment	28800
Accumulated Depreciation		600
Prepaid Insurance	3850
Supplies	3940
Note Payable 6%		24400
Common Stock 24400 Share		65400
Salary Payable		13400
Interes Payable		122
Income Tax Payable		1460
Accounts Payable		3680
Unearned Service Revenue		2400
Retained Earning		10778
Total	$122,240	$122,240