Question

The trial balance of Sam Landscaping at 30 June 2019 is as follows:

****URGENT***** Sam Landscaping Trial Balance As at 30 June 2019
Account	Debit ($)	Credit ($)
Cash	46,000
Accounts Receivable	48,000
Prepaid insurance	4,800
Landscaping Supplies	12,000
Equipment	25,000
Accumulated Depreciation - Equipment		4,800
Accounts Payable		35,000
Unearned Service Revenue		6,000
Sam L., Capital		50,500
Drawings	3,000
Service Revenue		58,000
Salaries Expense	13,000
Miscellaneous Expense	2,500
Total	$ 154,300	$ 154,300

Additional information for the period:
a. The insurance was purchased on 1 May 2019, and it covers a period of 24 months.
b. A physical count reveals $4,000 of landscaping supplies are on hand at the end of 30 June
c. Equipment is depreciated at a rate of 20% each year
d. $1,600 unearned service revenue was earned
e. Accrued salaries are $3,600

Required:
Prepare relevant adjusting entries. Ignore narrations.

Answer 1

	Account Titles	Debit	Credit
a	Insurance Expense	$            400
	Prepaid Insurance		$               400
b	Landscaping Supplies Expense	$         8,000
	Landscaping Supplies		$           8,000
c	Depreciation Expense	$         5,000
	Accumulated Depreciation		$           5,000
d	Unearned Service Revenue	$         1,600
	Service Revenue		$           1,600
e	Salaries Expense	$         3,600
	Salaries Payable		$           3,600