With the following information, prepare an adjusted trial balanced. (list accoun

Question

With the following information, prepare an adjusted trial balanced. (list accounts in proper order) A/R $2,896 - Unearned Rent $2,500 - Cash 10,253 - A/P $1,548 - Accumulated Depreciation $2,200 - Supplies $562 - Loan $15,000 - Interested Expense $200 - Prepaid Expenses $1,500 - Drawing $5,000 - Fees Earned $8,962 - Rent Expense $980 - Misc, Expenses $1,745 - Equipment 16,800 - Depreciation Expense $1,745 - Equipment 16,800 - Depreciation Expense $200 - Utility Expense $300 - Capital $10,226 Smith Company purchased a new truck: a. Identify the total cost of the truck: b. Calculate the monthly depreciation. The truck has a useful life of 8 years: Truck $23,500 Delivery $600 Payroll Expense $2.S60 Sales Tax $2,500 Advertising Expense $563 Find the missing amounts: With the statements below, prepare closing entries.

Explanation / Answer

1)

2)

Cost of the truck = $23500 + $600 (delivery expense) = $24100

Depreciation per month = $24100 / (8*12) = $251

3)

4)

Account Debit($) Credit($) Cash 10253 A/R 2896 Supplies 562 Prepaid expense 1500 Equipment 16800 Accumulated depreciation 2200 A/P 1548 Unearned rent 2500 Loan 15000 Capital 10226 Drawings 5000 Fees Earned 8962 Rent expense 980 Utility expense 300 Depreciation 200 Misc. Expense 1745 Total 40236 40436

Related Questions

Navigate

• Browse (All)
• Browse W
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.