Baltimore Glass Company Trial Balance December 31, 2015 Acct No. Account Title D

Question

Baltimore Glass Company
Trial Balance
December 31, 2015

Acct No.    Account Title                              Debit         Credit
101            Cash                                          88,450      
110            Accounts Receivable               195,613
120            Merchandise Inventory            256,250
125            Supplies on Hand                       3,252
130            Prepaid Insurance                       3,500
131            Prepaid Rent                               7,500
150            Equipment                               175,285
160            Accumulated Depreciation                            24,260
202            Accounts Payable                                         72,555
210            Wages Payable                                                  -
301            Capital Stock                                               220,000
302            Retained Earnings, January 1                     211,144
401            Sales                                                            998,250
405            Sales Returns and Allowances    5,145
410            Interest Income                                                1,500
500            Purchases                                 560,880
501            Purchases Discounts                                       4,080
502            Purchases Returns and Allowances                1,200
505            Freight In                                       4,580
520            Advertising Expense                      1,000
530            Sales Salaries Expense               88,600
532            Supplies Expense                             -
540            Office Salaries Expense             124,500
550            Utilities Expense                             8,594
555             Insurance Expense                           -
560            Professional Fees Expense            3,000
570            Depreciation Expense                         -
580            Interest Expense                             6,840
                                                                   1,532,989         1,532,989
Adjusting items:
1. The remaining prepaid insurance at year end is $3,000
2. A physical inventory shows supplies on hand of $2,000 at year end
3. The prepaid rent of $7,500 covers January 2016 rent
4. Depreciation on equipment is $12,000 for hte year
5. At year end sales salaries of $3,000 were earned but unpaid
6. At year end office salaries of $4,000 were earned but unpaid
7. Inventory items with a cost of $35,400 were received on the last day of the yera but no invoice was receive dyet
8. A physical count of inventory shows a value of $219,100. The preiodic inventory method is used.

Do the following requirements below. Create proper headings for each statement.

1. Record adjusting journal entires from information above. It is possible that an item may not require an entry.
     Prepare an adjusted trial balance including the adjusting entires made.

Explanation / Answer

Adjustment No. Account title Debit Credit 1 Insurance expense 500 To Prepaid insurance 500 2 Supplies Expenses 1252 To Supplies on hand 1252 3 No Entry 4 Depreciation 12000 To Accumulated depreciation 12000 5 Sales salaries 3000 To Accounts Payable 3000 6 Office Salaries 4000 To Accounts Payable 4000 7 Inventory 35400 To Accounts Payable 35400 8 No entry Baltimore Glass Company Trial Balance 31-Dec-15 Acct No. Account title Debit Credit 101 Cash 88450 110 Account Receivbale 195613 120 Merchandise inventory 291650 125 Supplies on hand 2000 130 Prepaid insurance 3000 131 Prepaid Rent 7500 150 Equipment 175285 160 Accumulated depreciation 36260 202 Accounts Payable 114955 210 Wages Payable 0 301 Capital Stock 220000 302 Retained Earning, January 1 211144 401 Sales 998250 405 Sales returns and allownces 5145 410 Interest Income 1500 500 Purchases 560880 501 Purchase discount 4080 502 Purchase Returns and allownces 1200 505 Freight In 4580 520 Advertising Expenses 1000 530 Sales Salries Expenses 91600 532 Supplies Expenses 1252 540 Office Salries 128500 550 UtilitiesExpenses 8594 555 Insurance Expenses 500 560 Professional Fees Expenses 3000 570 Depreciation expenses 12000 580 Interest Expenses 6840 Total 1587389 1587389

Related Questions

Navigate

• Browse (All)
• Browse B
• Subjects

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