P4-38B Completing the accounting cycle from adjusting entries to post- closing t
ID: 2539249 • Letter: P
Question
P4-38B Completing the accounting cycle from adjusting entries to post- closing trial balance with an optional worksheet Learning Objectives 1, 2, 3 4, 5.6 The anadusted trial balance of Watson Anvils at December 31, 2018, and the data for the adjustments follow 5. Net Incorme $17,380 WATSON ANVILS Unadjusted Trial Balance December 31, 2018 Account Title Cash Accounts Receivable Prepaid Rent Office Supplies Equiment Accumulated Depreciation-Equipment Accounts Payable Salaries Payable Unearned Revenue Common Stock Retained Earnings Debit Credit 13,560 17,000 2,140 2,800 30,000 11,000 7,200 5,600 12,000 17,600 4,600 19,000 Service Revenue Salaries Expense Rent Expense 2,300 Depreciation Expense-Equipment Supplies Expense Total 72,400 72,400 Adjustment data: a. Unearned Revenue still unearned at December 31, $3,.600. b. Prepaid Rent still in force at December 31, $2,000. c. Office Supplies used, $600. d. Depreciation, $400. e. Accrued Salaries Expense at December 31, $180Explanation / Answer
Post Closing Trial Balance is as prepared below:
Watson Anvils Worksheet For the Year ended Dec 31, 2018 Unadjusted Trial Balance Adjustments Adjusted Trial Balance Account Title Dr. Cr. Dr. Cr. Dr. Cr. Cash 13,560 13,560 Account Receivable 17,000 17,000 Prepaid Rent 2,140 140 2,000 Office Supplies 2,800 600 2,200 Equipment 30,000 30,000 Accumulated dep 11,000 400 11,400 Accounts Payable 7,200 7,200 Salaries payable 180 180 Unearned Revenue 5,600 2,000 3,600 Common Stock 12,000 12,000 Retained Earnings 17,600 17,600 Dividends 4,600 4,600 Service Revenue 19,000 2,000 21,000 Salaries Expense 2,300 180 2,480 Rent Expense 140 140 Depreciation 400 400 Supplies Expense 600 600 Totals 72,400 72,400 3,320 3,320 72,980 72,980Related Questions
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