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Below is the unadjusted trial balance for Walton Anvils as of December 31, 2016,

ID: 2610987 • Letter: B

Question

Below is the unadjusted trial balance for Walton Anvils as of December 31, 2016, and the data for the adjustments. There is also an Excel Template for this problem that you may download and use (or you may use your own).

$    69,200.00

$    69,200.00

Adjustment Data

Requirements

Open T-accounts using the balances in the unadjusted trial balance.

Complete the worksheet for the year ended December 31, 2016.

Prepare the adjusting entries and post to the T-accounts.

Prepare the adjusted trial balance.

Prepare the income statement, the statement of retained earnings, and the classified balance sheet in report form.

Prepare the closing entries and post to the T-accounts.

Prepare a post-closing trial balance.

Calculate the current ratio for the company.

Walton Anvils Unadjusted Trial Balance December 31, 2016 Balance Account Title Debt Credit Cash $    16,900.00 Accounts Receivable               17,500 Prepaid Rent                 2,500 Office Supplies                 1,900 Equipment               23,000 Accumulated Depreciation - Equipment $       7,000.00 Accounts Payable           6,200.00 Salaries Payable Unearned Revenue           5,600.00 Common Stock         28,000.00 Retained Earnings           1,600.00 Dividends                 4,500 Service Revenue         20,800.00 Salaries Expense               2,900 Rent Expense Depreciation Expense - Equipment Supplies Expense Total

$    69,200.00

$    69,200.00

Explanation / Answer

As per policy, only four parts of a question is allowed to answer, so answering 1 - 4 :

1) Adjusting journal entries:

2) T-Accounts :

3) Adjusted Trial Balance :

4) Income Statement :

Date Accounts Titles debit $ credit $ Dec 31 16 (a) Unearned reve 3800 Service revenue 3800 b Rent expense 200 Prepaid Rent 200 c Off Supplies Expense 1400 Off. Supplies 1400 d Depreciation Exp 380 Acc Dep - Eq. 380 e salary expense 210 Salary payable 210
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