1. On the âAJEâ worksheet, prepare the adjusting journal entriesin good form for the following items. Identify each entry by letterin Column B. Round all answers to the nearest dollar. You may omitexplanations. Leave a blank row between each journal entry. All theaccounts you need are given on the worksheet. Use only theseaccounts. Prepare journal entries and financial statements for theyear ended December 31, 2017. No adjusting entries have been madesince December 31, 2016. Do not use "Cash" account only onebalance sheet account and one income statementaccount.
d. Store supplies totaling $14,800 were purchased during theyear and were immediately expensed. A physical count of the storesupplies on hand December 31, 2017, indicates a balance of$2,100.
The entry im asking you to make IS the adjustingentry.
This is the only other information i have!
Grizzlies,Inc. Worksheet For the Year Ended December31, 2017 Unadjusted Adjusted Trial Balance Adjustments Trial Balance Income Stmt Balance Sheet Account Title Dr. Cr. Dr. Cr. Dr. Cr. Dr. Cr. Dr. Cr. Cash 36,000 Accounts Receivable 277,000 Inventory 242,500 Prepaid Insurance 11,200 Prepaid Rent 3,000 Store Supplies - Shop Supplies 7,500 Store Equipment 120,000 Accumulated Depreciation - StoreEquipment 13,200 Office Equipment 32,000 Accumulated Depreciation - OfficeEquipment 2,550 Accounts Payable 49,000 Salaries Payable Interest Payable Utilities Payable Unearned Consulting Revenue 14,000 Unearned Rent Revenue 16,800 Note Payable 18,000 Common Stock 300,000 Retained Earnings 189,350 Dividends 12,800 Sales Revenue 1,576,150 Consulting Revenue Rent Revenue Interest Revenue Cost of Goods Sold 975,000 Sales Salaries Expense 275,000 Office Salaries Expense 150,000 Miscellaneous Administrative Expense 5,650 Miscellaneous Selling Expense 13,900 Depreciation Expense - StoreEquipment Depreciation Expense - OfficeEquipment Store Supplies Expense 17,500 Shop Supplies Expense Rent Expense Insurance Expense Interest Expense Utilities Expense-Store Utilities Expense-Office 2,179,050 2,179,050
1. On the âAJEâ worksheet, prepare the adjusting journal entriesin good form for the following items. Identify each entry by letterin Column B. Round all answers to the nearest dollar. You may omitexplanations. Leave a blank row between each journal entry. All theaccounts you need are given on the worksheet. Use only theseaccounts. Prepare journal entries and financial statements for theyear ended December 31, 2017. No adjusting entries have been madesince December 31, 2016. Do not use "Cash" account only onebalance sheet account and one income statementaccount.
d. Store supplies totaling $14,800 were purchased during theyear and were immediately expensed. A physical count of the storesupplies on hand December 31, 2017, indicates a balance of$2,100.
The entry im asking you to make IS the adjustingentry.
This is the only other information i have!
| Grizzlies,Inc. | ||||||||||||
| Worksheet | ||||||||||||
| For the Year Ended December31, 2017 | ||||||||||||
| Unadjusted | Adjusted | |||||||||||
| Trial Balance | Adjustments | Trial Balance | Income Stmt | Balance Sheet | ||||||||
| Account Title | Dr. | Cr. | Dr. | Cr. | Dr. | Cr. | Dr. | Cr. | Dr. | Cr. | ||
| Cash | 36,000 | |||||||||||
| Accounts Receivable | 277,000 | |||||||||||
| Inventory | 242,500 | |||||||||||
| Prepaid Insurance | 11,200 | |||||||||||
| Prepaid Rent | 3,000 | |||||||||||
| Store Supplies | - | |||||||||||
| Shop Supplies | 7,500 | |||||||||||
| Store Equipment | 120,000 | |||||||||||
| Accumulated Depreciation - StoreEquipment | 13,200 | |||||||||||
| Office Equipment | 32,000 | |||||||||||
| Accumulated Depreciation - OfficeEquipment | 2,550 | |||||||||||
| Accounts Payable | 49,000 | |||||||||||
| Salaries Payable | ||||||||||||
| Interest Payable | ||||||||||||
| Utilities Payable | ||||||||||||
| Unearned Consulting Revenue | 14,000 | |||||||||||
| Unearned Rent Revenue | 16,800 | |||||||||||
| Note Payable | 18,000 | |||||||||||
| Common Stock | 300,000 | |||||||||||
| Retained Earnings | 189,350 | |||||||||||
| Dividends | 12,800 | |||||||||||
| Sales Revenue | 1,576,150 | |||||||||||
| Consulting Revenue | ||||||||||||
| Rent Revenue | ||||||||||||
| Interest Revenue | ||||||||||||
| Cost of Goods Sold | 975,000 | |||||||||||
| Sales Salaries Expense | 275,000 | |||||||||||
| Office Salaries Expense | 150,000 | |||||||||||
| Miscellaneous Administrative Expense | 5,650 | |||||||||||
| Miscellaneous Selling Expense | 13,900 | |||||||||||
| Depreciation Expense - StoreEquipment | ||||||||||||
| Depreciation Expense - OfficeEquipment | ||||||||||||
| Store Supplies Expense | 17,500 | |||||||||||
| Shop Supplies Expense | ||||||||||||
| Rent Expense | ||||||||||||
| Insurance Expense | ||||||||||||
| Interest Expense | ||||||||||||
| Utilities Expense-Store | ||||||||||||
| Utilities Expense-Office | ||||||||||||
| 2,179,050 | 2,179,050 | |||||||||||
Related questions
Computers R Us Inc. began their business in January 1, 2015 and recently lost their accountant. Thankfully, they have been able to hire a fine accounting/finance student from University. They have provided you with the unadjusted trial balance for Computers R Us Inc. as of 12/31/17. The previous accountant recorded all original entries involving cash, etc. during the year. However, at year-end the previous accountant would make all necessary adjusting/reclassification journal entries so that the principles of US GAAP were followed. Your task will be to create and record all necessary adjusting, correcting, and reclassification entries so that 2017 financial statements in accordance with US GAAP can be issued. The below information was discovered by reviewing contracts, agreements, correspondence and discussions with management.
1. On the âAdjusting Journal Entriesâ worksheet, prepare in journal entry form all adjusting and correcting journal entries based on the following information. All information was provided to you as of 12/31/2017. (Round all numbers to the nearest dollar).
a. Unadjusted cash balance is Debit $218,000. Computers R Us does banking at three different financial institutions. The details are as follows:
| Bank Name | Balance |
| Capital Bank | $ 85,000 |
| Capital Bank | $ (12,000) |
| 1st Sony Bank | $ 170,000 |
| Sunny Bank | $ (25,000) |
What is the adjusting journal entry for this?
| a. | Depreciation onthe company's equipment for 2011 is computed to be $12,000. |
| b. | The Prepaid Insurance account had a $5,000 debit balance atDecember 31, 2011, before adjusting for the costs of any expiredcoverage. An analysis of the companyâs insurance policies showedthat $1,970 of unexpired insurance coverage remains. |
| c. | The Office Supplies account had a $520 debit balance on December31, 2010; and $2,680 of office supplies were purchased during theyear. The December 31, 2011, physical count showed $614 of suppliesavailable. |
| d. | One-third of thework related to $15,000 of cash received in advance was performedthis period. |
| e. | The Prepaid Insurance account had a $5,700 debit balance atDecember 31, 2011, before adjusting for the costs of any expiredcoverage. An analysis of insurance policies showed that $3,730 ofcoverage had expired. |
| f. | Wage expenses of$2,000 have been incurred but are not paid as of December 31,2011. |
Prepare adjusting journal entries for the year ended (date of)December 31, 2011, for each of the above separate situations.Assume that prepaid expenses are initially recorded in assetaccounts. Also assume that fees collected in advance of work areinitially recorded as liabilities.
