Question

Rowland Company is a small editorial services company owned andoperated by Marlene Rowland. On August 31, 2016, the end of thecurrent year, Rowland Company’s accounting clerk prepared thefollowing unadjusted trial balance:

Rowland Company

UNADJUSTED TRIAL BALANCE

August 31, 2016

	ACCOUNTTITLE	DEBIT	CREDIT
1	Cash	7,500.00
2	Accounts Receivable	38,400.00
3	Prepaid Insurance	7,200.00
4	Supplies	1,980.00
5	Land	112,500.00
6	Building	150,250.00
7	Accumulated Depreciation-Building		87,550.00
8	Equipment	135,300.00
9	Accumulated Depreciation-Equipment		97,950.00
10	Accounts Payable		12,150.00
11	Unearned Rent		6,750.00
12	Common Stock		75,000.00
13	Retained Earnings		146,000.00
14	Dividends	15,000.00
15	Fees Earned		324,600.00
16	Salaries and Wages Expense	193,370.00
17	Utilities Expense	42,375.00
18	Advertising Expense	22,800.00
19	Repairs Expense	17,250.00
20	Miscellaneous Expense	6,075.00
21	Totals	750,000.00	750,000.00

The data needed to determine year-end adjustments are asfollows:

a.	Unexpired insurance at August 31,$6,000.
b.	Supplies on hand at August 31,$480.
c.	Depreciation of building for theyear, $7,500.
d.	Depreciation of equipment for theyear, $4,150.
e.	Rent unearned at August 31,$1,550.
f.	Accrued salaries and wages atAugust 31, $3,200.
g.	Fees earned but unbilled on August31, $11,330.

	Required:
1.	Journalize the adjustingentries using the following additional accounts: Salaries and WagesPayable; Rent Revenue; Insurance Expense; DepreciationExpense—Building; Depreciation Expense—Equipment; and SuppliesExpense. Refer to the Chart of Accounts for exact wording ofaccount titles.
2.	Determine the balances of theaccounts affected by the adjusting entries, and prepare an adjustedtrial balance.

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Journal