Question 1
The following is the Bravo Unlimited unadjusted Trial Balance.
Bravo Unlimited
Unadjusted Trial Balance
December 31, 2016
Account Title
Debit
Credit
Cash
$88,450
Accounts Receivable
231,860
Supplies
6,255
Prepaid Rent
12,000
Equipment
395,285
Accumulated Depreciation
$224,260
Accounts Payable
73,555
Wages Payable
0
Capital Stock
220,000
Retained Earnings
111,145
Service Revenue
893,105
Interest Income
1,500
Rent Expense
60,500
Wages Expense
527,260
Supplies Expense
42,520
Utilities Expense
8,595
Depreciation Expense
144,000
Interest Expense
6,840
________
Totals
$1,523,565
$1,523,565
Adjusting Items:
1. A physical inventory shows supplies on hand of $2,500 at year end.
2. The prepaid rent covers December 2016 thru March 2017 rents.
3. December depreciation on equipment is $11,500 per month.
4. At year end Wages of $12,000 were earned but unpaid.
Use this information to prepare the General Journal entry (without explanation) for the required end of the month adjustment. If no entry is required then write "No Entry Required."
Question 1
The following is the Bravo Unlimited unadjusted Trial Balance.
| Bravo Unlimited | ||
| Unadjusted Trial Balance | ||
| December 31, 2016 | ||
| Account Title | Debit | Credit |
| Cash | $88,450 | |
| Accounts Receivable | 231,860 | |
| Supplies | 6,255 | |
| Prepaid Rent | 12,000 | |
| Equipment | 395,285 | |
| Accumulated Depreciation | $224,260 | |
| Accounts Payable | 73,555 | |
| Wages Payable | 0 | |
| Capital Stock | 220,000 | |
| Retained Earnings | 111,145 | |
| Service Revenue | 893,105 | |
| Interest Income | 1,500 | |
| Rent Expense | 60,500 | |
| Wages Expense | 527,260 | |
| Supplies Expense | 42,520 | |
| Utilities Expense | 8,595 | |
| Depreciation Expense | 144,000 | |
| Interest Expense | 6,840 | ________ |
| Totals | $1,523,565 | $1,523,565 |
Adjusting Items:
1. A physical inventory shows supplies on hand of $2,500 at year end.
2. The prepaid rent covers December 2016 thru March 2017 rents.
3. December depreciation on equipment is $11,500 per month.
4. At year end Wages of $12,000 were earned but unpaid.
Use this information to prepare the General Journal entry (without explanation) for the required end of the month adjustment. If no entry is required then write "No Entry Required."
Related questions
Question 5
The following is the Bravo Unlimited adjusted Trial Balance.
| Bravo Unlimited | ||
| Adjusted Trial Balance | ||
| December 31, 2016 | ||
| Account Title | Debit | Credit |
| Cash | $88,450 | |
| Accounts Receivable | 231,860 | |
| Supplies | 17,255 | |
| Equipment | 395,285 | |
| Accumulated Depreciation | $224,260 | |
| Accounts Payable | 72,555 | |
| Capital Stock | 220,000 | |
| Retained Earnings | 111,145 | |
| Service Revenue | 893,105 | |
| Interest Income | 1,500 | |
| Dividends | 2,000 | |
| Rent Expense | 58,500 | |
| Wages Expense | 527,260 | |
| Supplies Expense | 42,520 | |
| Utilities Expense | 8,595 | |
| Depreciation Expense | 150,840 | ________ |
| Totals | $1,522,565 | $1,522,565 |
Use this information to prepare the Single-Step Income Statement for the fiscal year. There are additional lines in the formatted income statement form to allow for authorized alternate presentations.
| Bravo Unlimited | ||
| Income Statement | ||
The following is the Bravo Unlimited adjusted Trail Balance.
| Bravo Unlimited | ||
| Adjusted Trial Balance | ||
| December 31, 2016 | ||
| Account Title | Debit | Credit |
| Cash | $88,450 | |
| Accounts Receivable | 331,860 | |
| Supplies | 15,255 | |
| Prepaid Rent | 9,000 | |
| Equipment | 295,285 | |
| Accumulated Depreciation | $235,760 | |
| Accounts Payable | 73,555 | |
| Wages Payable | 12,000 | |
| Capital Stock | 220,000 | |
| Retained Earnings | 111,145 | |
| Service Revenue | 902,105 | |
| Interest Income | 1,500 | |
| Rent Expense | 63,500 | |
| Wages Expense | 539,260 | |
| Supplies Expense | 42,520 | |
| Utilities Expense | 8,595 | |
| Depreciation Expense | 155,500 | |
| Interest Expense | 6,840 | _________ |
| Totals | $1,556,065 | $1,556,065 |
Prepare the general journal entry (without explanation) needed to close the revenue(s) for the year end. Use compound entries where required. If no entry is required then write "No Entry Required."
Rowland Company is a small editorial services company owned andoperated by Marlene Rowland. On August 31, 2016, the end of thecurrent year, Rowland Companyâs accounting clerk prepared thefollowing unadjusted trial balance:
Rowland Company
UNADJUSTED TRIAL BALANCE
August 31, 2016
| ACCOUNTTITLE | DEBIT | CREDIT | |
|---|---|---|---|
1 | Cash | 7,420.00 | |
2 | Accounts Receivable | 38,360.00 | |
3 | Prepaid Insurance | 7,320.00 | |
4 | Supplies | 2,390.00 | |
5 | Land | 117,000.00 | |
6 | Building | 154,900.00 | |
7 | Accumulated Depreciation-Building | 85,745.00 | |
8 | Equipment | 130,900.00 | |
9 | Accumulated Depreciation-Equipment | 97,550.00 | |
10 | Accounts Payable | 11,735.00 | |
11 | Unearned Rent | 7,130.00 | |
12 | Common Stock | 74,895.00 | |
13 | Retained Earnings | 152,750.00 | |
14 | Dividends | 14,705.00 | |
15 | Fees Earned | 325,550.00 | |
16 | Salaries and Wages Expense | 193,870.00 | |
17 | Utilities Expense | 42,220.00 | |
18 | Advertising Expense | 22,740.00 | |
19 | Repairs Expense | 17,455.00 | |
20 | Miscellaneous Expense | 6,075.00 | |
21 | Totals | 755,355.00 | 755,355.00 |
The data needed to determine year-end adjustments are asfollows:
| a. | Unexpired insurance at August 31,$5,850. |
| b. | Supplies on hand at August 31,$310. |
| c. | Depreciation of building for theyear, $7,750. |
| d. | Depreciation of equipment for theyear, $4,220. |
| e. | Rent unearned at August 31,$1,495. |
| f. | Accrued salaries and wages atAugust 31, $3,040. |
| g. | Fees earned but unbilled on August31, $11,185. |
| Required: | |
| 1. | Journalize the adjustingentries using the following additional accounts: Salaries and WagesPayable; Rent Revenue; Insurance Expense; DepreciationExpenseâBuilding; Depreciation ExpenseâEquipment; and SuppliesExpense. Refer to the Chart of Accounts for exact wording ofaccount titles. |
| 2. | Determine the balances of the accounts affected by theadjusting entries, and prepare an adjusted trial balance. Trying to do a jounral, and ADJUSTED TRIAL BALANCE |
