Reliable Repairs & Service, an electronics repair store,prepared the following unadjusted trial balance at the end of itsfirst year of operations:
Reliable Repairs & Service
UNADJUSTED TRIAL BALANCE
April 30, 2016
ACCOUNTTITLE DEBIT CREDIT 1
Cash
10,800.00
2
Accounts Receivable
67,270.00
3
Supplies
16,390.00
4
Equipment
115,170.00
5
Accounts Payable
15,830.00
6
Unearned Fees
17,930.00
7
Karin Bickle, Capital
117,930.00
8
Karin Bickle, Drawing
13,860.00
9
Fees Earned
297,710.00
10
Wages Expense
94,430.00
11
Rent Expense
71,780.00
12
Utilities Expense
52,100.00
13
Miscellaneous Expense
7,600.00
14
Totals
449,400.00
449,400.00
For preparing the adjusting entries, the following data wereassembled:
a. Fees earned but unbilled on April30 were $9,950. b. Supplies on hand on April 30 were$4,810. c. Depreciation of equipment wasestimated to be $6,130 for the year. d. The balance in unearned feesrepresented the April 1 receipt in advance for services to beprovided. During April, $15,250 of the services were provided. e. Unpaid Wages accrued on April 30were $5,100.
Required: 1. Journalize the adjustingentries necessary on April 30, 2016. Refer to the Chart of Accountsfor exact wording of account titles. 2. Determine the revenues,expenses, and net income of Reliable Service & Repairs beforethe adjusting entries. 3. Determine the revenues,expenses, and net income of Reliable Service & Repairs afterthe adjusting entries. 4. Determine the effect of the adjusting entries on KarinBickle, Capital.
Can you explain in detail on how you Determine the revenues,expenses, and net income of Reliable Service & Repairs beforethe adjusting entries. Determine the revenues, expenses, and netincome of Reliable Service & Repairs after the adjustingentries.
Reliable Repairs & Service, an electronics repair store,prepared the following unadjusted trial balance at the end of itsfirst year of operations:
Reliable Repairs & Service
UNADJUSTED TRIAL BALANCE
April 30, 2016
| ACCOUNTTITLE | DEBIT | CREDIT | |
|---|---|---|---|
1 | Cash | 10,800.00 | |
2 | Accounts Receivable | 67,270.00 | |
3 | Supplies | 16,390.00 | |
4 | Equipment | 115,170.00 | |
5 | Accounts Payable | 15,830.00 | |
6 | Unearned Fees | 17,930.00 | |
7 | Karin Bickle, Capital | 117,930.00 | |
8 | Karin Bickle, Drawing | 13,860.00 | |
9 | Fees Earned | 297,710.00 | |
10 | Wages Expense | 94,430.00 | |
11 | Rent Expense | 71,780.00 | |
12 | Utilities Expense | 52,100.00 | |
13 | Miscellaneous Expense | 7,600.00 | |
14 | Totals | 449,400.00 | 449,400.00 |
For preparing the adjusting entries, the following data wereassembled:
| a. | Fees earned but unbilled on April30 were $9,950. |
| b. | Supplies on hand on April 30 were$4,810. |
| c. | Depreciation of equipment wasestimated to be $6,130 for the year. |
| d. | The balance in unearned feesrepresented the April 1 receipt in advance for services to beprovided. During April, $15,250 of the services were provided. |
| e. | Unpaid Wages accrued on April 30were $5,100. |
| Required: | |
| 1. | Journalize the adjustingentries necessary on April 30, 2016. Refer to the Chart of Accountsfor exact wording of account titles. |
| 2. | Determine the revenues,expenses, and net income of Reliable Service & Repairs beforethe adjusting entries. |
| 3. | Determine the revenues,expenses, and net income of Reliable Service & Repairs afterthe adjusting entries. |
| 4. | Determine the effect of the adjusting entries on KarinBickle, Capital. Can you explain in detail on how you Determine the revenues,expenses, and net income of Reliable Service & Repairs beforethe adjusting entries. Determine the revenues, expenses, and netincome of Reliable Service & Repairs after the adjustingentries. |
Related questions
Reliable Repairs & Service, an electronics repair store, prepared the following unadjusted trial balance at the end of its first year of operations:
Reliable Repairs & Service
UNADJUSTED TRIAL BALANCE
April 30, 2016
| ACCOUNT TITLE | DEBIT | CREDIT | |
|---|---|---|---|
| 1 | Cash | 10,350.00 | |
| 2 | Accounts Receivable | 67,500.00 | |
| 3 | Supplies | 16,200.00 | |
| 4 | Equipment | 116,100.00 | |
| 5 | Accounts Payable | 15,750.00 | |
| 6 | Unearned Fees | 18,000.00 | |
| 7 | Karin Bickle, Capital | 121,500.00 | |
| 8 | Karin Bickle, Drawing | 13,500.00 | |
| 9 | Fees Earned | 294,750.00 | |
| 10 | Wages Expense | 94,500.00 | |
| 11 | Rent Expense | 72,000.00 | |
| 12 | Utilities Expense | 51,750.00 | |
| 13 | Miscellaneous Expense | 8,100.00 | |
| 14 | Totals | 450,000.00 | 450,000.00 |
For preparing the adjusting entries, the following data were assembled:
| a. | Fees earned but unbilled on April 30 were $9,850. |
| b. | Supplies on hand on April 30 were $4,660. |
| c. | Depreciation of equipment was estimated to be $6,470 for the year. |
| d. | The balance in unearned fees represented the April 1 receipt in advance for services to be provided. During April, $15,000 of the services were provided. |
| e. | Unpaid Wages accrued on April 30 were $5,200. |
| Required: | |
| 1. | Journalize the adjusting entries necessary on April 30, 2016. Refer to the Chart of Accounts for exact wording of account titles. |
| 2. | Determine the revenues, expenses, and net income of Reliable Service & Repairs before the adjusting entries. |
| 3. | Determine the revenues, expenses, and net income of Reliable Service & Repairs after the adjusting entries. |
| 4. | Determine the effect of the adjusting entries on Karin Bickle, Capital. |
Chart of Accounts
| CHART OF ACCOUNTS | |||||||||||||||||||||||||||||||||||||||||||||
| Reliable Repairs & Service | |||||||||||||||||||||||||||||||||||||||||||||
| General Ledger | |||||||||||||||||||||||||||||||||||||||||||||
|
| ||||||||||||||||||||||||||||||||||||||||||||
Journal
1. Journalize the adjusting entries necessary on April 30, 2016. Refer to the Chart of Accounts for exact wording of account titles.
PAGE 10
JOURNAL
| DATE | DESCRIPTION | POST. REF. | DEBIT | CREDIT | |
|---|---|---|---|---|---|
| 1 | Adjusting Entries | ||||
| 2 | |||||
| 3 | |||||
| 4 | |||||
| 5 | |||||
| 6 | |||||
| 7 | |||||
| 8 | |||||
| 9 | |||||
| 10 | |||||
| 11 |
Final Questions
2. Determine the revenues, expenses, and net income of Reliable Service & Repairs before the adjusting entries.
| Before Adjusting Entries |
| 1 | Revenues | |
| 2 | Expenses | |
| 3 | Net income |
3. Determine the revenues, expenses, and net income of Reliable Service & Repairs after the adjusting entries.
| After Adjusting Entries |
| 1 | Revenues | |
| 2 | Expenses | |
| 3 | Net income |
4. Determine the effect of the adjusting entries on Karin Bickle, Capital.
The capital account by
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 |
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 | 7,500.00 | |
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; DepreciationExpenseâBuilding; Depreciation ExpenseâEquipment; 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. |
X
Journal
