Mitchell Enterprises
Adjusted Trial Balance
December 31, 2015
Cash
$ 26,200
Accounts Receivable
10,600
Supplies
400
Prepaid Insurance
Land
2,000
25,000
Building
54,000
Accumulated Depreciation - Building
$2,500
Accounts Payable
5,300
Unearned Revenue
6,000
Notes Payable
17,000
Common Stock
20,000
Retained Earnings (as of Jan. 1, 2015)
54,400
Dividends
1,000
Service Revenue
29,000
Salaries Expense
8,400
Rent Expense
3,600
Insurance Expense
3,000
$134,200
$134,200
Mitchell Enterprises
Income Statement
| Mitchell Enterprises Adjusted Trial Balance December 31, 2015 | |||||
Cash | $ 26,200 | ||||
Accounts Receivable | 10,600 | ||||
Supplies | 400 | ||||
| Prepaid Insurance Land | 2,000 25,000 | ||||
Building | 54,000 | ||||
Accumulated Depreciation - Building | $2,500 | ||||
Accounts Payable | 5,300 | ||||
Unearned Revenue | 6,000 | ||||
Notes Payable | 17,000 | ||||
Common Stock | 20,000 | ||||
Retained Earnings (as of Jan. 1, 2015) | 54,400 | ||||
Dividends | 1,000 | ||||
Service Revenue | 29,000 | ||||
Salaries Expense | 8,400 | ||||
Rent Expense | 3,600 | ||||
Insurance Expense | 3,000 | ||||
$134,200 | $134,200 | ||||
Mitchell Enterprises
Income Statement
Related questions
John's Cleaning Services, Inc. has the following adjustedaccount balances as of March 31, 2015. Prepare a classified balancesheet as of that date.
| Account | Debit | Credit |
| Cash | $600 | |
| Common Stock | 31,650 | |
| Inventory | 2,000 | |
| Prepaid Rent | 4,400 | |
| Building | 50,000 | |
| Salaries Expense | 1,000 | |
| Long-Term Investments | 50,500 | |
| Accounts Payable | 6,000 | |
| Rent Expense | 1,000 | |
| Income Tax Payable | 15,630 | |
| Long-Term Notes Payable | 8,000 | |
| Accumulated Depreciation- Building | 7,500 | |
| Retained Earnings | 2,520 | |
| Service Revenue | 41,000 | |
| Short-Term Investments | 1,800 | |
| Insurance Expense | 2,000 | |
| Current Portion of Long-Term Note Payable | 2,500 | |
| Depreciation Expense- Building | 1,500 | |
| Totals | $114,800 | $114,800 |
Account | Debit | Credit |
Cash | $600 | |
Short-Term Investments | 1,800 | |
Inventory | 2,000 | |
Prepaid Rent | 2,900 | |
Prepaid Insurance | 1,500 | |
Building | 50,000 | |
Accumulated DepreciationâBuilding | $7,500 | |
Long-Term Investments | 23,000 | |
Goodwill | 20,000 | |
Patent | 7,500 | |
Accounts Payable | 6,000 | |
Current Portion of Long-term Note Payable | 2,500 | |
Income Tax Payable | 15,630 | |
Long-term Notes Payable | 8,000 | |
Common Stock | 1,650 | |
Additional Paid-in Capital | 30,000 | |
Retained Earnings | 2,520 | |
Service Revenue | 41,000 | |
Rent Expense | 1,000 | |
Insurance Expense | 2,000 | |
Salaries Expense | 1,000 | |
Depreciation ExpenseâBuilding | 1,500 | _______ |
Totals | $114,800 | $114,800 |
Pitman Company is a small editorial services company owned andoperated by Jan Pitman. On October 31, 2019 the end of the currentyear, Pitman Companyâs accounting clerk prepared the followingunadjusted trial balance:
Pitman Company
UNADJUSTED TRIAL BALANCE
October 31, 2019
| 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 | 300,250.00 | |
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 | Jan Pitman, Capital | 371,000.00 | |
13 | Jan Pitman, Drawing | 15,000.00 | |
14 | Fees Earned | 324,600.00 | |
15 | Salaries and Wages Expense | 193,370.00 | |
16 | Utilities Expense | 42,375.00 | |
17 | Advertising Expense | 22,800.00 | |
18 | Repairs Expense | 17,250.00 | |
19 | Miscellaneous Expense | 6,075.00 | |
20 | Totals | 900,000.00 | 900,000.00 |
The data needed to determine year-end adjustments are asfollows:
| a. | Unexpired insurance at October 31,$600. |
| b. | Supplies on hand at October 31,$675. |
| c. | Depreciation of building for theyear, $12,000. |
| d. | Depreciation of equipment for theyear, $8,600. |
| e. | Unearned rent at October 31,$2,250. |
| f. | Accrued salaries and wages atOctober 31, $2,800. |
| g. | Fees earned but unbilled on October31, $10,050. |
| 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. |
CHART OF ACCOUNTSPitman CompanyGeneral Ledger
| ASSETS | |
| 11 | Cash |
| 12 | Accounts Receivable |
| 13 | Prepaid Insurance |
| 14 | Supplies |
| 15 | Land |
| 16 | Building |
| 17 | AccumulatedDepreciation-Building |
| 18 | Equipment |
| 19 | AccumulatedDepreciation-Equipment |
| LIABILITIES | |
| 21 | Accounts Payable |
| 22 | Unearned Rent |
| 23 | Salaries and Wages Payable |
| EQUITY | |
| 31 | Jan Pitman, Capital |
| 32 | Jan Pitman, Drawing |
| REVENUE | |
| 41 | Fees Earned |
| 42 | Rent Revenue |
| EXPENSES | |
| 51 | Salaries and Wages Expense |
| 52 | Utilities Expense |
| 53 | Advertising Expense |
| 54 | Repairs Expense |
| 55 | Depreciation Expense-Building |
| 56 | Depreciation Expense-Equipment |
| 57 | Insurance Expense |
| 58 | Supplies Expense |
| 59 | Miscellaneous Expense |
1. Journalize the adjusting entries using the followingadditional accounts: Salaries and Wages Payable; Rent Revenue;Insurance Expense; Depreciation ExpenseâBuilding; DepreciationExpenseâEquipment; and Supplies Expense. Refer to the Chart ofAccounts for exact wording of account titles.
How does grading work?
PAGE 10
JOURNAL
ACCOUNTING EQUATION
Score: 164/176
| DATE | DESCRIPTION | POST.REF. | DEBIT | CREDIT | ASSETS | LIABILITIES | EQUITY | |
|---|---|---|---|---|---|---|---|---|
1 | Adjusting Entries | |||||||
2 | ? | ? | ||||||
3 | ? | |||||||
4 | ? | ? | ? | |||||
5 | ? | ? | ||||||
6 | ? | ? | ? | |||||
7 | ? | ? | ||||||
8 | ? | ? | ? | |||||
9 | ? | ? | ||||||
10 | ? | ? | ||||||
11 | ? | |||||||
12 | ? | ? | ? | |||||
13 | ? | ? | ||||||
14 | ? | ? | ? | |||||
15 | ? | ? |
2. Determine the balances of the accounts affected by theadjusting entries, and prepare an adjusted trial balance.
Question not attempted.
Pitman Company
ADJUSTED TRIAL BALANCE
Score: 0/103
October 31, 2019
| ACCOUNTTITLE | DEBIT | CREDIT | |
|---|---|---|---|
1 | Cash | ||
2 | Accounts Receivable | ||
3 | Prepaid Insurance | ||
4 | Supplies | ||
5 | Land | ||
6 | Building | ||
7 | Accumulated Depreciation-Building | ||
8 | Equipment | ||
9 | Accumulated Depreciation-Equipment | ||
10 | Accounts Payable | ||
11 | Unearned Rent | ||
12 | Salaries and Wages Payable | ||
13 | Jan Pitman, Capital | ||
14 | Jan Pitman, Drawing | ||
15 | Fees Earned | ||
16 | Rent Revenue | ||
17 | Salaries and Wages Expense | ||
18 | Utilities Expense | ||
19 | Advertising Expense | ||
20 | Repairs Expense | ||
21 | Depreciation Expense-Building | ||
22 | Depreciation Expense-Equipment | ||
23 | Insurance Expense | ||
24 | Supplies Expense | ||
25 | Miscellaneous Expense | ||
26 | Totals |
| Beyond Sea | |||||||
| Adjusted Trial Balance | |||||||
| December 31, 2015 | |||||||
| Debit | Credit | ||||||
| Cash | 30,500 | ||||||
| Short-term Investments | 32,200 | ||||||
| Accounts Receivable | 244,500 | ||||||
| Supplies | 11,500 | ||||||
| Prepaid Rent | 4,000 | ||||||
| Prepaid Insurance | 2,700 | ||||||
| Notes Receivable (due in 3 yrs.) | 30,000 | ||||||
| Office Equipment | 32,000 | ||||||
| Accumulated Depreciation | 5,500 | ||||||
| Delivery Equipment | 45,000 | ||||||
| Accumulated Depreciation | 12,200 | ||||||
| Office Building | 475,000 | ||||||
| Accumulated Depreciation | 130,000 | ||||||
| Trademarks | 8,700 | ||||||
| Accounts Payable | 57,600 | ||||||
| Notes Payable (due within 1year) | 25,000 | ||||||
| Notes Payable (due in 5years) | 125,000 | ||||||
| Deferred Revenue | 10,300 | ||||||
| Common Stock | 20,000 | ||||||
| Retained Earnings | 57,500 | ||||||
| Service Revenue | 805,200 | ||||||
| Salaries | 180,400 | ||||||
| Insurance Expense | 13,000 | ||||||
| Depreciation | 22,000 | ||||||
| Rent Expense | 74,300 | ||||||
| Supplies Expense | 3,500 | ||||||
| Utilities Expense | 2,900 | ||||||
| Fringe Benefit Expense | 56,500 | ||||||
| Gain on Sale of Investments | 25,300 | ||||||
| Interest Expense | 4,900 | ||||||
| $1,273,600 | $1,273,600 | ||||||
| ` | |||||||
| REQUIRED: | |||||||
| Prepare in good form, aclassified balance sheet at December 31, 2015. | |||||||
| ( You will have to compute theRetained Earnings at December 31.\) | |||||||
