after Adjusting entries: The standard financial period for Mountain Top is one month so financial statements and the closing process are executed at the end of each month. Once the 50 transactions (book 3) have been record and posted to the appropriate general ledger accounts, prepare an unadjusted trial balance. Once the Unadjusted Trial Balance is correct (you instructor can verify), use the following adjustment data to prepare the adjusting entries: 1. Physical count end of month shows merchandise inventory balance should be $31,000.86 2. Office supplies on hand end of month 3. Store supplies on hand end of month D Chart of Accounts Assets Current Assets 110 Cash Notes Receivable 500.00 1800.00 4. Insurance expired during month 600.00 5. Depreciation store equipment for the month 6. Depreciation office equipment for the month 7. Interest earned on Note Receivable 57) - 1000.00 500.00 40.00 8. Accrued Sales Salaries Accrued Office Salaries 950.00 650.00 9. Record estimated returns for June Sales a. Customer refunds (debit sales and credit Customer Refunds Payable) 1500.00 b. Returns inventory (debit Estimated Returns Inventory and credit cost of merchandise sold 750.00 Journalize these adjusting entries (above) in the general journal on page two of the general journal (the opposing page of this book). Post these journal entries to the general ledger accounts in book 2. Prepare an adjusted trial balance. Use this adjusted trial balance to prepare the financial statements. Treat this as a compound journal entry! Balance Sheet Mountain Top Hardware Revenue 411 + drawing account Sales-D Expenses 510 Cost of Merchandise Sold C 111 112 Accounts Receivable 113 Interest Receivable 114 Merchandise Inventory 115 Estimated Returns Inventory Selling Expenses 116 Office Supplies 521 117 Store Supplies 522 118 Prepaid Insurance 523 524 Sales Salaries Expense Advertising Expense Deprec Expense - Store Equipment C Store Supplies Expense C 525 Misc. Selling Expense/ Administrative Expenses Office Salaries Expense