Anne Curtis is a lawyer specializing in corporate tax law. Provided below is a trial balance taken on Dec. 31, 2018: Curtis Legal Services Trial Balance Dec. 31, 2018 111 Cash P 75,000 112 Office Supplies 8,000 113 Prepaid Insurance 12,000 114 Office Equipment 150,000 116 Computer Equipment 60,000 211 Notes Payable P 50,000 212 Accounts Payable 5,000 311 De Guzman, Capital 114,000 312 De Guzman, Withdrawals 35,000 411 Consulting Revenues 390,000 511 Rent Expense 50,000 512 Salaries Expense 120,000 513 Telephone Expense 10,000 514 Utilities Expense 39,000 P 559,000 P 559,000 Information for year-end adjustments: a. Office supplies on hand at year-end amounted to P3,000. b. On January 1 of the current year, Curtis purchased office equipment which cost P150,000 with and expected life of 5 years and no salvage value. c. Computer equipment costing P60,000 with an expected useful life of three years and no salvage value was purchased on July 1 of the current year. d. A premium of P12,000 for one-year insurance policy was paid on Dec. 1. e. Salaries earned by legal aide, which have not yet been paid, amounted to P3,000. Chart of Accounts for New Accounts: 115 Accumulated Depreciation – Office Equipment 117 Accumulated Depreciation – Computer Equipment 213 Salaries Payable 515 Supplies Expense 516 Depreciation Expense 517 Insurance Expense Required: 1. Prepare the adjustments on the worksheet and complete the worksheet. 2. Journalize the adjusting entries. (no need for posting) 3. Prepare the income statement and balance sheet. 4. Journalize the closing entries and prepare a post-closing trial balance. (no need for posting
Anne Curtis is a lawyer specializing in corporate tax law. Provided below is a
on Dec. 31, 2018:
Curtis Legal Services
Trial Balance
Dec. 31, 2018
111 Cash P 75,000
112 Office Supplies 8,000
113 Prepaid Insurance 12,000
114 Office Equipment 150,000
116 Computer Equipment 60,000
211 Notes Payable P 50,000
212 Accounts Payable 5,000
311 De Guzman, Capital 114,000
312 De Guzman, Withdrawals 35,000
411 Consulting Revenues 390,000
511 Rent Expense 50,000
512 Salaries Expense 120,000
513 Telephone Expense 10,000
514 Utilities Expense 39,000
P 559,000 P 559,000
Information for year-end adjustments:
a. Office supplies on hand at year-end amounted to P3,000.
b. On January 1 of the current year, Curtis purchased office equipment which cost P150,000
with and expected life of 5 years and no salvage value.
c. Computer equipment costing P60,000 with an expected useful life of three years and no
salvage value was purchased on July 1 of the current year.
d. A premium of P12,000 for one-year insurance policy was paid on Dec. 1.
e. Salaries earned by legal aide, which have not yet been paid, amounted to P3,000.
Chart of Accounts for New Accounts:
115
117 Accumulated Depreciation – Computer Equipment
213 Salaries Payable
515 Supplies Expense
516 Depreciation Expense
517 Insurance Expense
Required:
1. Prepare the adjustments on the worksheet and complete the worksheet.
2. Journalize the
3. Prepare the income statement and
4. Journalize the closing entries and prepare a post-closing trial balance. (no need for
posting)
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