At the end of the year, the following adjustments (a)–(j) need to be made: (a, b) Merchandise inventory as of December 31, $19,700. (c, d, e) Jones estimates that customers will be granted $400 in refunds of this year’s sales next year, and the merchandise expected to be returned will have a cost of $300. (f) Unused supplies on hand, $525. (g) Unexpired insurance on December 31, $1,000. (h) Depreciation expense on the building for the year, $800. (i) Depreciation expense on the store equipment for the year, $450. (j) Wages earned but not paid as of December 31, $330. journalise and post adjusting entries.
At the end of the year, the following adjustments (a)–(j) need to be made: (a, b) Merchandise inventory as of December 31, $19,700. (c, d, e) Jones estimates that customers will be granted $400 in refunds of this year’s sales next year, and the merchandise expected to be returned will have a cost of $300. (f) Unused supplies on hand, $525. (g) Unexpired insurance on December 31, $1,000. (h) Depreciation expense on the building for the year, $800. (i) Depreciation expense on the store equipment for the year, $450. (j) Wages earned but not paid as of December 31, $330. journalise and post adjusting entries.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
At the end of the year, the following adjustments (a)–(j) need to be made:
(a, b) Merchandise inventory as of December 31, $19,700.
(c, d, e) Jones estimates that customers will be granted $400 in refunds of this year’s sales next year, and the merchandise expected to be returned will have a cost of $300.
(f) Unused supplies on hand, $525.
(g) Unexpired insurance on December 31, $1,000.
(h)
(i) Depreciation expense on the store equipment for the year, $450.
(j) Wages earned but not paid as of December 31, $330.
journalise and
Transcribed Image Text:6. Journalize and post adjusting entries.
GENERAL JOURNAL
PAGE 5
DATE
DESCRIPTION
POST. REF.
DEBIT
CREDIT
20-1
(a)
Income Summarv
Merchandise Inventory
(b)
(c)
(d)
(e)
(f)
(9)
(h)
(i)
Transcribed Image Text:TJ's Specialty Shop
End-of-Period Spreadsheet
For the Year Ended December 31, 20-1
Trial Balance
Adjustments
Adjusted Trial Balance
Account Title
Debit
Credit
Debit
Credit
Debit
Credit
Cash
Accounts Receivable
Merchandise Inventory
Estimated Returns Inventory
Supplies
12,548
12,548
7,203
7,203
21,800
(b) 19,700 (a) 21,800
19,700
250
(e)
300 (d)
250
300
1,155
(f)
630
525
Prepaid Insurance
1,380
(9)
380
1,000
Land
Building
8,750
8,750
52,000
52,000
Accumulated Depreciation-Building
9,200
(h)
800
10,000
Store Equipment
28,750
28,750
Accumulated Depreciation-Store Equipment
9,300
(i)
450
9,750
Accounts Payable
Customer Refunds Payable
4,350
4,350
(c)
300
100
400
Wages Payable
()
330
330
Sales Tax Payable
1,518
1,518
Mortgage Payable
12,525
12,525
Tom Jones, Capital
Tom Jones, Drawing
Income Summary
90,000
90,000
8,500
8,500
(a) 21,800 (b) 19,700
21,800
19,700
(d)
250 (e)
300
250
300
Sales
Sales Returns and Allowances
Purchases
Purchases Returns and Allowances
Purchases Discounts
Freight-in
127,700
127,700
1,430
(c)
100
1,530
66,600
66,600
610
610
698
698
175
175
Wages Expense
Advertising Expense
27,200
G)
330
27,530
4,700
4,700
Supplies Expense
(f)
630
630
Phone Expense
Utilities Expense
2,180
2,180
7,530
7,530
Insurance Expense
(9)
380
380
Depreciation Expense-Building
(h)
800
800
Depreciation Expense-Store Equipment
(i)
450
450
Miscellaneous Expense
2,700
2,700
Interest Expense
1,350
1,350
256,201 256,201
44,740
44,740
277,881
277,881
138,605
149,008
Net Income
10,403
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education