Complete the accounting cycle. For the past several years, Jolene Upton has operated a part-time consulting business from her home. As of July 1, 2019, Jolene decided to move to rented quarters and to operate the business, which was to be known as Gourmet Consulting, on a full-time basis. Gourmet Consulting entered into the following transactions during July: July 1. The following assets were received from Jolene Upton: cash, $19,000; accounts receivable, $22,300; supplies, $3,800; and office equipment, $8,900. There were no liabilities received. 1. Paid three months’ rent on a lease rental contract, $6,000. 2. Paid the premiums on property and casualty insurance policies, $4,500. 4. Received cash from clients as an advance payment for services to be provided and recorded it as unearned fees, $8,000. 5. Purchased additional office equipment on account from Office Necessities Co., $5,100. 6. Received cash from clients on account, $12,750. 10. Paid cash for a newspaper advertisement, $500. 12. Paid Office Necessities Co. for part of the debt incurred on July 5, $3,000. 12. Provided services on account for the period July 1–12, $14,200. 14. Paid receptionist for two weeks’ salary, $1,500. Record the following transactions on Page 2 of the journal: 17. Received cash from cash clients for fees earned during the period July 1–17, $10,400. 18. Paid cash for supplies, $1,000. 20. Provided services on account for the period July 13–20, $9,000. 24. Received cash from cash clients for fees earned for the period July 17–24, $8,500. 26. Received cash from clients on account, $12,000. 27. Paid receptionist for two weeks’ salary, $1,500. 29. Paid telephone bill for July, $325. 31. Paid electricity bill for July, $675. 31. Received cash from cash clients for fees earned for the period July 25–31, $7,100. 31. Provided services on account for the remainder of July, $5,500. 31. Jolene withdrew $20,000 for personal use 4. At the end of July, the following adjustment data were assembled. Analyze and use these data to complete parts (5) and (6). a. Insurance expired during July is $375. b. Supplies on hand on July 31 are $2,850. c. Depreciation of office equipment for July is $400. d. Accrued receptionist salary on July 31 is $140. e. Rent expired during July is $2,000. f. Unearned fees on July 31 are $3,000. 5. Journalize and post the adjusting entries. Record the adjusting entries on Page 3 of the journal. 6. Prepare an adjusted trial balance. 7. Prepare an income statement, a statement of owner’s equity, and a balance sheet. 8.. Prepare and post the closing entries. Record the closing entries on Page 4 of the journal. Indicate closed accounts by inserting a line in both Balance columns opposite the closing entry. 9. Prepare a post-closing trial balance.
Complete the accounting cycle. For the past several years, Jolene Upton has operated a part-time consulting business
from her home. As of July 1, 2019, Jolene decided to move to rented quarters and to operate the business, which was to be known as Gourmet Consulting, on a full-time basis. Gourmet Consulting entered into the following transactions during July:
July 1. The following assets were received from Jolene Upton: cash, $19,000;
1. Paid three months’ rent on a lease rental contract, $6,000.
2. Paid the premiums on property and casualty insurance policies, $4,500.
4. Received cash from clients as an advance payment for services to be provided
and recorded it as unearned fees, $8,000.
5. Purchased additional office equipment on account from Office Necessities Co., $5,100.
6. Received cash from clients on account, $12,750.
10. Paid cash for a newspaper advertisement, $500.
12. Paid Office Necessities Co. for part of the debt incurred on July 5, $3,000.
12. Provided services on account for the period July 1–12, $14,200.
14. Paid receptionist for two weeks’ salary, $1,500.
Record the following transactions on Page 2 of the journal:
17. Received cash from cash clients for fees earned during the period
July 1–17, $10,400.
18. Paid cash for supplies, $1,000.
20. Provided services on account for the period July 13–20, $9,000.
24. Received cash from cash clients for fees earned for the period July 17–24, $8,500.
26. Received cash from clients on account, $12,000.
27. Paid receptionist for two weeks’ salary, $1,500.
29. Paid telephone bill for July, $325.
31. Paid electricity bill for July, $675.
31. Received cash from cash clients for fees earned for the period July 25–31, $7,100.
31. Provided services on account for the remainder of July, $5,500.
31. Jolene withdrew $20,000 for personal use
4. At the end of July, the following adjustment data were assembled. Analyze and use these data to complete parts (5) and (6).
a. Insurance expired during July is $375.
b. Supplies on hand on July 31 are $2,850.
c.
d. Accrued receptionist salary on July 31 is $140.
e. Rent expired during July is $2,000.
f. Unearned fees on July 31 are $3,000.
5. Journalize and post the
6. Prepare an adjusted
7. Prepare an income statement, a statement of owner’s equity, and a balance sheet.
8.. Prepare and
9. Prepare a post-closing trial balance.
Complete section 4-10
Trending now
This is a popular solution!
Step by step
Solved in 5 steps with 9 images
