he Trial Balance for Jaya Sentrycon at December 31, 2019 are as follows: Account Tittle Trial Balance Dr Cr Cash 45.000 Accounts Receivable 15.000 Roofing Supplies 12.000 Equipment 75.000 Accumulated Depreciation-Equipment 10.000 Accounts Payable 15.000 Unearned Revenue 4.500 Share Capital 87.500 Dividend 8.000 Service Revenue 55.000 Salaries Expense 12.300 Miscellaneous Expense 4.700 Total 172.000 172.000 Other data: 1. Physical counts remains only $ 3.600,- of roofing supplies on hand 2. Depreciations for December 31, 2019 is $ 1.200,- 3. Unearned revenue amounted to $ 900,- at December 31, 2019 4. Accrued salaries are $ 2.550,- 5. Account Receivable has not been recorded $ 3.950,- Instructions: a. Journalize the adjusting entries! b. Enter the trial balance on a worksheet and complete the worksheet! c. Prepare an Income Statement and Retained EarningStatement for the month of December 2019 and the Financial Position Statement at December 31, 2019. Jaya Sentrycon did not make any additional investments in the business in December. d. Journalize the closing entries! e. Prepare the Post Closing Trial Balance at December 31, 2019!
The Effect Of Prepaid Taxes On Assets And Liabilities
Many businesses estimate tax liability and make payments throughout the year (often quarterly). When a company overestimates its tax liability, this results in the business paying a prepaid tax. Prepaid taxes will be reversed within one year but can result in prepaid assets and liabilities.
Final Accounts
Financial accounting is one of the branches of accounting in which the transactions arising in the business over a particular period are recorded.
Ledger Posting
A ledger is an account that provides information on all the transactions that have taken place during a particular period. It is also known as General Ledger. For example, your bank account statement is a general ledger that gives information about the amount paid/debited or received/ credited from your bank account over some time.
Trial Balance and Final Accounts
In accounting we start with recording transaction with journal entries then we make separate ledger account for each type of transaction. It is very necessary to check and verify that the transaction transferred to ledgers from the journal are accurately recorded or not. Trial balance helps in this. Trial balance helps to check the accuracy of posting the ledger accounts. It helps the accountant to assist in preparing final accounts. It also helps the accountant to check whether all the debits and credits of items are recorded and posted accurately. Like in a balance sheet debit and credit side should be equal, similarly in trial balance debit balance and credit balance should tally.
Adjustment Entries
At the end of every accounting period Adjustment Entries are made in order to adjust the accounts precisely replicate the expenses and revenue of the current period. It is also known as end of period adjustment. It can also be referred as financial reporting that corrects the errors made previously in the accounting period. The basic characteristics of every adjustment entry is that it affects at least one real account and one nominal account.
The
| Account Tittle | Trial Balance | |
| Dr | Cr | |
| Cash | 45.000 | |
| 15.000 | ||
| Roofing Supplies | 12.000 | |
| Equipment | 75.000 | |
| 10.000 | ||
| Accounts Payable | 15.000 | |
| Unearned Revenue | 4.500 | |
| Share Capital | 87.500 | |
| Dividend | 8.000 | |
| Service Revenue | 55.000 | |
| Salaries Expense | 12.300 | |
| Miscellaneous Expense | 4.700 | |
| Total | 172.000 | 172.000 |
Other data:
1. Physical counts remains only $ 3.600,- of roofing supplies on hand
2. Depreciations for December 31, 2019 is $ 1.200,-
3. Unearned revenue amounted to $ 900,- at December 31, 2019
4. Accrued salaries are $ 2.550,-
5. Account Receivable has not been recorded $ 3.950,-
Instructions:
a. Journalize the
b. Enter the trial balance on a worksheet and complete the worksheet!
c. Prepare an Income Statement and Retained EarningStatement for the month of December 2019 and the Financial Position Statement at December 31, 2019. Jaya Sentrycon did not make any additional investments in the business in December.
d. Journalize the closing entries!
e. Prepare the Post Closing Trial Balance at December 31, 2019!
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