I need help. I keep trying to post the T accounts and the unadjusted and adjusted trial balances. I can’t get either trial balance to equal. I believe I have my journal entries correct.Drs. Glenn Feltham and David Ambrose began operations of their physical therapy clinic, called Northland Physical Therapy, on January 1, 2017. The annual reporting period ends December 31. The trial balance on January 1, 2018, was as follows (the amounts are rounded to thousands of dollars to simplify): Account Titles Debit Credit Cash $ 6 Accounts Receivable 2 Supplies 2 Equipment 10 Accumulated Depreciation $ 3 Software 8 Accumulated Amortization 3 Accounts Payable 6 Notes Payable (short-term) 0 Salaries and Wages Payable 0 Interest Payable 0 Income Taxes Payable 0 Deferred Revenue 0 Common Stock 13 Retained Earnings 3 Service Revenue 0 Depreciation Expense 0 Amortization Expense 0 Salaries and Wages Expense 0 Supplies Expense 0 Interest Expense 0 Income Tax Expense 0 Totals $ 28 $ 28 Transactions during 2018 (summarized in thousands of dollars) follow: Borrowed $13 cash on July 1, 2018, signing a six-month note payable. Purchased equipment for $16 cash on July 2, 2018. Issued additional shares of common stock for $6 on July 3. Purchased software on July 4, $2 cash. Purchased supplies on July 5 on account for future use, $8. Recorded revenues on December 6 of $47, including $9 on credit and $38 received in cash. Recognized salaries and wages expense on December 7 of $21; paid in cash. Collected accounts receivable on December 8, $8. Paid accounts payable on December 9, $9. Received a $2 cash deposit on December 10 from a hospital for a contract to start January 5, 2019. Data for adjusting journal entries on December 31: Amortization for 2018, $3. Supplies of $2 were counted on December 31, 2018. Depreciation for 2018, $3. Accrued interest of $1 on notes payable. Salaries and wages incurred but not yet paid or recorded, $4. Income tax expense for 2018 was $3 and will be paid in 2019. Record journal entries for transactions (a) through (j). Cash 13 Notes-payable (short term) 13 Equipment 16 Cash 16 Cash 6 Common Stock 6 Software 2 Cash 2 Supplies 8 Accounts Payable 8 Accounts Receivable 9 Cash 38 Service Revenue 47 Salaries and Wages Expense 21 Cash 21 Cash 8 Accounts Receivable 8 Accounts Payable 9 Cash 9 Cash 2 Deferred Revenue 2 Set up T-accounts for the accounts on the trial balance. Enter beginning balances and post the transactions (a)-(j), adjusting entries (k)-(p), and closing entry. Prepare an unadjusted trial balance and a trial balance.
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.
I need help. I keep trying to post the T accounts and the unadjusted and adjusted trial balances. I can’t get either
Drs. Glenn Feltham and David Ambrose began operations of their physical therapy clinic, called Northland Physical Therapy, on January 1, 2017. The annual reporting period ends December 31. The trial balance on January 1, 2018, was as follows (the amounts are rounded to thousands of dollars to simplify):
|
Account Titles |
Debit |
Credit |
||||
|
Cash |
$ |
6 |
|
|
|
|
|
|
|
2 |
|
|
|
|
|
Supplies |
|
2 |
|
|
|
|
|
Equipment |
|
10 |
|
|
|
|
|
|
|
|
|
$ |
3 |
|
|
Software |
|
8 |
|
|
|
|
|
Accumulated Amortization |
|
|
|
|
3 |
|
|
Accounts Payable |
|
|
|
|
6 |
|
|
Notes Payable (short-term) |
|
|
|
|
0 |
|
|
Salaries and Wages Payable |
|
|
|
|
0 |
|
|
Interest Payable |
|
|
|
|
0 |
|
|
Income Taxes Payable |
|
|
|
|
0 |
|
|
Deferred Revenue |
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|
|
|
0 |
|
|
Common Stock |
|
|
|
|
13 |
|
|
|
|
|
|
|
3 |
|
|
Service Revenue |
|
|
|
|
0 |
|
|
Depreciation Expense |
|
0 |
|
|
|
|
|
Amortization Expense |
|
0 |
|
|
|
|
|
Salaries and Wages Expense |
|
0 |
|
|
|
|
|
Supplies Expense |
|
0 |
|
|
|
|
|
Interest Expense |
|
0 |
|
|
|
|
|
Income Tax Expense |
|
0 |
|
|
|
|
|
Totals |
$ |
28 |
|
$ |
28 |
|
Transactions during 2018 (summarized in thousands of dollars) follow:
- Borrowed $13 cash on July 1, 2018, signing a six-month note payable.
- Purchased equipment for $16 cash on July 2, 2018.
- Issued additional shares of common stock for $6 on July 3.
- Purchased software on July 4, $2 cash.
- Purchased supplies on July 5 on account for future use, $8.
- Recorded revenues on December 6 of $47, including $9 on credit and $38 received in cash.
- Recognized salaries and wages expense on December 7 of $21; paid in cash.
- Collected accounts receivable on December 8, $8.
- Paid accounts payable on December 9, $9.
- Received a $2 cash deposit on December 10 from a hospital for a contract to start January 5, 2019.
Data for adjusting journal entries on December 31:
- Amortization for 2018, $3.
- Supplies of $2 were counted on December 31, 2018.
- Depreciation for 2018, $3.
- Accrued interest of $1 on notes payable.
- Salaries and wages incurred but not yet paid or recorded, $4.
- Income tax expense for 2018 was $3 and will be paid in 2019.
Record journal entries for transactions (a) through (j).
Cash 13
Notes-payable (short term) 13
Equipment 16
Cash 16
Cash 6
Common Stock 6
Software 2
Cash 2
Supplies 8
Accounts Payable 8
Accounts Receivable 9
Cash 38
Service Revenue 47
Salaries and Wages Expense 21
Cash 21
Cash 8
Accounts Receivable 8
Accounts Payable 9
Cash 9
Cash 2
Deferred Revenue 2
Set up T-accounts for the accounts on the trial balance. Enter beginning balances and
Prepare an unadjusted trial balance and a trial balance.
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