LEARNING ACTIVITY SHEETWEEK 2Instructions:1. Prepare ten-column journal entries (with description) that were required to adjust the accounts at June 30. None of theaccounts were affected by more than one adjusting entry.Present the entries that were required to close the books at June 30.2.3.Prepare an income statement and capital statement for the fiscal year ended June 30. There were no additionalinvestments during the year.4.Prepare a statement of financial position at June 30, 2021.As of June 30, the end of current fiscal year, the accountant of Universe Company prepared a trial balance, journalized andposted the adjusting entries, prepared an adjusted trial balance, prepared the statements and completed the other proceduresrequired at the end of the accounting cycle. The two trial balances as of June 30, one before adjustments and the other after theadjustments are presented below:UNIVERSE COMPANYTrial BalanceJune 30, 2021AdjustedAccount TitleDebitsCreditsCashAccounts ReceivableInterest ReceivableSuppliesPrepaid RentPrepaid InsuranceAutomibleAccumulated Depreciation - AutomobileEquipmentAccumulated Depreciadon - EquipmentAccounts PayableNotes Payable (2021)Salaries PayableInterest PayableTaxes PayableM. Gonzales, CapitalM. Gonzales, DrawingService Fees EarnedInterest RevenueSalaries ExpenseRent ExpenseSupplies ExpenseDepreciation Expense - AutomobileUsities ExpenseDepreciation Expense-EquipmentTaxes Expensehsurance ExpenseInterest ExpenseMiscellaneous ExpenseTotalUnadjusted566,05020.000191,700283.50041,850405.000288,000594,0001,008,00057,60012,60027,9003,496.200Credits90,00028,80034,650400,000476,7502,466,0003,496,200Debits566,05020,0002,00038,70094,50029,250405,000288,000594,0001,017,900189,000153,00090,00065,250128.80014,40012,60010,50027,9003.746,850180,000157,60042.300400,0009,90010,5001,800476,7502,466,0002,0003,746.850

Adjustment Entries in Books of Universe Company Trans. No. Particulars Debit Credit…

Prepare ten-column joumal entries (with description) that were required to adjust the accounts at June 30. None of the accounts were affected by more than one adjusting entry. Present the entries that were required to close the books at June 30 Prepare an income statement and capital statement for the fiscal year ended June 30. There were no additional investments during the year. Prepare a statement of financial position at June 30, 2021.

Prepare ten-column joumal entries (with description) that were required to adjust the accounts at June 30. None of the accounts were affected by more than one adjusting entry. Present the entries that were required to close the books at June 30 Prepare an income statement and capital statement for the fiscal year ended June 30. There were no additional investments during the year. Prepare a statement of financial position at June 30, 2021.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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