i need help. 2. Prepare an adjusted trial balance as of December 31, 2021.DEMON DEACONS CORPORATIONAdjusted Trial BalanceDecember 31, 2021AccountsDebitCreditCash9,400Accounts Receivable14,400Prepaid RentSuppliesDeferred RevenueSalaries PayableCommon StockRetained EarningsService RevenueSalaries ExpenseRent Expense2,160Supplies ExpenseTotals$25,960$ The December 31, 2021, unadjusted trial balance for Demon Deacons Corporation is presented below.AccountsDebitCredit$ 9,40014,4006,4803,400CashAccounts ReceivablePrepaid RentSuppliesDeferred RevenueCommon StockRetained Earnings$ 2,40011,0005,40046,880Service RevenueSalaries Expense32,000$65,680$65,680At year-end, the following additional information is available:1. The balance of Prepaid Rent, $6,480, represents payment on October 31, 2021, for rent from November 1, 2021, toApril 30, 2022.2. The balance of Deferred Revenue, $2,400, represents payment in advance from a customer. By the end of theyear, $600 of the services have been provided.3. An additional $700 in salaries is owed to employees at the end of the year but will not be paid until January 4,2022.4. The balance of Supplies, $3,400, represents the amount of office supplies on hand at the beginning of the year of$1,400 plus an additional $2,000 purchased throughout 2021. By the end of 2021, only $740 of supplies remains.

Answered: The December 31, 2021, unadjusted trial…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Question

i need help.

2. Prepare an adjusted trial balance as of December 31, 2021.
DEMON DEACONS CORPORATION
Adjusted Trial Balance
December 31, 2021
Accounts
Debit
Credit
Cash
9,400
Accounts Receivable
14,400
Prepaid Rent
Supplies
Deferred Revenue
Salaries Payable
Common Stock
Retained Earnings
Service Revenue
Salaries Expense
Rent Expense
2,160
Supplies Expense
Totals
$
25,960
$

The December 31, 2021, unadjusted trial balance for Demon Deacons Corporation is presented below.
Accounts
Debit
Credit
$ 9,400
14,400
6,480
3,400
Cash
Accounts Receivable
Prepaid Rent
Supplies
Deferred Revenue
Common Stock
Retained Earnings
$ 2,400
11,000
5,400
46,880
Service Revenue
Salaries Expense
32,000
$65,680
$65,680
At year-end, the following additional information is available:
1. The balance of Prepaid Rent, $6,480, represents payment on October 31, 2021, for rent from November 1, 2021, to
April 30, 2022.
2. The balance of Deferred Revenue, $2,400, represents payment in advance from a customer. By the end of the
year, $600 of the services have been provided.
3. An additional $700 in salaries is owed to employees at the end of the year but will not be paid until January 4,
2022.
4. The balance of Supplies, $3,400, represents the amount of office supplies on hand at the beginning of the year of
$1,400 plus an additional $2,000 purchased throughout 2021. By the end of 2021, only $740 of supplies remains.

Expert Solution

Step 1 Introduction

Adjustment entry: Adjustment entries are the journal entries made at the end of an accounting period or at any time financial statements are to be prepared to bring about a proper matching of revenue and expenses. It is affected on the one real account and at least one nominal account. Further, it should be noted that not all entries that the company records at end of an accounting period are adjusting entries.

Trending now

This is a popular solution!

Step by step

Solved in 4 steps

SEE SOLUTION Check out a sample Q&A here

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.

Similar questions