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3. Record the closing entry. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. × Answer is complete but not entirely correct. No Transaction 1 1 Service revenue Supplies expense Depreciation expense Insurance expense General Journal Wages expense Interest expense Income tax expense Remaining expenses (not detailed) Retained earnings Debit Credit 89,360 10,900 × 3,500 700 16,820 275 5,380 33,270 10,690 x [The following information applies to the questions displayed below.] Tunstall, Incorporated, a small service company, keeps its records without the help of an accountant. After much effort, an outside accountant prepared the following unadjusted trial balance as of the end of the annual accounting period on December 31: Cash Accounts receivable Supplies Prepaid insurance Service trucks Accumulated depreciation Other assets Tunstall, Incorporated Unadjusted Trial Balance At December 31 Debit Credit 47,900 10,900 600 700 17,600 7,800 9,260 2,210 Accounts payable Wages payable Income taxes payable Notes payable (3 years; 10% interest due each September 30) Common stock (5,700 shares outstanding) 11,000 2,046 Additional paid-in capital 18,414 Retained earnings 5,600 Service revenue 89,360 Wages expense 16,200 Remaining expenses (not detailed; excludes income tax) 33,270 Income tax expense Totals 136,430 136,430 Data not yet recorded at December 31 included: a. The supplies count on December 31 reflected $210 in remaining supplies on hand to be used in the next year. b. Insurance expired during the current year, $700. c. Depreciation expense for the current year, $3,500. d. Wages earned by employees not yet paid on December 31, $620. e. Three months of interest expense (for the note payable borrowed on October 1 of the current year) was incurred in the current year. f. Income tax expense, $5,380.

3. Record the closing entry. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. × Answer is complete but not entirely correct. No Transaction 1 1 Service revenue Supplies expense Depreciation expense Insurance expense General Journal Wages expense Interest expense Income tax expense Remaining expenses (not detailed) Retained earnings Debit Credit 89,360 10,900 × 3,500 700 16,820 275 5,380 33,270 10,690 x [The following information applies to the questions displayed below.] Tunstall, Incorporated, a small service company, keeps its records without the help of an accountant. After much effort, an outside accountant prepared the following unadjusted trial balance as of the end of the annual accounting period on December 31: Cash Accounts receivable Supplies Prepaid insurance Service trucks Accumulated depreciation Other assets Tunstall, Incorporated Unadjusted Trial Balance At December 31 Debit Credit 47,900 10,900 600 700 17,600 7,800 9,260 2,210 Accounts payable Wages payable Income taxes payable Notes payable (3 years; 10% interest due each September 30) Common stock (5,700 shares outstanding) 11,000 2,046 Additional paid-in capital 18,414 Retained earnings 5,600 Service revenue 89,360 Wages expense 16,200 Remaining expenses (not detailed; excludes income tax) 33,270 Income tax expense Totals 136,430 136,430 Data not yet recorded at December 31 included: a. The supplies count on December 31 reflected $210 in remaining supplies on hand to be used in the next year. b. Insurance expired during the current year, $700. c. Depreciation expense for the current year, $3,500. d. Wages earned by employees not yet paid on December 31, $620. e. Three months of interest expense (for the note payable borrowed on October 1 of the current year) was incurred in the current year. f. Income tax expense, $5,380.

Intermediate Accounting: Reporting And Analysis
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter22: Accounting For Changes And Errors.
Section: Chapter Questions
Problem 10MC: Shannon Corporation began operations on January 1, 2019. Financial statements for the years ended...
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3. Record the closing entry. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. × Answer is complete but not entirely correct. No Transaction 1 1 Service revenue Supplies expense Depreciation expense Insurance expense General Journal Wages expense Interest expense Income tax expense Remaining expenses (not detailed) Retained earnings Debit Credit 89,360 10,900 × 3,500 700 16,820 275 5,380 33,270 10,690 x
Transcribed Image Text:3. Record the closing entry. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. × Answer is complete but not entirely correct. No Transaction 1 1 Service revenue Supplies expense Depreciation expense Insurance expense General Journal Wages expense Interest expense Income tax expense Remaining expenses (not detailed) Retained earnings Debit Credit 89,360 10,900 × 3,500 700 16,820 275 5,380 33,270 10,690 x
[The following information applies to the questions displayed below.] Tunstall, Incorporated, a small service company, keeps its records without the help of an accountant. After much effort, an outside accountant prepared the following unadjusted trial balance as of the end of the annual accounting period on December 31: Cash Accounts receivable Supplies Prepaid insurance Service trucks Accumulated depreciation Other assets Tunstall, Incorporated Unadjusted Trial Balance At December 31 Debit Credit 47,900 10,900 600 700 17,600 7,800 9,260 2,210 Accounts payable Wages payable Income taxes payable Notes payable (3 years; 10% interest due each September 30) Common stock (5,700 shares outstanding) 11,000 2,046 Additional paid-in capital 18,414 Retained earnings 5,600 Service revenue 89,360 Wages expense 16,200 Remaining expenses (not detailed; excludes income tax) 33,270 Income tax expense Totals 136,430 136,430 Data not yet recorded at December 31 included: a. The supplies count on December 31 reflected $210 in remaining supplies on hand to be used in the next year. b. Insurance expired during the current year, $700. c. Depreciation expense for the current year, $3,500. d. Wages earned by employees not yet paid on December 31, $620. e. Three months of interest expense (for the note payable borrowed on October 1 of the current year) was incurred in the current year. f. Income tax expense, $5,380.
Transcribed Image Text:[The following information applies to the questions displayed below.] Tunstall, Incorporated, a small service company, keeps its records without the help of an accountant. After much effort, an outside accountant prepared the following unadjusted trial balance as of the end of the annual accounting period on December 31: Cash Accounts receivable Supplies Prepaid insurance Service trucks Accumulated depreciation Other assets Tunstall, Incorporated Unadjusted Trial Balance At December 31 Debit Credit 47,900 10,900 600 700 17,600 7,800 9,260 2,210 Accounts payable Wages payable Income taxes payable Notes payable (3 years; 10% interest due each September 30) Common stock (5,700 shares outstanding) 11,000 2,046 Additional paid-in capital 18,414 Retained earnings 5,600 Service revenue 89,360 Wages expense 16,200 Remaining expenses (not detailed; excludes income tax) 33,270 Income tax expense Totals 136,430 136,430 Data not yet recorded at December 31 included: a. The supplies count on December 31 reflected $210 in remaining supplies on hand to be used in the next year. b. Insurance expired during the current year, $700. c. Depreciation expense for the current year, $3,500. d. Wages earned by employees not yet paid on December 31, $620. e. Three months of interest expense (for the note payable borrowed on October 1 of the current year) was incurred in the current year. f. Income tax expense, $5,380.
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