The following unadjusted trial balance is for Power Demolition Company as of the end of its April 30, 2019, fiscal year. The April 30, 2018, credit balance of the owner's capital account was $46,900, and the owner invested $40,000 cash in the company during the 2019 fiscal year. Unadjusted Trial Balance April 30, 2019 No. Account TItle 101 Cash 126 Supplies 128 Prepaid insurance 167 Equipment 168 Accumulated depreciation-Equipment 201 Accounts payable 203 Interest payable 208 Rent payable 210 Wages payable 213 Property taxes payable 251 Long-term notes payable 301 J. Bonn, Capital 302 J. Bonn, Withdrawals 401 Demolition fees earned Debit Credit $ 7,000 16,000 12,600 200,000 $ 14,000 6,800 30,000 86,900 12,000 187,000 612 Depreciation expense-Equipment 623 Wages expense 633 Interest expense 637 Insurance expense 640 Rent expense 652 Supplies expense 683 Property taxes expense 684 Repairs expense 690 Utilities expense Totals 41,400 3,300 13,200 9,700 4,700 4,800 $ 324,700 $324,700

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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1. Prepare and complete a 10-column work sheet for fiscal year 2019, starting with the unadjusted trial
balance
and including adjustments based on these additional facts.
a. The supplies available at the end of fiscal year 2019 had a cost of $7,900.
b. The cost of expired insurance for the fiscal year is $10,600.
c. Annual depreciation on equipment is $7,000.
d. The April utilities expense of $800 is not included in the unadjusted trial balance because the bill
arrived after the trial balance was prepared. The $800 amount owed needs to be recorded.
e. The company’s employees have earned $2,000 of accrued and unpaid wages at fiscal year-end.
f. The rent expense incurred and not yet paid or recorded at fiscal year-end is $3,000.
g. Additional property taxes of $550 have been assessed for this fiscal year but have not been paid or
recorded in the accounts.
h. The $300 accrued interest for April on the long-term notes payable has not yet been paid or recorded.
2. Using information from the completed 10-column work sheet in part 1, journalize the adjusting entries
and the closing entries.
3. Prepare the income statement and the statement of owner’s equity for the year ended April 30 and the
classified balance sheet at April 30, 2019. 

The following unadjusted trial balance is for Power Demolition Company as of the end of its April 30,
2019, fiscal year. The April 30, 2018, credit balance of the owner's capital account was $46,900, and the
owner invested $40,000 cash in the company during the 2019 fiscal year.
Unadjusted Trial Balance
April 30, 2019
No. Account TItle
101 Cash
126 Supplies
128 Prepaid insurance
167 Equipment
168 Accumulated depreciation-Equipment
201 Accounts payable
203 Interest payable
208 Rent payable
210 Wages payable
213 Property taxes payable
251 Long-term notes payable
301 J. Bonn, Capital
302 J. Bonn, Withdrawals
401 Demolition fees earned
Debit
Credit
$ 7,000
16,000
12,600
200,000
$ 14,000
6,800
30,000
86,900
12,000
187,000
612 Depreciation expense-Equipment
623 Wages expense
633 Interest expense
637 Insurance expense
640 Rent expense
652 Supplies expense
683 Property taxes expense
684 Repairs expense
690 Utilities expense
Totals
41,400
3,300
13,200
9,700
4,700
4,800
$ 324,700
$324,700
Transcribed Image Text:The following unadjusted trial balance is for Power Demolition Company as of the end of its April 30, 2019, fiscal year. The April 30, 2018, credit balance of the owner's capital account was $46,900, and the owner invested $40,000 cash in the company during the 2019 fiscal year. Unadjusted Trial Balance April 30, 2019 No. Account TItle 101 Cash 126 Supplies 128 Prepaid insurance 167 Equipment 168 Accumulated depreciation-Equipment 201 Accounts payable 203 Interest payable 208 Rent payable 210 Wages payable 213 Property taxes payable 251 Long-term notes payable 301 J. Bonn, Capital 302 J. Bonn, Withdrawals 401 Demolition fees earned Debit Credit $ 7,000 16,000 12,600 200,000 $ 14,000 6,800 30,000 86,900 12,000 187,000 612 Depreciation expense-Equipment 623 Wages expense 633 Interest expense 637 Insurance expense 640 Rent expense 652 Supplies expense 683 Property taxes expense 684 Repairs expense 690 Utilities expense Totals 41,400 3,300 13,200 9,700 4,700 4,800 $ 324,700 $324,700
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