UNADJUSTED TRIAL BALANCE Account Debit Credit Cash $68,900 Accounts receivable 116,300 Interest receivable 1,300 Supplies inventory 138,600 Prepaid insurance 8,700 Notes receivable 50,000 Property and equipment 277,800 Accumulated depreciation $64,500 Accounts payable 104,100 Accrued liabilities 21,600 Deferred revenue 9,200 Notes payable 87,400 Contributed capital 216,100 Retained earnings 143,500 Sales revenue 40,500 Interest revenue 21,900 Cost of service expense 26,400 Supplies expense 0 Depreciation expense 0 Wages expense 3,000 Rent expense 17,800 Insurance expense 0 Totals $708,800 $708,800 The following data are available to determine adjusting entries: A) $4,350 of prepaid insurance expired during the period. B) The company estimates depreciation expense of $8,150 for the period. C) A count showed $85,700 of supplies on hand. D) Interest earned and receivable on the outstanding notes receivable is $260 for the period. Prepare the adjusting journal entries that should be recorded. Then, prepare an adjusted trial balance.
|
UNADJUSTED |
||
|
Account |
Debit |
Credit |
|
Cash |
$68,900 |
|
|
|
116,300 |
|
|
Interest receivable |
1,300 |
|
|
Supplies inventory |
138,600 |
|
|
Prepaid insurance |
8,700 |
|
|
Notes receivable |
50,000 |
|
|
Property and equipment |
277,800 |
|
|
|
|
$64,500 |
|
Accounts payable |
|
104,100 |
|
Accrued liabilities |
|
21,600 |
|
Deferred revenue |
|
9,200 |
|
Notes payable |
|
87,400 |
|
Contributed capital |
|
216,100 |
|
|
|
143,500 |
|
Sales revenue |
|
40,500 |
|
Interest revenue |
|
21,900 |
|
Cost of service expense |
26,400 |
|
|
Supplies expense |
0 |
|
|
Depreciation expense |
0 |
|
|
Wages expense |
3,000 |
|
|
Rent expense |
17,800 |
|
|
Insurance expense |
0 |
|
|
Totals |
$708,800 |
$708,800 |
The following data are available to determine
A) $4,350 of prepaid insurance expired during the period.
B) The company estimates depreciation expense of $8,150 for the period.
C) A count showed $85,700 of supplies on hand.
D) Interest earned and receivable on the outstanding notes receivable is $260 for the period.
Prepare the adjusting
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