Excel Applications for Accounting Principles
4th Edition
ISBN: 9781111581565
Author: Gaylord N. Smith
Publisher: Cengage Learning
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Chapter 3, Problem 2R
The
Adjustment information is as follows:
- a. Supplies on hand as of June 30, 2013, $450.
- b. Insurance premiums that expired during the year, $2,420.
- c.
Depreciation on equipment during the year, $1,500. - d. Included in the rent expense of $30,000 is $1,200 that is prepaid for July 2013.
- e. Salaries accrued but not paid at June 30, 2013, $1,440.
- f. Merchandise inventory on June 30, 2013, $68,864.
Open the file P2WORK from the website for this book at cengagebrain.com. Enter the formulas in the appropriate cells on the worksheet. Then enter the adjusting amounts in columns E and G. Also, in column D or F, insert the letter corresponding to the
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Required 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…
Please make the adjustments and adjusted trial balanceAdditional information for adjustments:
a. On December 31, a physical count of the office supplies reveals that15,300 worth of supplies are available at the end of the month.
b. On December 31, one month of the prepaid rent of P18,000 has been usedup.
c. The office equipment purchased by Mr. M for P324,000 on December 2,2020 is expected to last six years with no residual value.
d. On December 5, Mr. M signed a four-month contract to perform work
for P7,500 per month with the entire contract price of P30,000 received in
advance.
e. At the close of business, December 30, 2020 the employee has worked one
week during December for which salaries of P8,100 are not paid until
January 2021.
f. The two-year bank loan obtained by the company amounting to P360,000
has a 10% annual interest rate payable every November 30.
g. On December 2, 2020, Mr. M entered into a one-year contract with a
local company. Mr. M agreed to maintain the company’s…
During the year ended 30 September 20X9, H recorded the following cash transactions:
(1) A payment of an annual insurance premium of $6,000. This covered the period to 31 December 20X9.
(2) Receipt of $3,000 in respect of rent from a tenant covering the three-month period to 30 November 20X9.
What is the impact on profit and net assets of making the year-end adjustments for deferred income and prepayments at 30 September 20X9?
Profit Net assets
A. Decrease of $500 Increase of $500
B. Decrease of $1,000 Increase of $1,000
C. Decrease of $500 Decrease of $500
D. Increase of $1,000 Increase of $1,000
Chapter 3 Solutions
Excel Applications for Accounting Principles
Ch. 3 - The trial balance of Sports Connection at June 30,...Ch. 3 - The trial balance of Sports Connection at June 30,...Ch. 3 - The trial balance of Sports Connection at June 30,...Ch. 3 - The trial balance of Sports Connection at June 30,...Ch. 3 - The trial balance of Sports Connection at June 30,...Ch. 3 - Open P2WORK4 and click the Chart sheet tab. On the...
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