Explanation Trial balance Trial balance is the tabular presentation of all debit and credit balances of accounts; debit and credit sides of trial balances are equal due to double entry system of preparation of accounts. Post closing trial balance: Particulars Debit($) Credit($) Cash 833,000 Accounts Receivable 179,000 Accounts Payable 150,500 Note Payable 80,000 Unearned service revenue 12,000 Prepaid Insurance 13,000 Equipment 350,000 Common Stock 1,000,000 Supplies 83,000 Accumulated depreciation 30,000 Wages payable 24,000 Prepaid rent 30,000 Retained earnings 191,500 Total 1,488,000 1,488,000 Table (1) Working Notes: Computation of Post closing trial balance: Particulars Debit($) Credit($) Cash 833,000 Accounts Receivable 179,000 Accounts Payable 150,500 Note Payable 80,000 Unearned service revenue 12,000 Prepaid Insurance 13,000 Equipment 350,000 Common Stock 1,000,000 Supplies 83,000 Accumulated depreciation 30,000 Wages payable 24,000 Prepaid rent 30,000 Retained earnings 191,000 Dividends ( 12 , 000 − 12 , 000 ) Sales ( 1 , 000 , 500 − 1 , 000 , 500 ) Wages ( 320 , 000 − 320 , 000

3rd Edition

ISBN: 9780136912644

Author: Elizabeth A. Gordon; Jana S. Raedy; Alexander J. Sannella

Publisher: Pearson Education (US)

See similar textbooks

Concept explainers

The Effect Of Prepaid Taxes On Assets And Liabilities

Many businesses estimate tax liability and make payments throughout the year (often quarterly). When a company overestimates its tax liability, this results in the business paying a prepaid tax. Prepaid taxes will be reversed within one year but can resu…

Final Accounts

Financial accounting is one of the branches of accounting in which the transactions arising in the business over a particular period are recorded.

Ledger Posting

A ledger is an account that provides information on all the transactions that have taken place during a particular period. It is also known as General Ledger. For example, your bank account statement is a general ledger that gives information about the a…

Trial Balance and Final Accounts

In accounting we start with recording transaction with journal entries then we make separate ledger account for each type of transaction. It is very necessary to check and verify that the transaction transferred to ledgers from the journal are accurately…

Adjustment Entries

At the end of every accounting period Adjustment Entries are made in order to adjust the accounts precisely replicate the expenses and revenue of the current period. It is also known as end of period adjustment. It can also be referred as financial repor…

Videos

Question

Chapter 4, Problem 4.24E

To determine

To prepare: The post closing trial balance.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Chapter 4, Problem 4.23E

Chapter 4, Problem 4.1P

Students have asked these similar questions

Financial Account

Financial Accounting Question

Chapter 4 Solutions

Intermediate Accounting

Ch. 4 - Prob. 4.1Q Ch. 4 - ShoeBuy uses reversing entries for events such as...Ch. 4 - What is equity? What are the three components of...Ch. 4 - Prob. 4.4Q Ch. 4 - Will all transactions have a dual effect on the...Ch. 4 - Prob. 4.6Q Ch. 4 - What is meant by the term normal balance? Provide...Ch. 4 - Why is the general journal referred to as the book...Ch. 4 - Are account balances found in the general ledger?...Ch. 4 - What is the purpose of an unadjusted trial...

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.

The post closing trial balance .

Solution Summary: The author explains that the post closing trial balance is the tabular presentation of all debit and credit balances of accounts.

Concept explainers

Videos

To prepare: The post closing trial balance.

Want to see the full answer?

Chapter 4 Solutions