Chapter 5, Problem P5.37APGA

Journalizing adjusting entries, preparing adjusted trial balance, and preparing multi-step income statement

Learning Objective 4, 5

2. Total Credits $463, 300

The unadjusted trial balance for Trudel Electronics Company at March 31, 2018, follows:

TRUDEL ELECTRONICS COMPANY Adjusted Trial Balance March 31, 2018
	Balance
Account Title	Debit	Credit
Cash	$ 4,000
Accounts Receivable	38,800
Merchandise Inventory	45,500
Office Supplies	6,500
Equipment	130,000
Accumulated Depreciation- Equipment		$ 36,800
Accounts Payable		17,400
Unearned Revenue		13,200
Notes Payable, long-term		48,000
Trudel, Capital		60,100
Trudel, Withdrawals	20,000
Sales Revenue		282,500
Cost of Goods Sold	160,600
Salaries Expense (Selling)	20,000
Rest Expense (Selling)	15,800
Salaries Expense (Administrative)	5,700
Utilities Expense(Administrative)	11,100
Total	$458,000	$458,000

Requirements

1. Journalize the adjusting entries using the following data:
a. Interest revenue accued, $200.
b. Salaries (Selling) accrued, $2,300.
c. Depreciation Expense-Equipment (Administrative), $1,300.
d. Interest expense accued, $1,500.
e. A physical count of inventory was completed. The ending Merchandise Inventory should have a balance of $45,200.
f Trudel estimates that approximately $6,000 of merchandise sold will be returned with a cost of $1,200.

Prepare Trudel Electronic’s adjusted trial balance as of March 31, 2018.

Prepare Trudel Electronics’s mufti-step income statement for year ended March 31, 2018.