Rowland Company is a small editorial services company owned and operated by Marl
ID: 2415556 • Letter: R
Question
Rowland Company is a small editorial services company owned and operated by Marlene Rowland. On August 31, 2016, the end of the current year, Rowland Company’s accounting clerk prepared the following unadjusted trial balance:
Rowland Company
UNADJUSTED TRIAL BALANCE
August 31, 2016
1
Cash
7,420.00
2
Accounts Receivable
38,360.00
3
Prepaid Insurance
7,320.00
4
Supplies
2,390.00
5
Land
117,000.00
6
Building
154,900.00
7
Accumulated Depreciation-Building
85,745.00
8
Equipment
130,900.00
9
Accumulated Depreciation-Equipment
97,550.00
10
Accounts Payable
11,735.00
11
Unearned Rent
7,130.00
12
Common Stock
74,895.00
13
Retained Earnings
152,750.00
14
Dividends
14,705.00
15
Fees Earned
325,550.00
16
Salaries and Wages Expense
193,870.00
17
Utilities Expense
42,220.00
18
Advertising Expense
22,740.00
19
Repairs Expense
17,455.00
20
Miscellaneous Expense
6,075.00
21
Totals
755,355.00
755,355.00
The data needed to determine year-end adjustments are as follows:
Determine the balances of the accounts affected by the adjusting entries, and prepare an adjusted trial balance.
Trying to do a jounral, and ADJUSTED TRIAL BALANCE
ACCOUNT TITLE DEBIT CREDIT1
Cash
7,420.00
2
Accounts Receivable
38,360.00
3
Prepaid Insurance
7,320.00
4
Supplies
2,390.00
5
Land
117,000.00
6
Building
154,900.00
7
Accumulated Depreciation-Building
85,745.00
8
Equipment
130,900.00
9
Accumulated Depreciation-Equipment
97,550.00
10
Accounts Payable
11,735.00
11
Unearned Rent
7,130.00
12
Common Stock
74,895.00
13
Retained Earnings
152,750.00
14
Dividends
14,705.00
15
Fees Earned
325,550.00
16
Salaries and Wages Expense
193,870.00
17
Utilities Expense
42,220.00
18
Advertising Expense
22,740.00
19
Repairs Expense
17,455.00
20
Miscellaneous Expense
6,075.00
21
Totals
755,355.00
755,355.00
Explanation / Answer
Answer 1:
(Insurance expense for the period recorded)
Prepaid expense given in the trial balance ($ 7320) and un expired insurance at the end of period is also given ($ 5,850). So, expense for the period is $ 7320 - $ 5850 = $ 1470
Supplies expense for the period recorded
Supplies given in the trial balance ($ 2390) and supplies on hand at the end of period is also given ($ 310). So,supplies expense for the period is $ 2390 - $ 310 = $ 2080
(Rent revenue for the period recorded)
un earned rent given in the trial balance ($ 7130) and rent unearned at the end of period is also given ($ 1495). So, rent revenue for the period is $ 7130 - $ 1495 = $ 5635
Answer 2:
Adjusted Trial Balance
Srl. No. Particular Debit ($) Credit ($) a Insurance Expense A/c 1470 To Prepaid Expense A/c 1470(Insurance expense for the period recorded)
Prepaid expense given in the trial balance ($ 7320) and un expired insurance at the end of period is also given ($ 5,850). So, expense for the period is $ 7320 - $ 5850 = $ 1470
b Supplies Expense A/c 2080 Supplies A/c 2080Supplies expense for the period recorded
Supplies given in the trial balance ($ 2390) and supplies on hand at the end of period is also given ($ 310). So,supplies expense for the period is $ 2390 - $ 310 = $ 2080
c Depreciation Expense-Building A/c 7750 Accumulated Depreciation Building A/c 7750 (Depreciation expense for the period recorded) d Depreciation Expense-Equipment A/c 4220 Accumulated Depreciation Expense-Equipment A/c 4220 (Depreciation expense for the period recorded) e Un earned Rent A/c 5635 Rent Revenue A/c 5635(Rent revenue for the period recorded)
un earned rent given in the trial balance ($ 7130) and rent unearned at the end of period is also given ($ 1495). So, rent revenue for the period is $ 7130 - $ 1495 = $ 5635
f Salaries and wages expense A/c 3040 Salaries and wages expense payable A/c 3040 salaries and wages expense recorded for the period g Account receivable A/c 11185 Fees earned A/c 11185 Fees earned debited to account receivable accountRelated Questions
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