Problem 4-2A Applying the accounting cycle LO C1, C2, P2, P3 [The following info
ID: 2479915 • Letter: P
Question
Problem 4-2A Applying the accounting cycle LO C1, C2, P2, P3
[The following information applies to the questions displayed below.]
1,900
Using account balances from part 6.2, prepare an unadjusted trial balance as of April 30.
I NEED THE ANSWER FOR THE BELOW
Journalize the adjusting entries for the month and then post to section 6.2. (Do not round intermediate calculations.)
1.
Two-thirds (or $167) of one month’s insurance coverage has expired.
2.
At the end of the month, $500 of office supplies are still available.
3.
This month’s depreciation on the computer equipment is $500.
4.
Employees earned $360 of unpaid and unrecorded salaries as of month-end.
5.
The company earned $1,500 of commissions that are not yet billed at month-end.
Problem 4-2A Part 5
Prepare the income statement for the month of April 30, 2013.
Prepare the statement of owner's equity for the month of April 30, 2013.
Prepare the balance sheet at April 30, 2013.
Prepare journal entries to close the temporary accounts and then post to section 6.2.
transaction list×
1.
Record closing of the revenue account.
2.
Record closing of the expense accounts.
3.
Record closing of income summary.
4.
Record closing of the withdrawals account.
Post the journal entries to the ledger.
Prepare the adjusted trial balance as of April 30.
Prepare a post-closing trial balance. (Please prepare your trial balance in chart of accounts order given in the question.)
On April 1, 2013, Jiro Nozomi created a new travel agency, Adventure Travel. The following transactions occurred during the company’s first month.Explanation / Answer
Adjusted Trial Balances April 30, 2013
Particulars ::::::::::::::::::::::::::::::Debit:::::::::::::::::::::::::::Credit
Cash :::::::::::::::::::::::::::::::::::::$34,950
Accounts Receivable:::::::::::::::::0
Office Supplies Expense:::::::$1,900
Prepaid Insurance::::::::::::::::::$3,000
Computer equipment ::::::::::::$40,000
Accumulated depreciation—:::::::::::::::::::::::::::::::::::::::::::0
Salaries Payable::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::0
Nozomi, Capital::::::::::::::::::::::::::::::::::::::::::::::::::::::$81,000
Nozomi, Withdrawals:::::::::::::$1,900
Commission Earned:::::::::::::::::::::::::::::::::::::::::::::::::$8,000
Depreciation expense— ::::::::::::::0
Salaries Expense:::::::::::::::::::::$3,200
Insurance expense::::::::::::::::::::::::0
Rent Expense::::::::::::::::::::::::::$2,500
Office supplies expense:::::::::::$0
Repairs expense:::::::::::::::::::::::: $300
Telephone expense :::::::::::::::::::$1,250
_____________________________________________________
Total ::::::::::::::::::::::::::::::::::::::::$89,000::::::::::::::::::::$89,000
______________________________________________________
Journalize the adjusting entries for the month
Date::::::::::::::::Particulars::::::::::::::::::::::::::::::::::::::::::::::::::LF:::::::::::::::::::Debit:::::::::::::::::Credit
1):::::::::::::::::::::By Insurance a/c Dr ::::::::::::::::::::::::::::::N/A :::::::::::::::::$167
To Prepaid Insurance A/c ::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::$167
________________________________________________________________________________
2)::::::::::::::::::::::By Office supplies Expense A/c:::::::::::::::N/A::::::::::::::::$1,400
To Office Supplies A/c :::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::$1,400
________________________________________________________________________________
3):::::::::::::::::::By Depreciation Expense A/c::::::::::::::::::::N/A:::::::::::::::::::$500
To accumulated Depreciation A/c::::::::::::::::::::::::::::::::::::::::::::::::::::::::::$500
_________________________________________________________________________________
4:::::::::::::::::By Salary expense A/c:::::::::::::::::::::::::::::::::N/A:::::::::::::::::::::::$360
::::::::::::::::::::::::::To Salaries payable A/c :::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::$360
_______________________________________________________________________________
5:::::::::::::::::BY Accounts Receivable A/c Dr ::::::::::::::::::::N/A:::::::::::::::::::::$1,500
::::::::::::::::::::::::::To Commission Earned A/c::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::$1,500
________________________________________________________________________________
Income statement for the month of April 30, 2013.
Particulars:::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::Amount
REvenue:::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::$9,500
Expenses:
Depreciation Expenses:::::::$500
Salary Expenses:::::::::::::::::$3,560
Insurance Expenses :::::::::::$167
Rent Expenses::::::::::::::::::::$2,500
Office Supplies Expenses::::$1,400
Telephone Expenses :::::::::::$1,250
Repairs Expense:::::::::::::::::::::$300
________________________________________$9,677
_____________________________________________
Net Loss:::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::(177)
______________________________________________________________________________________
Statement of owner's equity for the month of April 30, 2013.
Particulars::::::::::::::::::::::::::::::::::::::::::::::::::Amount:::::::::::::::::::Amount
Nozomi Capital:::::::::::::::::::::::::::::::::::::::::$81,000
Less: Net loss::::::::::::::::::::::::::::::::::::::::::::::::$177
________________________________________________$80,823
Less: Withdrawls::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::$1,900
________________________________________________________
Nozomi Capital as on April 30, 2013:::::::::::::::::::::::::::::::::::::::$78,923
____________________________________________________________________________________
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