* 179600 12:54 PM ezto.mheducation.com ·\'11 Verizon On July 31, 2016, after one
ID: 2588717 • Letter: #
Question
* 179600 12:54 PM ezto.mheducation.com ·'11 Verizon On July 31, 2016, after one month of operation, the general ledger of Michael Domenici, Consultant, contained the accounts and balances given below ACCOUNTS AND BALANCES 25,510 Dr 1,440 Dr. 960 Dr 10,500 Dr 2,220 Dr 400 Dr 14,760 Dr. Accounts Receivable Prepaid Rent Prepaid Insurance Prepaid Interest Furniture 7.250 Dr Notes Payable Accounts Payable Interest Payable Uneamed Consulting Fees Michael Domenici, Capital Michael Domenici, Drawing Consulting Fees Salaries Expense Utines Expense Telephone Expense Supplies Expense Rent Expense Insurance Expense Depreciation Expense Furniture 17,700 Cr 5,500 Cr. 6,000 Cr 32,520 C 3,000 Dr 9,000 Cr 4,200 Dr. 270 Dr 210 Dr. Interest Expense ADJUSTMENTS On July 31, an inventory of the supplies showed that items b. On July 1, the firm paid $10,500 in advance for six months of e On July 1, the firm purchased a one-year insurance policy for d On July 1, the firm paid $400 interest in advance on a four- e. On July 1the firm purchased office furniture for $14,760. The costing $630 were on hand. rent $2,220 month note that it issued to the bank. furniture is expected to have a useful life of eight years and a salvage value of $1,800 t On July 1, the firm purchased office equipment for $7.250. The equipment is expected to have a useful life of five years and a salvage value of $1,850 $9,800 advance for a one-year period. Complete the worksheet. On July 1, the firm issued a three-month, 6 percent note for h.On July 1, the firm received a consulting fee of $6,000 inExplanation / Answer
Interest Payable = ($9,800 x 6%) / 12 months
...........................= $49
Total amount the expense accounts were of the business adjusted = $2,639
Unadjusted Trial Balance Adjustment Adjusted Trial balance Debit Credit Debit Credit Debit Credit Cash $25,510 $25,510 Accounts Receivable $1,440 $1,440 Supplies $960 $330 $630 Prepaid Rent $10,500 $1,750 $8,750 Prepaid Insurance $2,220 $185 $2,035 Prepaid Interest $400 $100 $300 Furniture $14,760 $14,760 Accumulated Depreciation--Furniture $135 $135 Equipment $7,250 $7,250 Accumulated Depreciation--Equipment $90 $90 Notes Payable $17,700 $17,700 Accounts Payable $5,500 $5,500 Interest Payable $49 $49 Unearned Consulting Fees $6,000 $500 $5,500 Michael Domenici, Capital $32,520 $32,520 Michael Domenici, Drawing $3,000 $3,000 Consulting Fees $9,000 $500 $9,500 Salaries Expense $4,200 $4,200 Utilities Expense $270 $270 Telephone Expense $210 $210 Supplies Expense $330 $330 Rent Expense $1,750 $1,750 Insurance Expense $185 $185 Depreciation Expense-- Furniture $135 $135 Depreciation Expense-- Equipment $90 $90 Interest Expense (i) $100 $100 Interest Expense (k) $49 $49 Total $70,720 $70,720 $3,139 $3,139 $70,994 $70,994Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.