Alpha Graphics Company SA was organized on January 1, 2017. At the end of the first 6
Question:
Analysis reveals the following additional data.
1. The ¬3,900 balance in Supplies Expense represents supplies purchased in January. At June 30, ¬680 of supplies are on hand.
2. The note payable was issued on February 1. It is a 9%, 6-month note.
3. The balance in Insurance Expense is the premium on a 1-year policy, dated March 1, 2017.
4. Service revenues are credited to revenue when received. At June 30, service revenue of ¬1,100 is still not performed for the customer.
5. Depreciation is ¬2,250 per year.
Instructions
(a) Journalize the adjusting entries at June 30. (Assume adjustments are recorded every 6 months.)
(b) Prepare an adjusted trial balance.
(c) Prepare an income statement and a retained earnings statement for the 6 months ended June 30 and a statement of financial position at June 30.
Step by Step Answer:
Financial Accounting
ISBN: 978-1118978085
IFRS 3rd edition
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso