Consider the unadjusted trial balance of Kingston, Inc., at March 31, 2015, and the related month-end adjustment data.

Adjustment data at March 31, 2015, include the following:
a. Accrued advertising revenue at March 31, $3,650.
b. Prepaid rent expired during the month. The unadjusted prepaid balance of $2,100 relates to the period March 2015 through June 2015.
c. Supplies used during March, $2,090.
d. Depreciation on furniture for the month. The furniture’s expected useful life is three years.
e. Accrued salary expense at March 31 for Monday, Tuesday, and Wednesday. The five-day weekly payroll is $10,500 and will be paid on Friday.

Requirements
1. Using Exhibit 3-9 as an example, prepare the adjusted trial balance of Kingston, Inc., at March 31, 2015. Key each adjusting entry by letter.
2. Prepare the monthly single step income statement, the statement of retained earnings, and the classified balance sheet. Draw arrows linking the threestatements.

Transcribed Image Text:

A1 Kingston, Inc. Trial Balance Worksheet March 31, 2015 Trial Balance Debit Adjustments CreditDebit Credit Deblt Adjusted Trial Balance Account Credit 11,200 2,900 Accounts recelvable repaid rent Supplies 2,400 63,000 8 Furniture 3,700 4,000 Accumulated deprecation, furniture 10 unts payable Salary payable ommon stock 13,000 52,300 13 Retained earnings Dividends 2,300 2,600 530 1 Service revenu 14,030 Salary expense Rent expense 19 Depreclation expense 2 Supplies expense 2 Tota 8703087030