The general ledger of Goodwoods' for selected accounts showed the following balances at the end of its financial year, 31 March

Required
(a) Prepare adjusting entries for the accounts based on the following data that are not yet recorded.
i.     Insurance expired during the year, \($9800.
ii.    Wages earned by employees but not paid at year-end, \($13\) 700.
iii.     Interest accrued but not yet received on bills receivable, \($4600.
(b) Open T accounts for each of the accounts listed. Enter the 31 March balances and the adjusting entries.
(c) Enter in the appropriate accounts the effects of the closing entries that would be made at year-end.
(d) Complete the following table.

(e) Goodwoods follows the practice of making reversing entries. Prepare the reversing entries that would be made on 1 April of the next period.
(f) Record the payment of \($18\) 000 in weekly wages on 3 April and the collection of \($4500\) in interest on 18 April. What are the balances in the Wages Expense and Interest Revenue after these entries are posted?
(g) Prepare the two entries given in requirement (f) assuming the company did not prepare reversing entries.

Transcribed Image Text:

Prepaid insurance Wages expense 31/3 Bal. 16 900 31/ Bal. 763 300 Insurance expense 31/3 Bal. 0 Interest revenue Interest receivable 31/3 Bal. 0 R 31/3 Bal. 41 Wages payable 31/3 Bal.