The trial balance of A-1 Web Design, Inc., at June 30, 2018, and the data needed for the month-end adjustments follow:

a. Insurance coverage still remaining at June 30, $575

b. Supplies used during the month, $875

c. Depreciation for the month, $1,650

d. Accrued utilities expense at June 30, $235 (use Accounts Payable as the liability account needed)

e. Accrued salaries at June 30, $450

f. Service revenue still unearned at June 30, $1,900

Requirements

1. Open T-accounts for the accounts listed in the trial balance and insert their June 30 unadjusted balances.

2. Journalize the adjusting entries and post them to the T-accounts. Reference the posted amounts by letters (a) through (f). Calculate the adjusted balance in each account.

3. Prepare the adjusted trial balance at June 30, 2018.

4. How will the company use the adjusted trial balance?

Transcribed Image Text:

A-1 Web Design, Inc. Trial Balance June 30, 2018 ACCOUNT DEBIT CREDIT $ 11,700 2,650 Cash Accounts Receivable Prepaid Insurance Supplies Equipment Accumulated Depreciation, Equipment Accounts Payable Salaries Payable 2,300 1,500 35,500 $ 7,900 1,850 Unearned Service Revenue 3,000 25,000 Common Stock Retained Earnings 6,600 2,800 Dividends Service Revenue 15,700 Salaries Expense Insurance Expense 3,600 Depreciation Expense, Equipment Utilities Expense Supplies Expense $ 60,050 $ 60,050 Total