The four-column schedule on page 170 represents the first four columns of a 10-

column work sheet to be prepared for Miller’s TV Repair Service for the month ended April 30, 19 _ (The completed adjustment columns have been included to minimize the detail work involved.) These adjustments were derived from the follow¬

ing information available at April 30. LO8

(a) Monthly rent expense, $300.

(b) Insurance expense for the month, $15.

(c) Advertising expense for the month, $150.

(d) Cost of supplies on hand, based on physical count on April 30, $390.

(e) Depreciation expense on equipment, $130 per month. *

(f) Accrued interest expense on notes payable, $35.

(g) Salaries earned by employees but not yet paid, $175.

(h) Services amounting to $400 were rendered during April for customers who had paid in advance. This portion of the Unearned Revenue account should be re¬

garded as earned as of April 30.

Instructions Prepare a 10-column work sheet utilizing the trial balance and adjust¬
ing data provided. Include at the bottom of the work sheet a brief explanation keyed to each adjusting entry.

Transcribed Image Text:

MILLER'S TV REPAIR SERVICE Work Sheet For the Month Ended April 30, 19. Trial Balance Adjustments Dr Cr Dr Cr Cash Prepaid rent. Unexpired Insurance 10,000 900 (a) 300 255 (b) 15 Prepaid advertising 590 (c) 150 Inventory of supplies 630 (d) 240 Equipment 11,700 Accumulated depreciation: equipment. Notes payable 1,040 8,000 (e) 130 Unearned revenue 1,200 (n) 400 B. R. Miller, capital 12,665 B. R. Miller, drawing. 1,500 Revenue from services 4,635 (h) 400 Salaries expense. 1,965 (g) 175 27,540 27,540 Rent expense (a) 300 Insurance expense. (b) 15 Advertising expense. Supplies expense Depreciation expense: equipment Interest expense (c) 150 (d) 240 (e) 130 (S) 35 Interest payable (s) 35 Salaries payable (g) 175 1,445 1,445