London Amusement Park Inc. has a fiscal year ending on September 30. Selected data from the September 30 work sheet are presented below.

Instructions

(a) Prepare a complete work sheet.

(b) Prepare a classified balance sheet. (Note: $10,000 of the mortgage payable is due for payment in the next fiscal year.)

(c) Journalize the adjusting entries using the work sheet as a basis.

(d) Journalize the closing entries using the work sheet as a basis.

(e) Prepare a post-closing trial balance.

Transcribed Image Text:

LONDON AMUSEMENT PARK INC. Work Sheet For the Year Ended September 30, 2006 Trial Balance Adjusted Trial Balance Dr. Cr. Dr. Cr. Cash 41.400 41,400 Supplies 18,600 1,200 Prepaid Insurance 31.900. 3,900 Land 80.000) 80,000 Equipment 120,000 120.000 Accumulated Depreciation 36.200 42.200 Accounts Payable 14,600 14.600 Unearned Admissions Revenue 3,700 1,000 Mortgage Payable 50,000 50,000 Common Stock 100,000 100,000 Retained Earnings 9,700 9,700 Dividends 14.000 14.000 Admissions Revenue 277,500 280,200 Salaries Expense 105,000 105,000 Repair Expense 30,500 30,500 Advertising Expense 9.400 9,400 Utilities Expense 16,900 16.900 Property Taxes Expense 18.000 21,000 Interest Expense 6,000 10,000 Totals. 491.700 491,700. Insurance Expense 28,000 Supplies Expense Interest Payable Depreciation Expense Property Taxes Payable": Totals 17.400 4,000 6,000 3,000 504.700 504,700