Refer to the data for Glenn Real Estate Appraisal in Problem 4-27A. After journalizing and posting Cilenn's adjusting and closing entries, prepare the company's income statement for the year ended June 30, 2009. L List expenses in descending order-largest first, second-largest next, and so on. 

Problem 4-27A

The unadjusted trial balance of Glenn Real Estate Appraisal at June 30, 2009 follows.

Adjustment data at June 30, 2009:

a. Prepaid insurance expired, \(\$ 3,000\).

b. Accrued service revenue, \(\$ 900\).

c. Accrued salary expense, \(\$ 700\).

d. Depreciation for the year, \(\$ 11,200\).

e. Supplies used during the year, \(\$ 200\).

Requirements 

1. Open T-accounts for Maggie Glenn, Capital and all the accounts that follow. Insert their unadjusted balances. Also open a T-account for Income Summary, which has a zero balance.

2. Journalize the adjusting entries and post to the accounts that you opened. Show the balance of each revenue account and each expense account.

3. Journalize the closing entries and post to the accounts that you opened. Draw double underlines under each account balance that you close to zero.

4. Compute the ending balance of Maggie Glenn, Capital.

Transcribed Image Text:

GLENN REAL ESTATE APPRAISAL Trial Balance June 30, 2009 Balance Account Title Debit Credit Cash $ 12.300 Accounts receivable 26,400 Supplies 1.200 Prepaid insurance 3.200 Building 70,700 Accumulated depreciation $ 33,200 Land 30,000 Accounts payable 39,100 Interest payable 1,400 Salary payable Maggie Glenn, capital 37,900 Maggie Glenn, withdrawals 45,300 Service revenue 109,800 Salary expense 21,400 Depreciation expense Insurance expense Utilities expense Supplies expense Total 3.100 4,300 3,500 $221,400 $221.400