1: Balance Day Adjustments and Posting to General Ledgers (26 marks) Below is the unadjusted Trial Balance for the year ending 30 June 2022 for "Silver Masts Accommodation", a business specialising in providing short stay accommodation in newly renovated historical homes. It is owned and operated by Suzanna. Suzanna is the sole proprietor and keeps records of the business in good order with the help of a bookkeeper. At year end the bookkeeper sends the required information to Copeland & Johnson Accounting Services who complete the necessary balance day adjustments and prepare the end of year financial statements. Silver Masts Accommodation Unadjusted Trial Balance For the year ending 30 June 2022 Cleaning Expense - Accommodation Gas Expense-Office Water Expense-Accommodation Gas Expense - Accommodation Motor Vehicle Cash at Bank Term Deposit-matures 1 August 2025 Furniture & Fittings - Accommodation Debit (5) Credit (5) 65 400 2100 23752 12884 45 000 41 896 200000 167630 Office Equipment 7824 Rental Returns & Allowances 1060 Interest expense 9200 Electricity Expense Accommodation 17400 Capital, Sa 264 475 Accounts Receivable 650 Loun 78 550 Accumulated Depreciation-Motor Vehicle 9000 Rent Expense-Office 30256 Bookkeepers Wages Expense 41454 Laundry Expense 45490 Mobile Phone and Internet Expense 3600 Advertising Expense 24 700 Cleaning Expense-Office 20000 Accounts Payable 10233 Office Supplies Expense 2350 Drawings, S 53065 Repairs & Maintenance Expense-Accommodation 182683 Repairs and Maintenance Payable 10700 Rental Sales Revenue 636 701 Accumulated Depreciation-Furniture & & Fittings 32625 Accrued Rent Office 2250 Discount Allowed Accommodation 1300 Insurance Expense Office Insurance Expense-Accommodation Totals 18840 26 000 1044 5341044 534 On the following page is additional information that Suzanna has provided to you in relation to the year ended 30 June 2022. QUESTION 1: Balance Day Adjustments and Posting to General Ledgers (continued) You are a Graduate Accountant at Copeland & Johnson Accounting Services. It is now the end of the financial year and based on the information provided below by Suzanna, you have been asked you to prepare any necessary balance day adjusting journals. Bookkeepers' wages which are payable but have not yet been recorded as at 30 June 2022 are $9,350. Both the Furniture & Fittings and the Motor Vehicle are expected to be used evenly over their useful lives. The expected total useful lives and residual values of both assets is as follows: Estimated Useful life Estimated Residual Furniture & Fittings Motor Vehicle 10 years 8 years $5,000 $15,000 3. During the year, Suzanna also purchased a new computer and printer package for the office. The package cost $7,824 and was purchased on 1 February 2022. Suzanna has estimated that the computer and printer package depreciate by 25% per year with no residual value. 4 On 30 June 2022, Suzanna reviewed her outstanding Accounts Receivable balance. Based on her previous experience, she has estimated that 3% of this balance is unlikely to be collected. A customer paid $3,720 on the 25 June 2022 for an accommodation booking commencing on the 25 August 2022. At the time the money was received, Suzanna recorded this amount as Rental Sales Revenue. On 1 November 2021, Suzanna took out a 2-year insurance policy for the office for the first time which cost $18,840. This policy was recorded as Insurance Expense - Office. 2. Suzanna's last mobile phone and internet bill for the business was for the month ending 31 May 2022, and this account was paid in early June. She has not yet received the June account but has estimated that the cost of her telephone and internet usage up until 30 June 2022 was $300. On the 30th June Suzanna shut the office for the afternoon and met with her friends Mei and Louise at Harbourside Cafe to celebrate Mei's birthday. Suzanna paid $120 from her personal bank account for the lunch. Part 1 [20 marks] REQUIRED: Use the General Journal document provided on the next page to record the correctly formatted journal entries required and include a narration (explanation) for each entry. If an entry is not required, please state 'no entry required' and explain why the entry is not required referring to the appropriate accounting assumption/concept presented in the ACCT1008 course materials. QUESTION 1: Balance Day Adjustments and Posting to General Ledgers (continued) General Journal Date Details Debit (5) Credit (5) | QUESTION 1: Balance Day Adjustments and Posting to General Ledgers (continued) Part 2 marks] REQUIRED: [6 2) Suzanna is unsure how to complete the General Ledger accounts and asked for some assistance. Post the relevant Balance Day Adjustment Journals from Part I to the General Ledgers provided. Both ledgers must be footed. ***use the tab function to navigate through the ledgers. It is acceptable to abbreviate account names if required for formatting. ***only complete the ledgers provided-do not create any more ledger accounts. Rental Sales Revenue Date Details Date D Insurance Expense-Office Date Details Date D QUESTION 2: Financial Statement (34 marks) Suzanna's business Silver Masts Accommodation is located in a very