Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

101 106 109 $ 26,000 61.000 -0- 50,000 5.300 3,400 27,000 84.000 126 128 131 161 162 201 210 233 301 302 401 409 $

image text in transcribed
101 106 109 $ 26,000 61.000 -0- 50,000 5.300 3,400 27,000 84.000 126 128 131 161 162 201 210 233 301 302 401 409 $ 28,000 18.000 -0. Cash Accounts receivable Interest receivable. Notes receivable Supplies. Prepaid insurance Prepaid rent Office furniture. Accumulated depreciation, office furniture..... Accounts payable. Wages payable Unearned consulting revenue Jeff Moore, capital Jeff Moore, withdrawals. Consulting revenue Interest income. Depreciation expense, office furniture. Wages expense.. Insurance expense.. Rent expense. Supplies expense. Totals. 26,000 223,000 28.000 232,020 480 601 -0- 192.000 622 0- 637 640 650 44,000 6.800 $527.500 $527.500 Rainmaker prepares adjsutments each October 31. The following additonal information is available on October 31, 2020. 1. It was determined that $ 12,000 of unearned consulting revenue has not yet been earned. 2. It was discovered that $ 14,000 of the balance in Consulting Revenue Account was for Services to be performed in November 3. The Balance in Prepaid Rent Account Represents 3 months of rent beginning September 1, 2020. 4. Accrued Wages at October 31 totals $ 6,800, 5. The office Furniture was purchased on March 1, 2019 and has an estimated useful life of two years. After two years furniture will be worthless. Rainmaker uses Straight Line Method for calcualting depreciation. (Depreciation under SLM - (Cost-Residual Value) Useful Life) 6. Accrued Consulting Revenue at the year end totalled $ 4,200 7. Interest of $ 85 had accrued on the note receivable, fo the month of October. 8. The Balance in prepaid Insurance account represents the remaining balance of two year policy purchased on April 1, 2019 9. A count of supplies on october 31, revealed a balance remaining of $ 620

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Audit Committee Handbook

Authors: Louis Braiotta Jr.

3rd Edition

0471345768, 978-0471345763

More Books

Students also viewed these Accounting questions