2. You have just taken a job as the accountant for a stucco repair firm whose accounting year ends on December 31. As part of the management team, you receive a year-end bonus directly related to the firm's eamings for the year. One of your duties is to review the journal entries recorded by the bookkeepers. A new bookkeeper prepared the following journal entry: Dec. 12 Cash 20,000 Service Revenue 20,000 To record deposit from client. You notice that the explanation for the journal entry refers to the amount as a deposit, and the bookkeeper explains to you that the fim plans to provide the services to the client in March of the following year. Required: 1. Did the bookkeeper prepare the correct journal entry to account for the client's deposit? Explain your answer. 2. What is your responsibility in this situation as the new accountant for the firm? Explain your answer. 1. The following list of accounts was taken from the general ledger of Bassett Corporation on December 31, 2016. The bookkeeper thought it would be helpful if the accounts were arranged in alphabetical order. Each account contains the balance that is normal for that type of account; for example, Cash normally has a debit balance. Prepare a trial balance as of this date with the accounts arranged in the following order: (1) assets, (2) liabilities, (3) stockholders' equity, (4) revenues, (5) expenses, and (6) dividends. a Accounts Payable Accounts Receivable Automobiles Buildings Capital Stock Cash Commissions Expense Commissions Revenue Dividends Equipment Heat, Light, and Water Expense Income Tax Expense Income Taxes Payable Interest Revenue Land Notes Payable Office Salaries Expense Office Supplies Retained Earnings $ 8,650 5,325 9,200 150,000 100,000 11,500 2,600 12,750 2,000 85,000 1,400 1,700 2,500 1,300 50,000 90,000 6,000 500 110,025 BASSETT CORPORATION TRIAL BALANCE DECEMBER 31, 2016 ANSWER: Dr. Cr