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3-1B(note Set B problem and NOT Set Aproblems). Jason started his own company on June 1, 2017. The trial balance at June 30 is shown
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3-1B(note "Set B" problem and NOT "Set A"problems). Jason started his own company on June 1, 2017. The trial balance at June 30 is shown below. Trial Balance Account Debit Credit Cash $ 7,150 Accts Receivable 6,000 Supplies 2,000 Prepaid Insurance 3,000 Equipment 15,000 Accounts Payable $ 6,250 Unearned Revenue Common Stock 4,000 20,100 Service Revenue 7,900 Salaries Expense Rent Expense Totals 4,000 1,000 $38,150 $38,150 In addition to the above accounts, Jason Company also uses these accounts: Accumulated Depreciation- Equipment, Salaries Payable, Supplies Expense, Depreciation Expense, Insurance Expense, and Utilities Expense. Other data: 1. Supplies on hand at June 30 are $750. (Hint: $750 was not "used-up". Calculate how much was used-up.) 2. A utility bill for $150 has not been recorded and will not be paid until next month. (Question: when you pay it is not relevant... WHEN did you "use-up" the utilities?) 3. The insurance policy is for a year. (Hint: At the end of June, do you still have 12 months of insurance coverage? If not, how much was "used up"? Make the adjustment.) 4. $2,800 of the existing Unearned Service Revenue balance, has been "earned". It should be recognized for services performed during the month. (Hint: Once I complete work already paid for, the liability (UNEARNED...) goes away since I have "eamed" the Revenue when I completed the worked.) 5. Salaries of $2,900 are accrued at June 30. 6. The equipment has a 5-year (60 months) useful life with no salvage value. Calculate "straight- line" depreciation. (Hint: Equipment cost divided by useful life. (Note you are making the entry for JUNE only-not all 60 months). 7. Invoices (bills to customers) representing $1,700 of services performed during the month have not been recorded as of June 30. Instructions... complete only instruction (a) (a) Prepare the adjusting entries for the month of June
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