A B C E G K M Before you begin, print out all the pages in this workbook. 3 4 Roth Contractors Corporation was incorporated on December 1, 2019. 5 6 Required: 7 3 Part A 9 1 Prepare journal entries to record the December transactions shown on page 10 11 "Transactions Pt. A". General ledger account numbers and descriptions are not needed. 12 13 2 Post the entries to general ledger T-accounts. 15 16 Part B 17 3 Prepare all necessary adjusting entries based on the information shown on the printed 18 19 "Adj. Entries Pt. B" page. General ledger account numbers and descriptions are not 20 necessary. 21 Nm 4 22 4 Post the entries to general ledger T-accounts and calculate balances. 5 Prepare an adjusted trial balance at December 31. 24 25 26 27 28 29 30 31 32 3 6 Prepare an income statement, statement of changes in equity, and balance sheet. Assume the fiscal year-end is December 31, 2019. 7 Prepare closing entries and a post-closing trial balance at December 31, 2019. 34 2019 December a. b. C. d. e. f. 8 h 2 Transactions Amount Issued common stock for cash 9,000 Paid cash for three month's rent: December 2019, January and February 2020 2,700 Purchased a used truck on credit (recorded as an account payable) 5,000 Purchased supplies on credit. These are expected to be used during the month (recorded as expe 1,800 Paid for a one-year truck insurance policy, effective December 1 2,160 Billed a customer for work completed to date 9,000 Collected cash for work completed to date 4,000 Paid the following expenses in cash: Advertising 700 Interest 800 Telephone 700 Truck operating 700 Wages 1,000 Collected part of the amount billed in f above 2,500 Billed customers for work completed to date 7,000 Signed a contract for work to be performed in January 2020 7,000 Paid the following expenses in cash: Advertising 900 Interest 800 Truck operating 900 Wages 1,000 Collected an advance on work to be done in January (the policy of the coproration is to record such advances as revenue at the the time they are received) 4,000 Received a bill for electricity used during the month (recorded as utilities expense) 600 i. j. k. I. m. n. 2019 December 0. p. q. r. Adjusting Entries Amount One month of the prepaid insurance has expired. The December portion of the rent paid on December 1 has expired. Counted supplies and found this amount still on hand (recorded the amount used as an expense) $400 The amount collected in transaction m is unearned at December 31. $4,000 Three days of wages for December 29, 30, and 31 are unpaid. These will be paid in January. $2,900 One month of depreciation needs to be recorded. Estimated useful life of truck in years 3 Income taxes expense to be paid in the next fiscal year. $1,595 S. t. u. A B C D LU F G H N o P Q R S T J K L M Roth Contractors Corporation Cash Accounts Payable Repair Revenue Rent Expense Supplies Expense 3 Accounts Receivable Wages Payable Advertising Expense Telephone Expense 3 Unearned Repair Revenue 4 5 Prepaid Insurance Income Taxes Payable Depreciation Exp. - Truck Truck Operating Expense 3 3 Prepaid Rent Common Stock Insurance Expense Utilities Expense 1 2 3 Unused Supplies Interest Expense 5 5 Wages Expense Truck 3 3 Acc. Dep'n - Truck Income Taxes Expense 1 2 3 4 Roth Contractors Corporation GENERAL JOURNAL Dec. 2019 Description F Debit Credit Roth Contractors Corporation Adjusted Trial Balance At December 31, 2019 Accounts Balances Debit Credit Closing Entries Debit Credit Post-closing Trial Balance Debit Credit # # Account Title Cash Accounts Receivable Prepaid Insurance Prepaid Rent Unused Supplies Truck Accum. Dep'n. - Truck Accounts Payable Wages Payable Income Taxes Payable Unearned Revenue Common Stock Retained Earnings Income Summary Repair Revenue Advertising Expense Dep'n. Expense - Truck Insurance Expense Interest Expense Rent Expense Supplies Expense Telephone Expense Truck Operating Expense Utilities Expense Wages Expense Income Taxes Expense Roth Contractors Corporation Income Statement For the Month Ended Dec. 31, 2019 Revenue Roth Contractors Corporation Balance Sheet At December 31, 2019 Assets Expenses Liabilities Roth Contractors Corporation Statement of Changes in Equity For the Month Ended December 31, 2019 Stockholders' Equity Commo n stock Retained earnings Total equity Opening balance Ending balance