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A. Enter the May 1 balances of each of the accounts in the appropriate balance column of a four-column account. Enter May 1 in the

A. Enter the May 1 balances of each of the accounts in the appropriate balance column of a four-column account. Enter May 1 in the date column. Write Balance in the item section, and enter X in the Posting Reference column.
B. Journalize the transactions for May, starting on Page 20 of the journal.*
2. Post the journal to the general ledger, extending the month-end balances to the appropriate balance columns after all posting is completed. In this problem, you are not required to update or post to the accounts receivable and accounts payable subsidiary ledgers.
3. Prepare an unadjusted trial balance. Accounts with zero balances can be left blank.
4. At the end of May, the following adjustment data were assembled. Analyze and use these data to complete (5) and (6).
A. Inventory on May 31, $570,000
B. Insurance expired during the year, $12,000
C. Store supplies on hand on May 31, $4,000
D. Depreciation for the current year, $14,000
E. Accrued salaries on May 31:
Sales salaries, $7,000
Office salaries, $6,600
Total accrued salaries: $13,600
F. The adjustment for customer returns and allowances is $60,000 for sales and $35,000 for cost of goods sold.
5. (Optional) On your own paper or spreadsheet, enter the unadjusted trial balance on a 10-column end-of-period spreadsheet (work sheet), and complete the spreadsheet.
6.
A. Journalize the adjusting entries. Record the adjusting entries on Page 22 of the journal.*
B. Post the adjusting entries.
7. Prepare an adjusted trial balance. Accounts with zero balances can be left blank.
* Refer to the Chart of Accounts for exact wording of account titles.

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