Accounts Debits Credits Cash $ 24,600 Accounts Receivable 15,400 Prepaid Insurance 12,000 Land 148,000 Accounts Payable $ 6,700 Deferred Revenue 5,800 Common Stock 143,000 Retained Earnings 44,500 Totals $200,000 $200,000 The following is a summary of the transactions for the year: 1. January 9 Provide storage services for cash, $134,100, and on account, $52,200. 2. February 12 Collect on accounts receivable, $51,500. 3. April 25 Receive cash in advance from customers, $12,900. 6 Purchase supplies on account, $9,200. 5. July 15 Pay property taxes, $8,500. 6. September 10 Pay on accounts payable, $11.400. 7. October 31 Pay salaries, $123,600. 8. November 20 Issue shares of common stock in exchange for $27,000 cash. 9. December 30 Pay $2,800 cash dividends to stockholders. 4. May customers d. Prepare an adjusted trial balance. e. Prepare an income statement, statement of stockholder's equity, and a balance sheet salaries expenses property tax expenses total 123600 8500 424000 424000 Dr. Adjusting journal entries Cr. (S) (S) AD 1 7000 insurance expenses To prepaid insurance (being adjustment made of expired insurance) 7000 AD 2 6300 supplies expenses To supply (adjustment made for supplies used) 6300 AD 3 deferred revenue 11800 To service revenue 11800 (being adjustment made for earned revenue) posting the adjustment entries into t-accounts insurance supplies expense expenses AD AD 1 7000 2 6300 Bal. 7000 Bal. 6300 supply prepaid insurance Beg. 6300 12000 AD 1 5000 AD 7000 Beg. 92002 Bal. 2900 Bal