ACT 530-01, Fall 2020 Assignment 3 (12 points) Name: (first name, middle name astme) For Questions 1) through 4) below, prepare adjusting journal entries for the current month, August 2020. Each question is worth 1 point. (4 points) 1) The $10,000 bank loan (from Question 2) carries 6% annual interest, payable semi- annually on June 30 and December 31. The loan was taken out on August 15, 2020. Half month interest expense should be accrued. 2) The $3,000 equipment (from Question 4) has 5-year service life with no salvage value. The equipment was placed in service on August 15, 2020, and straight-line depreciation is used for the equipment. Half month depreciation expense should be accrued. 3) The insurance on the equipment was bought when the equipment was placed in service on August 15, 2020. Half month insurance expense should be accrued. 4) The company used about one third of supplies by the end of August. Post the adjusting journal entries for 1) through 4) to the T-accounts on Page 3. Set up new T- accounts as necessary Turn in Pages 3 and 4 together with the numbers posted from Assignment 2. ACT 530-01, Fall 2020 Assignment 4 (13 Points) Name: (first name, middle name, last name) Complete the adjustments and adjusted trial balance below. (Don't do "Closing.) (Company Name) Trial Balances As of August 31, 2020 Unadjusted Trial Balance Adjustments Adjusted Trial Balance Closing Dr. Dr. Cr. Dr. Cr 13,025 Accounts Dr. Cash Accounts Receivable 125 600 150 3,000 Prepaid Insurance Supplies Equipment Accumulated Depreciation Accounts Payable Interest Payable Notes Payable Common Stock 50 10,000 5,000 Retained Earnings 0 Sales Revenue 2,350 450 Rent Expenses Interest Expense Depreciation Expense Insurance Expense Supplies Expense Dividends 50 Total 17,400 17,400 ACT 530-01, Fall 2020 Assignment 5 (16 Points) Name: (first name, middle name, last name) 1. Fill out the financial statements below. (12 points) (Company Name) Income Statement For the Month Ended August 31, 2020 Sales Revenue Rent Expense Interest Expense Depreciation Expense Insurance Expense Supplies Expense Net Income (Company Name) Statement of Retained Earnings For the Month Ended August 31, 2020 Beginning Retained Earnings Add: Net Income Less: Dividends Ending Retained Earnings (Company Name) Balance Sheet As of August 31, 2020 Assets Liabilities Cash Accounts Payable Interest Payable Notes Payable Accounts Receivable Prepaid Insurance Supplies Equipment Accumulated Depreciation Total Assets Equity Common Stock Retained Earnings Total Liabilities and Equity 2. Prepare closing journal entries for the current period. (4 points)
