Question
Adjusted Entries and Adjusted Trial Balance Galloway Company is a small editorial services company owned and operated by Fran Briggs. On July 31, 2014 the
Adjusted Entries and Adjusted Trial Balance Galloway Company is a small editorial services company owned and operated by Fran Briggs. On July 31, 2014 the end of the current year, Galloway Company's accounting clerk prepared the unadjusted trial balance shown below. Galloway Company Unadjusted Trial Balance July 31, 2014
Debit Credit Cash 4010 Accounts Receivable 36420 Prepaid Insurance 6790 Supplies 1850 Land 107100 Building 193230 Accumulated Dep. Building 130,870 Equipment 128710 Accumulated Dep. Equipment 93,210 Accounts Payables 11,420 Unearned Rent 6,480 Fran Briggs, Capital 209,900 Fran Briggs, Drawings 14200 Fees earned 308,650 Salaries & Wages Exp. 183960 Utilities Expenses 40430 Advertising Exp. 21610 Repairs Expenses 16380 Misc. Exp. 5860 760,530 760,530
The data needed to determine year-end adjustments are as follows: a. Unexpired insurance at July 31, $4,550 b. Supplies on hand at July 31, $560 c. Depreciation of building for the year $3,010 d. Depreciation of equipment for the year $2,610 e. Rent unearned at July 31, $1,680 f. Accrued salaries and wages at July 31. $2,940 g. Fee earned but unbilled on July 31, $17,280
1. Journalize the adjusting entries using the following additional accounts: Salaries and Wages Payables; Rent Revenue; Insurance Expenses; Depreciation Expenses-Building; Depreciation Expense-Equipment and Supplies Expenses.
2. Determine the balance of the accounts affected by the adjusting entries and prepare an adjusted trial balance.
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