Adjusting Entries

The trial balance of Ty's business which started only on November 1, 2021 appears with the following information:

a) Computer system has a useful life of 5 years after which scrap value will be P5,000.

b) The office equipment has a useful life of 5 years, scrap value is P20,000.

c) Supplies unused amounted to P500.

d) Revenue includes P7,500 already collected but not due for consultancy until 2022.

e) December utility bills for P5,000 were received on January 2022.

f) Salaries have not been paid for P15,000.

g) It is estimated that 1% of accounts receivable is doubtful for collection.

Business Solution Company Trial Balance December 31,2021 Cash on hand Cash in bank Accounts Receivable Computer Supplies Computer System Ofice Equipment 1y. Capital 596 30-day note issued December 15 Ty, Drawings Computer Fees Revenue Advertising Repairs Salaries Totals