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Adjustments: a. Unrecorded depreciation on the equipment at the end of the year is $3,500 b. Total amount of accrued interest expense at year-end
Adjustments: a. Unrecorded depreciation on the equipment at the end of the year is $3,500 b. Total amount of accrued interest expense at year-end is $6,000 c. Cost of unused supplies still available at year-end is $10,000 d. Expired insurance coverage at the year-end is $1,000 1. Work Sheet TAYLOR COMPANY Work Sheet For Year Ended December 31 Unadjusted Trial Balance Adjustments Adjusted Trial Balance Income Statement Balance Sheet & Statement of Owner's Equity Account Title Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit Cash Supplies Prepaid insurance Equipment 20,000 13,000 10,000 24,000 Accumulated depreciation - Equipment 4,000 Interest payable 5,000 S. Taylor, Capital 45,000 S. Taylor, Withdrawals 7,000 Services revenue 60,000 Depreciation expense - Equipment Salaries expense 22,000 Insurance expense 3,000 Interest expense Supplies expense Totals Net Income Totals 5,000 10,000 114,000 114,000
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