Adjutsment data consist of the following:

1. Supplies on hand at September 30 cost $1,000.
2. Accrued salaries payable at September 30 total $630.
3. The equipment has an expected useful life of five years.
4. Unearned revenue of $450 is still not earned at September 30.
5. Interest is payable on the first of each month.

Instructions

1. Journalize and post adjusting entries.
2. Prepare an adjusted trial balance at September 30.
3. Prepare an income statement and a statement of owners equity, and a classified balance sheet.
4. Prepare and post-closing entries.
5. Prepare a post-closing trial balance at September 30.

Alou Equipment Repair has a September 30 year end. The company adjusts and closes its accounts on an annual basis. On August 31, 2024, the account balances of Alou Equipment Repair were as follows: During September, the following transactions were completed: Sept. 1 Borrowed $10,000 from the bank and signed a two-year, 5% note payable. 2 Paid September rent, $500. 8 Paid employee salaries, $1,050. 12 Received $1,500 cash from customers on account. 15 Received $5,700 cash for services performed in September. 17 Purchased additional supplies on account, $1,300. 20 Paid creditors $2,300 on account. 21 Paid September telephone bill, \$200. 22 Paid employee salaries, $1,050. 27 Performed services on account and billed customers for services provided, $900. 29 Received $550 from customers for services to be provided in the future. 30 Paid J. Alou $800 cash for personal use