Appendix: Adjustment Data on an End-of-Period Spreadsheet Alert Security Services Co. offers security services to business clients. The trial balance for Alert Security Services Co. has been prepared on the following end-of-period spreadsheet for the year ended October 31, 20Y5. In addition, the data for year-end adjustments are as follows: Fees earned but not yet billed, $22. Supplies on hand, $5. Insurance premiums expired, $27. Depreciation expense, $11. Wages accrued but not paid, $11. Enter the adjustment data and place the balances in the Adjusted Trial Balance columns. If an amount box does not require an entry, leave it blank. Alert Security Services Co. End-of-Period Spreadsheet (Work Sheet) For the Year Ended October 31, 20Y5 Unadjusted Trial Balance Adjustments Adjusted Trial Balance Account Title Dr. Cr. Dr. Cr. Dr. Cr. Cash 81 fill in the blank 1 fill in the blank 2 fill in the blank 3 fill in the blank 4 Accounts Receivable 216 fill in the blank 5 fill in the blank 6 fill in the blank 7 fill in the blank 8 Supplies 22 fill in the blank 9 fill in the blank 10 fill in the blank 11 fill in the blank 12 Prepaid Insurance 32 fill in the blank 13 fill in the blank 14 fill in the blank 15 fill in the blank 16 Land 270 fill in the blank 17 fill in the blank 18 fill in the blank 19 fill in the blank 20 Equipment 108 fill in the blank 21 fill in the blank 22 fill in the blank 23 fill in the blank 24 Accumulated Depreciation 11 fill in the blank 25 fill in the blank 26 fill in the blank 27 fill in the blank 28 Accounts Payable 97 fill in the blank 29 fill in the blank 30 fill in the blank 31 fill in the blank 32 Wages Payable 0 fill in the blank 33 fill in the blank 34 fill in the blank 35 fill in the blank 36 Brenda Schultz, Capital 507 fill in the blank 37 fill in the blank 38 fill in the blank 39 fill in the blank 40 Brenda Schultz, Drawing 22 fill in the blank 41 fill in the blank 42 fill in the blank 43 fill in the blank 44 Fees Earned 243 fill in the blank 45 fill in the blank 46 fill in the blank 47 fill in the blank 48 Wages Expense 54 fill in the blank 49 fill in the blank 50 fill in the blank 51 fill in the blank 52 Rent Expense 32 fill in the blank 53 fill in the blank 54 fill in the blank 55 fill in the blank 56 Insurance Expense 0 fill in the blank 57 fill in the blank 58 fill in the blank 59 fill in the blank 60 Utilities Expense 16 fill in the blank 61 fill in the blank 62 fill in the blank 63 fill in the blank 64 Supplies Expense 0 fill in the blank 65 fill in the blank 66 fill in the blank 67 fill in the blank 68 Depreciation Expense 0 fill in the blank 69 fill in the blank 70 fill in the blank 71 fill in the blank 72 Miscellaneous Expense 5 fill in the blank 73 fill in the blank 74 fill in the blank 75 fill in the blank 76 Totals 858 858 fill in the blank 77 fill in the blank 78 fill in the blank 79 fill in the blank 80

2)

Financial Statements and Closing Entries

The Gorman Group is a financial planning services firm owned and operated by Nicole Gorman. As of October 31, 20Y3, the end of the fiscal year, the accountant for The Gorman Group prepared an end-of-period spreadsheet, part of which follows:

The Gorman Group End-of-Period Spreadsheet For the Year Ended October 31, 20Y3
	Adjusted Trial Balance
Account Title	Dr.	Cr.
Cash	14,080
Accounts Receivable	30,660
Supplies	4,790
Prepaid Insurance	10,350
Land	109,000
Buildings	392,000
Accumulated Depreciation-Buildings		127,600
Equipment	283,000
Accumulated Depreciation-Equipment		166,200
Accounts Payable		36,260
Salaries Payable		3,590
Unearned Rent		1,630
Nicole Gorman, Capital		465,620
Nicole Gorman, Drawing	27,200
Service Fees		517,080
Rent Revenue		5,460
Salaries Expense	370,700
Depreciation ExpenseEquipment	20,100
Rent Expense	16,900
Supplies Expense	11,930
Utilities Expense	10,780
Depreciation ExpenseBuildings	7,190
Repairs Expense	5,940
Insurance Expense	3,260
Miscellaneous Expense	5,560
	1,323,440	1,323,440

Required:

1. Prepare an income statement.

Gorman Group Income Statement For the Year Ended October 31, 20Y3
Revenues:
	$fill in the blank 2
	fill in the blank 4
Total revenues		$fill in the blank 5
Expenses:
	$fill in the blank 7
	fill in the blank 9
	fill in the blank 11
	fill in the blank 13
	fill in the blank 15
	fill in the blank 17
	fill in the blank 19
	fill in the blank 21
	fill in the blank 23
Total expenses		fill in the blank 24
Net income		$fill in the blank 25

Prepare a statement of owner's equity (no additional investments were made during the year).

Gorman Group Statement of Owner's Equity For the Year Ended October 31, 20Y3
		$fill in the blank 27
	$fill in the blank 29
	fill in the blank 31
		fill in the blank 33
		$fill in the blank 35

Prepare a balance sheet.

Gorman Group Balance Sheet October 31, 20Y3
Assets				Liabilities
Current assets:				Current liabilities:
		$fill in the blank 37			$fill in the blank 39
		fill in the blank 41			fill in the blank 43
		fill in the blank 45			fill in the blank 47
		fill in the blank 49		Total liabilities		$fill in the blank 50
Total current assets			$fill in the blank 51
Property, plant, and equipment:				Owner's Equity
		$fill in the blank 53				fill in the blank 55
	$fill in the blank 57
	fill in the blank 59	fill in the blank 60
	$fill in the blank 62
	fill in the blank 64	fill in the blank 65
Total property, plant, and equipment			fill in the blank 66
Total assets			$fill in the blank 67	Total liabilities and owner's equity		$fill in the blank 68

2. Journalize the entries that were required to close the accounts at October 31. If an amount box does not require an entry, leave it blank.

Date	Account	Debit	Credit
Oct. 31		fill in the blank 70	fill in the blank 71
		fill in the blank 73	fill in the blank 74
		fill in the blank 76	fill in the blank 77
		fill in the blank 79	fill in the blank 80
		fill in the blank 82	fill in the blank 83
		fill in the blank 85	fill in the blank 86
		fill in the blank 88	fill in the blank 89
		fill in the blank 91	fill in the blank 92
		fill in the blank 94	fill in the blank 95
		fill in the blank 97	fill in the blank 98
		fill in the blank 100	fill in the blank 101
		fill in the blank 103	fill in the blank 104
Oct. 31		fill in the blank 106	fill in the blank 107
		fill in the blank 109	fill in the blank 110

3. If the balance of Nicole Gorman, Capital had instead increased $115,000 after the closing entries were posted and the withdrawals remained the same, what would have been the amount of net income or net loss? $fill in the blank 111 Net Income