astery Problem

InstructionsChart of AccountsWorksheetGeneral Journal

X

Instructions

Kristi Williams offers family counseling services specializing in financial and marital problems. A trial balance at December 31, 20-- is shown.

Kristi Williams Family Counseling Services

UNADJUSTED TRIAL BALANCE

December 31, 20--

ACCOUNT TITLEDEBITCREDIT1

Cash

8,730.00

2

Office Supplies

700.00

3

Prepaid Insurance

600.00

4

Office Equipment

18,000.00

5

Computer Equipment

6,000.00

6

Notes Payable

8,000.00

7

Accounts Payable

500.00

8

Kristi Williams, Capital

11,400.00

9

Kristi Williams, Drawing

3,000.00

10

Client Fees

35,800.00

11

Wages Expense

9,500.00

12

Rent Expense

6,000.00

13

Utilities Expense

2,170.00

14

Miscellaneous Expense

1,000.00

15

Totals

55,700.00

55,700.00

Information for year-end adjustments is as shown:

(a) Office supplies on hand at year-end amounted to $100.(b) On January 1, 20--, Williams purchased office equipment that cost $18,000. It has an expected useful life of 10 years and no salvage value.(c) On July 1, 20--, Williams purchased computer equipment costing $6,000. It has an expected useful life of three years and no salvage value. Assume that Williams computes depreciation to the nearest full month.(d) On December 1, 20--, Williams paid a premium of $600 for a six-month insurance policy.Required:

1.Prepare the work sheet for the year ended December 31, 20--.2.Prepare adjusting entries in a general journal.