Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Barbara Imagine created Imagine That, a proprietorship, in 2016. Imagine That's unadjusted T-accounts had the following December 31, 2018 balances: Cash Bal. 82,000 Accounts Receivable

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Barbara Imagine created Imagine That, a proprietorship, in 2016. Imagine That's unadjusted T-accounts had the following December 31, 2018 balances: Cash Bal. 82,000 Accounts Receivable Bal 127,000 Supplies Bal. 13,000 Office Furniture Accounts Payable Accumulated Amortization, Office Furniture Bal 31,000 Bal. 166,000 Bal 43,000 Bank Loan Bal. 115,000 Unearned Service Revenue Bal 1,000 Salary Payable Barbara Imagine, Capital Bal. 118,000 Barbara Imagine Withdrawals Bal 157,000 Service Revenue Bal 375,000 Supplies Expense Salary Expense Bal. 103,000 Advertising Expense Bal 25,000 Amortization Expense, Office Furniture Interest Expense Bal. 10,000 Accounts that required adjustments at December 31, 2018 were comprised of the following: a. Amortization for the year was $16,500. b. Supplies on hand at December 31, 2018 were $5,000. c. Bonuses accrued at year-end were $43,000 and were going to be paid in TRU Open Learning ACCT 1211, Accounting A4:3 March, 2019 d. Imagine That signed a contract on December 31, 2018. The contract stated that Imagine That was to provide interior design work for a shopping mall that was going to be open in June 2019. Imagine That was given a cheque for $250,000 e. On December 31, 2018, Imagine That received a $6,000 invoice regarding an ad that it placed on the internet. The invoice will be paid in February 2019. Required: A. Record the above T-account information on a worksheet trial balance column Then, record the adjusting joumal entries onto the worksheet, and complete the worksheet. Identify each adjusting journal entry by the numeral corresponding to the data given B. In a journal, record the adjusting and closing joumal entries. Provide explanations. C. Prepare Imagine That's December 31, 2018 income statement. D. Prepare Imagine That's December 31, 2018 statement of owner's equity E. Prepare Imagine That's December 31, 2018 balance sheet. F. Prepare Imagine That's December 31, 2018 post-closing trial balance. UNADJUSTED TRIAL BALANCE DEBIT CREDIT ACCOUNT TITLE ADJUSTMENTS DEBIT CREDIT ADJUSTED TRIAL BALANCE INCOME STATEMENT BALANCE SHEET DEBIT CREDIT DEBIT CREDIT DEBIT CREDIT DATE 2018 Journal ACCOUNT TITLES AND EXPLANATIONS Adjusting Entries POST REF DEBIT CREDIT Closing Entries DIVA. ====

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Ebook Principles Of Financial Accounting

Authors: John Wild, Ken Shaw, Barbara Chiappetta

2nd Edition

0077166183, 9780077166182

More Books

Students also viewed these Accounting questions