Bug-Off Exterminators provides pest control services and sells extermination products manufactured by other companies. Following is the company's unadjusted trial balance as of December 31, 2013.

BUG-OFF EXTERMINATORSDecember 31, 2013Unadjusted

Trial BalanceCash$16,200Accounts receivable5,600Allowance for doubtful accounts$813Merchandise inventory11,800Trucks31,320Accum. depreciationTrucks0Equipment46,930Accum. depreciationEquipment13,000Accounts payable5,800Estimated warranty liability1,210Unearned services revenue0Interest payable0Long-term notes payable14,400D. Buggs, Capital66,026D. Buggs, Withdrawals11,300Extermination services revenue59,760Interest revenue858Sales (of merchandise)72,426Cost of goods sold48,000Depreciation expenseTrucks0Depreciation expenseEquipment0Wages expense36,100Interest expense0Rent expense10,300Bad debts expense0Miscellaneous expense1,243Repairs expense8,700Utilities expense6,800Warranty expense0

Totals $234,293$234,293

The following information inathroughhapplies to the company at the end of the current year.

a.The bank reconciliation as of December 31, 2013, includes the following facts.

Cash balance per bank$13,500Cash balance per books16,200Outstanding checks1,860Deposit in transit2,310Interest earned (on bank account)33Bank service charges (miscellaneous expense)20

Reported on the bank statement is a canceled check that the company failed to record. (Information from the bank reconciliation allows you to determine the amount of this check, which is a payment on an account payable.)

b.An examination of customers' accounts shows that accounts totaling $662 should be written off as uncollectible. Using an aging of receivables, the company determines that the ending balance of the Allowance for Doubtful Accounts should be $705.

c.A truck is purchased and placed in service on January 1, 2013. Its cost is being depreciated with the straight-line method using the following facts and estimates.

Original cost$31,320Expected salvage value7,200Useful life (years)4

d.Two items of equipment (a sprayer and an injector) were purchased and put into service in early January 2011. They are being depreciated with the straight-line method using these facts and estimates.

SprayerInjectorOriginal cost$28,280$18,650Expected salvage value4,2002,900Useful life (years)85

e.On August 1, 2013, the company is paid $4,800 cash in advance to provide monthly service for an apartment complex for one year. The company began providing the services in August. When the cash was received, the full amount was credited to the Extermination Services Revenue account.

f.The company offers a warranty for the services it sells. The expected cost of providing warranty service is 1.5% of the extermination services revenue of $56,960 for 2013. No warranty expense has been recorded for 2013. All costs of servicing warranties in 2013 were properly debited to the Estimated Warranty Liability account.

g.The $14,400 long-term note is an 6%, 5-year, interest-bearing note with interest payable annually on December 31. The note was signed with First National Bank on December 31, 2013.

h.The ending inventory of merchandise is counted and determined to have a cost of $11,800. Bug-Off uses a perpetual inventory system.

Required:1.Use the preceding information to determine amounts for the following items.

a.Correct (reconciled) ending balance of Cash, and the amount of the omitted check.

b.Adjustment needed to obtain the correct ending balance of the Allowance for Doubtful Accounts.

c.Depreciation expense for the truck used during year 2013.

d.Depreciation expense for the two items of equipment used during year 2013.

e.The adjusted 2013 ending balances of the Extermination Services Revenue and Unearned Services Revenue accounts.(Do not round your intermediate calculations.)

f.The adjusted 2013 ending balances of the accounts for Warranty Expense and Estimated Warranty Liability.

g.The adjusted 2013 ending balances of the accounts for Interest Expense and Interest Payable.

2.Use the results of part 1 to complete the six-column table by first entering the appropriate adjustments for itemsathroughgand then completing the adjusted trial balance columns. (Hint: Itembrequires two adjustments.)(Do not round your intermediate calculations.)