Chet's Home Decorations Center Trial Balance As of November 30, 2019 Credit Debit 37,700 33,700 43,000 8,800 143,000 41,000 62,000 17,800 80,000 30,000 Account Title Cash Accounts Receivable Merchandise Inventory Supplies Equipment Accumulated Depreciation Equipment Notes Payable Accounts Payable Common Stock Retained Earnings Dividends Sales Revenue Sales Returns and Allowances Cost of Goods Sold Salaries and Wages Expense Advertising Expense Utilities Expense Maintenance and Repairs Expense Freight-Out Rent Expense Tot is 12,000 757,200 6,200 505,400 110,000 26,400 14,000 12,100 11,700 24,000 988,000 988,000 Adjustment data: 1. Store supplies on hand total $4,000 2. Depreciation is $14,000 on the store equipment and $6,000 on the delivery equipment. 3. Interest of $4,400 is accrued on notes payable at November 30. 4. Income tax due and unpaid at November 30 is $3,000 Required: a. Journalize the adjusting entries b. Using the accounts provided below "Part a Accounts": Enter the trial balance amounts into the accounts and post the adjusting entries and balance the accounts. c. Prepare an adjusted trial balance. d. Prepare a multiple-step income statement, a retained earnings statement, and a classified balance sheet. Proper format such as heading, rulings etc. is important and will be part of your grade. You may use your text book for examples. There are no check figures provided. e. Using the adjusted trial balance prepare the closing entries in the "Part a Journal" below. Chet's Home Decorations Center GENERAL JOURNAL Debit Credit Date Account Titles and Explanation Adjusting Entries 2019 Nov 30 30 Closing Entries Chet's Home Decorations Center Selected Accounts Supplies Explanation Debit Debit Credit | Balance Date 2019 Nov 30 Balance Supplies Expense I . Explanation Debit Credit Balance Date 2019 Nov 30 Balance Accumulated Depreciation Equipment Date Explanation Explanation | Debit Debit | Credit Credit Balance Balance 2019 Nov 30 Balance Depreciation Expense Explanation / Debit Date Debit Credit Balance Balance 2019 Nov 30 Balance Interest Expense Debit Explanation Debit Credit Balance Date 2019 Nov 30 Balance Interest Payable Post. Ref Explanation Debit Credit Balance Date 2019 Nov 30 Balance Income Tax Expense Explanation Debit | Credit Balance Date 2019 Nov 30 Balance Income Tax Payable Post. Date Explanation Ref Debit | Credit Balance 2018 Nov 30 Balance November 30, 2019 Account Title Credit Debit 37,700 Cash Totals 37,700 0 Use this trial balance to prepare financial statements Use the first three rows of each shaded area for the financial statement heading Prepare the income statement Chet's Home Decorations Center Income Statement For the year Ended November 30, 2019 Sales 757,200 Prepare the Statement of Retained Earnings Use the first three Columns of the shaded area for the financial statement heading Prepare a classified balance sheet below Chet's Home Decorations Center
