Question
Comprehensive Problem 1 Part 1: The following is a comprehensive problem which encompasses all of the elements learned in previous chapters. You can refer to
Comprehensive Problem 1 Part 1:
The following is a comprehensive problem which encompasses all of the elements learned in previous chapters. You can refer to the objectives for each chapter covered as a review of the concepts.
Kelly Pitney began her consulting business, Kelly Consulting, on April 1, 20Y8. The chart of accounts for Kelly Consulting is shown below:
11 | Cash | 32 | Retained Earnings |
12 | Accounts Receivable | 33 | Dividends |
14 | Supplies | 41 | Fees Earned |
15 | Prepaid Rent | 51 | Salary Expense |
16 | Prepaid Insurance | 52 | Rent Expense |
18 | Office Equipment | 53 | Supplies Expense |
19 | Accumulated Depreciation | 54 | Depreciation Expense |
21 | Accounts Payable | 55 | Insurance Expense |
22 | Salaries Payable | 59 | Miscellaneous Expense |
23 | Unearned Fees | ||
31 | Common Stock |
The post-closing trial balance as of April 30, 20Y8, is shown below:
Kelly Consulting Post-Closing Trial Balance April 30, 20Y8 | |||
---|---|---|---|
Account No. | Debit | Credit | |
Cash | 11 | 22,100 | |
Accounts Receivable | 12 | 3,400 | |
Supplies | 14 | 1,350 | |
Prepaid Rent | 15 | 3,200 | |
Prepaid Insurance | 16 | 1,500 | |
Office Equipment | 18 | 14,500 | |
Accumulated Depreciation | 19 | 330 | |
Accounts Payable | 21 | 800 | |
Salaries Payable | 22 | 120 | |
Unearned Fees | 23 | 2,500 | |
Common Stock | 31 | 30,000 | |
Retained Earnings | 32 | 12,300 | |
46,050 | 46,050 |
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May 3: Received cash from clients as an advance payment for services to be provided and recorded it as unearned fees, $4,500.
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May 5: Received cash from clients on account, $2,450.
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May 9: Paid cash for a newspaper advertisement, $225.
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May 13: Paid Office Station Co. for part of the debt incurred on April 5, $640.
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May 15: Recorded services provided on account for the period May 115, $9,180.
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May 16: Paid part-time receptionist for two weeks' salary including the amount owed on April 30, $750.
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May 17: Recorded cash from cash clients for fees earned during the period May 116, $8,360.
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May 20: Purchased supplies on account, $735.
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May 21: Recorded services provided on account for the period May 1620, $4,820.
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May 25: Recorded cash from cash clients for fees earned for the period May 1723, $7,900.
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May 27: Received cash from clients on account, $9,520.
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May 28: Paid part-time receptionist for two weeks' salary, $750.
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May 30: Paid telephone bill for May, $260.
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May 31: Paid electricity bill for May, $810.
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May 31: Recorded cash from cash clients for fees earned for the period May 2631, $3,300.
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May 31: Recorded services provided on account for the remainder of May, $2,650.
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May 31: Paid dividends, $10,500.
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Part 2: Using the attached spreadsheet, post the journal entries from part 1 to a ledger of four-column accounts.
Part 3: Prepare an unadjusted trial balance. If an amount box does not require an entry, leave it blank.
Kelly Consulting Unadjusted Trial Balance May 31, 20Y8 Account Title Debit Balances Credit Balances
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