Data Table Avery Air Purification System Unadjusted Trial Balance December 31, 2016 Balance Account Title Debit Credit Cash $ 7,200 Accounts Receivable 19,700 2,400 1,600 21,000 Prepaid Rent Office Supplies Equipment Accumulated Depreciation-Equipment Accounts Payable Salaries Payable Unearned Revenue $ 3,900 2,900 2,200 41,200 Avery, Capital Avery, Withdrawals 9,200 Service Revenue 15,900 3,400 Salaries Expense Rent Expense Depreciation Expense-Equipment Advertising Expense 1,600 Supplies Expense $ Total 66,100 $ 66,100 Print Done i More Info Adjustment data at December 31 follow: a. On December 15, Avery contracted to perform services for a client receiving $2,200 in advance. Avery recorded this receipt of cash as Unearned Revenue. As of December 31, Avery has completed $1,300 of the services. b. Avery prepaid two months of rent on December 1. c. Avery used $750 of office supplies. d. Depreciation for the equipment is $750. e. Avery received a bill for December's online advertising, $900. Avery will not pay the bill until January. (Use Accounts Payable.) f. Avery pays its employees on Monday for the previous week's wages. Its employees earn $2,500 for a five-day workweek. December 31 falls on Wednesday this year. g. On October 1, Avery agreed to provide a four-month air system check (beginning October 1) for a customer for $3,600. Avery has completed the system check every month but payment has not yet been received and no entries have been made. Print Done The unadjusted trial balance of Avery Air Purification System at December 31, 2016, and the data needed for the adjustments follow. (Click the icon to view the trial balance.) (Click the icon to view the adjusting entry information) Requirements 1. Journalize the adjusting entries on December 31 2. The T-accounts, along with their unadjusted balances have been opened for you. Post the adjusting entries to the T-accounts. 3. Prepare the adjusted trial balance 4. How will Avery Air Purification System use the adjusted trial balance? Requirement 1. Journalize the adjusting entries on December 31. (Record debits first, then credita. Select the explanation on the last line of the journal entry table.) a. On December 15, Avery contracted to perform services for a client receiving $2,200 in advance. Avery recorded this receipt of cash as Uneamed Revenue As of December 31, Avery has completed $1,300 of the services. Accounts and Explanation Debit Credit (6) Dec 31 Date b. Avery prepaid two months of rent on December 1 (Assume that the Prepaid Rent balance as shown on the unadjusted trial balance represents the two months of rent prepaid on December 1) Date Accounts and Explanation Debit Credit (b) Dec 31 c. Avery used $750 of office supplies Date Accounts and Explanation Debit Credit (c) Det, 31 d. Depreciation for the equipment is $750, Date Accounts and Explanation (d) Dec. 31 Debit Credit 6. Avery received a bill for December's online advertising, 8900 Avery will not pay the bill until January (Use Accounts Payable.) Date Accounts and Explanation Credit (e) Dec, 31 Debit Choose from any list or enter any number in the input fields and then continue to the next question 2 f. Avery pays its employees on Monday for the previous week's wages. Its employees earn $2.500 for a five-day workweek. December 31 falls on Wednesday this year Accounts and Explanation Debit Credit Date in Dec 31 On October 1, Avery agreed to provide a four-month air system check (beginning October 1) for a customer for $3,600. Avery has completed the system check every month but payment has not yet been received and no entries have been made Date Accounts and Explanation Debit Credit (9) Dec 31 Requirement 2. The T-accounts, along with their unadjusted balances have been opened for you. Post the adjusting entries to the T-accounts The Taccounts, along with their unadjusted balances if applicable have been opened for you. Post the adjusting entries to the Taccounts using the corresponding letters (a) through (g) as posting references. Use a "Bal" posting reference to show the ending balance of each account Review the adjusting journal entries you prepared in Requirement 1. Accounts Payable Service Revenue 2,900 Dec. 31 15,900 Dec 31 Cash Dec 31 7,200 Salaries Payable Accounts Receivable 19,700 Salaries Expense 3.400 Dec 31 Dec 31 Prepaid Rent Unearned Revenue Rent Expense Dec 31 2400 2200 Dec. 31 Office Supplies Depreciation Expense-Equipment Avery, Capital 41,200 Dec 31 Dec 31 1,500 ? Choose from any list or enter any number in the input fields and then continue to the next question Office Supplies 1.600 Depreciation Expense-Equipment Avery, Capital 41.200 Dec 31 Dec 31 Equipment 21,000 Avery Withdrawals 9.200 Advertising Expense 1,600 Dec 31 Dec. 31 Dec 31 Supplies Expense Accumulated Depreciation-Equip 3,900 Dec 31 Requirement 3. Prepare the adjusted trial balance. Review the T-accounts you prepared in Requirement 2. Avery Air Purification System Adjusted Trial Balance December 31, 2016 Balance Account Title Debit Credit Cash Accounts Receivable Prepaid Rent Office Supplies Equipment Accumulated Depreciation-Equipment Accounts Payable Salaries Payable Unearned Revenue Avery, Capital Avery, Withdrawals Service Revenue Salaries Expense Rent Expense Depreciation Expense-Equipment Advertising Expense Supplies Expense Choose from any list or enter any number in the input fields and then continue to the next question. Equipment Avery, Withdrawals 9.2001 Advertising Expense 1,600 Dec 31 21.000 Dec 31 Dec 31 Supplies Expense Accumulated Depreciation-Equip 3,900 Dec 31 Requirement 3. Prepare the adjusted trial balance Review the T-accounts you prepared in Requirement 2 Avery Air Purification System Adjusted Trial Balance December 31, 2016 Balance Account Title Debit Credit Cash Accounts Receivable Prepaid Rent Office Supplies Equipment Accumulated Depreciation-Equipment Accounts Payable Salaries Payable Unearned Revenue Avery, Capital Avery. Withdrawals Service Revenue Salaries Expense Rent Expense Depreciation Expense-Equipment Advertising Expense Supplies Expense Total Requirement 4. How will Avery Air Purification System use the adjusted trial balance? The company will use the adjusted trial balance to Choose from any list or enter any number in the input fields and then continue to the next