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Exercise 2-20 (Algo) Worksheet [Appendix 2A] Skip to question [The following information applies to the questions displayed below.] The December 31, 2021, unadjusted trial balance
Exercise 2-20 (Algo) Worksheet [Appendix 2A]
Skip to question
[The following information applies to the questions displayed below.]
The December 31, 2021, unadjusted trial balance for the Wolkstein Drug Company is presented below. December 31 is the companys year-end reporting date.
Account Title | Debits | Credits | |
Cash | 77,610 | ||
Accounts receivable | 20,750 | ||
Prepaid rent | 2,200 | ||
Inventory | 31,250 | ||
Equipment | 54,000 | ||
Accumulated depreciation | 16,200 | ||
Accounts payable | 21,000 | ||
Salaries payable | 0 | ||
Common stock | 100,000 | ||
Retained earnings | 11,500 | ||
Sales revenue | 343,000 | ||
Cost of goods sold | 205,800 | ||
Salaries expense | 68,600 | ||
Rent expense | 13,200 | ||
Depreciation expense | 0 | ||
Utilities expense | 13,720 | ||
Advertising expense | 4,570 | ||
Totals | 491,700 | 491,700 | |
The following year-end adjusting entries are required:
- Depreciation expense for the year on the equipment is $5,400.
- Salaries at year-end should be accrued in the amount of $4,520.
Exercise 2-20 (Algo) Part 1
Required: 1. Prepare and complete a worksheet.
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