Exercise 3-22B (Algo) Preparing unadjusted and adjusted trial balances, including the adjustments LO P8 2.

Use the following adjustment information to complete the Adjustments columns of the work sheet.

a. Depreciation on equipment, $19

b. Accrued salaries, $22

c. The $28 of unearned revenue has been earned

d. Supplies available at December 31, $95

e. Expired insurance, $31

3. Extend the balances in the Adjusted Trial Balance columns of the work sheet to the proper financial statement columns. Compute totals for those columns including net income.

WESTCOTT COMPANY Partial Work Sheet For the year ended December 31 Unadjusted Trial Balance Adjustments Adjusted Trial Balance Income Statement Balance Sheet and Statemer of Retained Earnings Account Title Dr. Cr. Dr. Cr. Dr. Cr. Dr. Cr. Dr. Cr. Cash $ 101 $ 101 $ 101 60 60 60 120 95 95 50 19 19 71 71 71 Accounts receivable Supplies Prepaid insurance Equipment Accum. depreciation Equip. Accounts payable Salaries payable Unearned revenue Common stock $ 47 $ $ 22 66 22 22 28 $ 28 106 106 64 64 38 38 235 263 $ 263 19 19 $ 191 34 22 56 56 Retained earnings Dividends Services revenue Depreciation expense-Equip Salaries expense Insurance expense Supplies expense Utilities expense Totals Net income Totals 31 31 31 25 25 25 28 28 543 28 159 $ 502 $ 502 $ 125 $ 0 0 $ $ 543 263 346 104 $ 263 $ $ 263 $ 346 $ 3