Farmer Investment Advisers Unadjusted Trial Balance December 31, 2018 Account Title Cash Accounts Receivable Office Supplies Equipment Accumulated Depreciation-Equipment Accounts Payable Salaries Payable Balance Debit Credit 33,000 50,000 3,000 23,000 10,000 17,000 $ Unearned Revenue Notes Payable (long-term) Farmer, Capital Farmer, Withdrawals 4,000 24,000 55,000 28,000 89,000 Service Revenue Insurance Expense Salaries Expense Supplies Expense 6,000 34,000 Interest Expense 9,000 13,000 Rent Expense Depreciation Expense-Equipment $ 199,000 $ 199,000 Total More Info c. Unearned Revenue earned during the year, $100. Office Supplies on hand, $1,000. Depreciation for the year, $9,000. Accrued Salaries Expense, $6,000. Accrued Service Revenue, $4,000. 1. Prepare a worksheet for Farmer Investment Advisers at December 31, 2018. 2. Prepare the income statement, the statement of owner's equity, and the classified balance sheet in account format. Assume there were no contributions made by the owner during the year. 3. Prepare closing entries. Acct. Account AR Supp. Accounts Receivable Supplies Accumulated Depreciation-Equipment Accounts Payable A/D-Equip A/P Pay. Payable Unearn. Rev. N/P (1/t) Unearned Revenue Notes Payable (long-term) Capital Withdrawals Cap. W/D Rev. Revenue Ins. Exp. Exp. Depr. Exp. Insurance Expense Expense Depreciation Expense-Equipment Farmer Investment Advisers Worksheet December 31, 2018 Unadjusted Trial Balance Adjusted Trial Balance Income Statement Balance Sheet Adjustments Acct. Title Debit | Credit Debit Credit Debit | Credit Debit || Credit | Debit | Credit 33,000 50,000 Cash A/R Office Supp. Equipment A/D-Equip. 3,000 23,000 10,000 17,000 / Salaries Pay. Unearn. Rev. N/P (l/t) Farmer, Cap. Farmer, W/D Service Rev. 4,000 24,000 55,000 JOOOOOOOOOOOOOOOOO OOOOOOOOOOOOOOOOOOL 28,000 89,000 6,000 34,000 Ins. Exp. Salaries Exp. Supplies Exp. Interest Exp. Rent Exp. Depr. Exp. 9,000 13,000 Total 199,000|| 199,000 Net income or loss Requirement 2. Prepare the income statement, the statement of owner's equity, and the classified balance sheet in account format. Assume there were no contributions made by the owner during the year. Begin by preparing the income statement. Review the Income Statement columns of the worksheet completed in Requirement 1. Farmer Investment Advisers Income Statement Year Ended December 31, 2018 Net Income (Loss) Prepare the statement of owner's equity. Assume that there were no contributions made by the owner during the year. Enter any increases in capital prior to the subtotal and any decreases to capital below the subtotal. (Exclude any zero-balance events for the period from the statement of owner's equity.) Review the Balance Sheet columns of the worksheet completed in Requirement 1. Farmer Investment Advisers Statement of Owner's Equity Year Ended December 31, 2018 Farmer, Capital, January 1, 2018 Farmer, Capital, December 31, 2018 Review the Balance Sheet columns of the worksheet completed in Requirement 1. Review the Statement of Owner's Equity completed above. Farmer Investment Advisers Balance Sheet December 31, 2018 Assets Liabilities Less: Owner's Equity Requirement 3. Prepare closing entries. (Record debits first, then credits. Select the explanation on the last line of the journal entry table.) Start by closing revenues. Review the Income Statement columns of the worksheet completed in Requirement 1. Date Accounts and Explanation Debit Credit Dec. 31 Clos. (1) Close expenses for the period. Review the Income Statement columns of the worksheet completed in Requirement 1. Date Accounts and Explanation Debit Credit Dec. 31 Clos. (2) Close Income Summary. Review the Income Statement columns of the worksheet completed in Requirement 1. Date Accounts and Explanation Debit Credit Dec. 31 Clos. (3) Close withdrawals. Review the Balance Sheet columns of the worksheet completed in Requirement 1. Date Accounts and Explanation Debit Credit Dec. 31 Clos. (4) Farmer Investment Advisers Unadjusted Trial Balance December 31, 2018 Account Title Cash Accounts Receivable Office Supplies Equipment Accumulated Depreciation-Equipment Accounts Payable Salaries Payable Balance Debit Credit 33,000 50,000 3,000 23,000 10,000 17,000 $ Unearned Revenue Notes Payable (long-term) Farmer, Capital Farmer, Withdrawals 4,000 24,000 55,000 28,000 89,000 Service Revenue Insurance Expense Salaries Expense Supplies Expense 6,000 34,000 Interest Expense 9,000 13,000 Rent Expense Depreciation Expense-Equipment $ 199,000 $ 199,000 Total More Info c. Unearned Revenue earned during the year, $100. Office Supplies on hand, $1,000. Depreciation for the year, $9,000. Accrued Salaries Expense, $6,000. Accrued Service Revenue, $4,000. 1. Prepare a worksheet for Farmer Investment Advisers at December 31, 2018. 2. Prepare the income statement, the statement of owner's equity, and the classified balance sheet in account format. Assume there were no contributions made by the owner during the year. 3. Prepare closing entries. Acct. Account AR Supp. Accounts Receivable Supplies Accumulated Depreciation-Equipment Accounts Payable A/D-Equip A/P Pay. Payable Unearn. Rev. N/P (1/t) Unearned Revenue Notes Payable (long-term) Capital Withdrawals Cap. W/D Rev. Revenue Ins. Exp. Exp. Depr. Exp. Insurance Expense Expense Depreciation Expense-Equipment Farmer Investment Advisers Worksheet December 31, 2018 Unadjusted Trial Balance Adjusted Trial Balance Income Statement Balance Sheet Adjustments Acct. Title Debit | Credit Debit Credit Debit | Credit Debit || Credit | Debit | Credit 33,000 50,000 Cash A/R Office Supp. Equipment A/D-Equip. 3,000 23,000 10,000 17,000 / Salaries Pay. Unearn. Rev. N/P (l/t) Farmer, Cap. Farmer, W/D Service Rev. 4,000 24,000 55,000 JOOOOOOOOOOOOOOOOO OOOOOOOOOOOOOOOOOOL 28,000 89,000 6,000 34,000 Ins. Exp. Salaries Exp. Supplies Exp. Interest Exp. Rent Exp. Depr. Exp. 9,000 13,000 Total 199,000|| 199,000 Net income or loss Requirement 2. Prepare the income statement, the statement of owner's equity, and the classified balance sheet in account format. Assume there were no contributions made by the owner during the year. Begin by preparing the income statement. Review the Income Statement columns of the worksheet completed in Requirement 1. Farmer Investment Advisers Income Statement Year Ended December 31, 2018 Net Income (Loss) Prepare the statement of owner's equity. Assume that there were no contributions made by the owner during the year. Enter any increases in capital prior to the subtotal and any decreases to capital below the subtotal. (Exclude any zero-balance events for the period from the statement of owner's equity.) Review the Balance Sheet columns of the worksheet completed in Requirement 1. Farmer Investment Advisers Statement of Owner's Equity Year Ended December 31, 2018 Farmer, Capital, January 1, 2018 Farmer, Capital, December 31, 2018 Review the Balance Sheet columns of the worksheet completed in Requirement 1. Review the Statement of Owner's Equity completed above. Farmer Investment Advisers Balance Sheet December 31, 2018 Assets Liabilities Less: Owner's Equity Requirement 3. Prepare closing entries. (Record debits first, then credits. Select the explanation on the last line of the journal entry table.) Start by closing revenues. Review the Income Statement columns of the worksheet completed in Requirement 1. Date Accounts and Explanation Debit Credit Dec. 31 Clos. (1) Close expenses for the period. Review the Income Statement columns of the worksheet completed in Requirement 1. Date Accounts and Explanation Debit Credit Dec. 31 Clos. (2) Close Income Summary. Review the Income Statement columns of the worksheet completed in Requirement 1. Date Accounts and Explanation Debit Credit Dec. 31 Clos. (3) Close withdrawals. Review the Balance Sheet columns of the worksheet completed in Requirement 1. Date Accounts and Explanation Debit Credit Dec. 31 Clos. (4)