Hi,

Please advise how to complete the attached balance sheet and income statement using Journal entries.

Problem 2: Analyzing the Effects of Adjusting Entries on the Accounting Model

For this problem, fill in the Assessment 3, Problem 2 Template linked in the Resources (under the Capella Resources heading) and submit the Excel document for grading. You will also need to refer to Problem 1. Using + for increase, ? for decrease, and NE for no effect, indicate in the table provided the effect of each adjusting entry in Problem 1 (a through h) and the amount of the effect. Reminder: Assets = Liabilities + Stockholders' Equity; Revenues ? Expenses = Net Income; and Net Income accounts are closed to Retained Earnings, a part of Shareholders' Equity.

Learner: Arica R. Etheridge Huntington Company Adjusting Entries 31-Dec-11 a. b. c. d. e. f. g. h. Unearned rent revenue Rent revenue (4 months Of 6 months Of $9,000) Interest Expense Interest payable ($30,000 X .12 X 3/12) Depreciation expense Accumulated Depreciation - Truck (amount of $5,000 is given) DR $6,000 CR $6,000 $900 $900 $5,000 $5,000 Unearned service revenue Service revenue ($4,800/12 times 2 months) $800 Insurance expense Prepaid Insurance ($12,000/12 times 2 months) $2,000 Accrued Service Revenue Service revenues (Amount of $6,000 is given) $6,000 Wages expense Accrued Wages Payable (Amount of $17,500 is given) $17,500 Property tax expense Accrued Taxes Payable (amount of $16,000 is given) $16,000 $800 $2,000 $6,000 $17,500 $16,000 Learner: BALANCE SHEET INCOME STATEMENT TRANSACT Assets Liabilities StockholdeRevenues Expenses Net Equity Income a NE 6,000 NE b NE 800 NE 900 c NE d NE -800 800 800 ne 800 e -2,000 NE -2,000 NE 2,000 -2,000 f g NE NE -17,500 h NE 16,000 NE -16,000 CR CR DR CR DR DR -2,000 22,000 -1,200 800 2,900 -34,700 Change in Assets & Liabilities 24,000 Revenue - Expense -2,100 Change In: DR CR Assets Liabilities Equity 28,600 Must Equa 28,600 - (Should be -28,600)