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How can I do this I'm having problems with understanding the assigment Applying the Entire Accounting Cycle Rhoades Tax Services began business on December 1,
How can I do this I'm having problems with understanding the assigment
Applying the Entire Accounting Cycle Rhoades Tax Services began business on December 1, 2018. Its December transactions are as follows. Dec. 1 Rhoades invested $20,000 in the business in exchange for common stock. 2 Paid $1,200 cash for December rent to Bomba Realty. 2 Purchased $1,080 of supplies on account. 3 Purchased $9,500 of office equipment; paying $4,700 cash with the balance due in 30 days. 8 Paid $1,080 cash on account for supplies purchased December 2. 14 Paid $900 cash for assistant's wages for 2 weeks' work. 20 Performed consulting services for $3,000 cash. 28 Paid $900 cash for assistant's wages for 2 weeks' work. 30 Billed clients $7,200 for December consulting services. 31 Paid $1,800 cash for dividends. 1. Supplies available at December 31 are $710. 2. Accrued wages payable at December 31 are $270. 3. Depreciation for December is $120. 4. Rhoades has spent 30 hours on an involved tax fraud case during December. When completed in January, his work will be billed at $75 per hour. (It uses the account Fees Receivable to reflect amounts earned but not yet billed.) Then post adjusting entries to their T-accounts.Required a (2). Record any adjusting entries using the financial statement effects template. Income Statement Balance Sheet Transaction Cash Asset + Noncash Assets - Contra-Assets = Liabilities + Contributed Capital + Earned Capital Revenues - Expenses = Net Income 1 $ O $ O $ $ C O 0 2 0 O O OO 3 0 O O O o o o TOTALS o + o + 0 0 e. Journalize the adjusting entries at December 31 in journal entry form, drawing on the information above. Then post adjusting entries to their T-accounts and prepare an adjusted trial balance at December 31, 2018. GENERAL JOURNAL Date Description Debit Credit 12/31 1 $ 0 $ O O To record December supplies expense. 12/31 2 O O O O To record unpaid wages at December 31. 12/31 3 O O O O To record December depreciation. 12/31 4 O O O O To record unbilled service revenue.Cash (A) Accounts Payable (L) Supplies (A) Unadj. Bal. 12,420 Unadj. Bal 4,800 Unadj. Bal. 1,080 O 0 W N W N A W N Adj. Bal. Adj. Bal. Adj. Bal. 5 5 0 Final Bal. 0 0 Final Bal. 0 Final Bal. Office Equipment (A) Fees Receivable (A) Consulting Reveune 7,20 Unadj. Bal. 0,200 Unadj. Bal. 9,500 Unadj. Bal. 1 1 IN W N W A W N O A Adj. Bal. Adj. Bal. Adj. Bal. 5 5 6 6 6 Final Bal. Final Bal. 0 Final Bal. Supplies Expense Depreciation Expense Accumulated Depreciation (XA) Unadj. Bal. Unadj. Bal Jnadj. Bal 1 2 2 2 3 W 4 4 Adj. Bal. Adj. Bal. Adj. Bal. 5 5 o o o Final Bal. 0 Final Bal. 0 Final Bal.Wages Expense (E) Rent Expense (E) Common Stock (SE) Unadj. Bal. 1,800 Unadj. Bal. 1,200 Unadj. Bal. 20,000 1 O 1 0 1 0 O O 0 2 O 2 2 3 0 3 0 3 0 O O 4 0 O 4 0 4 0 Adj. Bal. Adj. Bal. 0 Adj. Bal. 0 5 5 0 5 0 O 6 0 6 O O 6 Final Bal. 0 0 Final Bal. 0 0 Final Bal. 0 0 Retained Earnings (SE) Wages Payable (L) Unadj. Bal. 1,800 Unadj. Bal. 1 O O 2 0 2 0 0 3 0 4 0 O 4 Adj. Bal. 0 Adj. Bal. 0 5 5 O O 6 O 6 O Final Bal. 0 0 Final Bal. 0 0RHOADES TAX SERVICES Adjusted Trial Balance For the Month of December 31, 2018 Debit Credit Cash $ 0 $ O Fees Receivable Supplies Office Equipment Accumulated Depreciation Accounts Payable Wages Payable Common Stock oooooo ooo 0 0 0 0 Retained Earnings Consulting Revenue Supplies Expense Wages Expense Rent Expense 0 Depreciation Expense 0 $ 0 $ 0 f. Prepare a December 2018 income statement and statement of stockholders' equity, and a December 31, 2018, balance sheet. RHOADES TAX SERVICES Income Statement For the Month of December 31, 2018 Revenue Consulting Revenue $ 0 Expenses: Wages Expense $ O Rent Expense OO Supplies Expense Depreciation Expense Total Expenses U Net Income $ 0RHOADES TAX SERVICES Statement of Stockholders' Equity December 31, 2018 CommonStock TotalRetained Earnings| Stockholders Equity Balance at December 1, 2015 $ 0 $ Stock Issuance 0 0 Dividends (enter as negative) 0 Net Income 0 Balance at December 31, 2015 0 $ 0 $ RHOADES TAX SERVICES Balance Sheet December 31, 2018 Assets Liabilities and Equity $ $ Fees Receivable 0 Wages Payable Supplies 0 Total Liabilities Total Current Assets 0 0 Stockholders' Equity Less Accum. Depreciation 0 0 Total Assets 0 Total Liabilities and Stockholders' Equity $ g. Record its closing entries in journal entry form. Post these entries to their T-accounts above in part e. GENERAL JOURNAL Date Description Debit Credit 12/31 5 $ 0 $ 0 0 O To close the revenue account. 12/316 Wages Expense Rent Expense Supplies Expense To close the expense accounts.h. Prepare a post-closing trial balance at December 31, 2018. RHOADES TAX SERVICES Post-Closing Trial Balance December 31, 2018 Debit Credit Cash 0 $ 0 Fees Receivable O Supplies Office Equipment Accumulated Depreciation 0 Accounts Payable 0 Wages Payable 0 Retained Earnings 0 Common Stock 0 0 $Step by Step Solution
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