I need help with making sure the adjusting journal entries are correct and I'm not sure why the adjusted trail balances aren't equaling each other. Please help with both! The information for the journal entries is the first posted piece of information starting with On July 1, 2019.
| a. Use the following information to prepare adjusting entries for Broomfield Industries: On July 1, 2019, Broomfield Industries signed a 4.2% bank loan due in 3 years. This is the only outstanding note payable. b. Prepaid insurance represents a 12-month insurance policy purchased on May 1. c. On November 1, 2019, Broomfield Industries paid $12,780 for a 4-month lease for office space. d. Unearned revenue represents a 8-month contract for consulting services. The payment was received on October 1, 2019. e. Supplies on hand total $4,674. f. g. Equipment is depreciated on a straight-line basis; residual value is estimated to be $12,000 with an estimated service life of 10 years. The assets were held the entire year. On August 1, Broomfield Industries issued Denver Supplies an 9-month note receivable at a 5.7% annual interest rate. The company uses the percentage-of-receivables basis for estimating uncollectible accounts. The aging schedule of accounts receivable must be completed to determine management's desired balance for 2019. i. Accrued wages totaling $71,490 were unpaid and unrecorded at December 31, 2019. 1 j. Utility costs incurred but unrecorded for the month of December were estimated to be $12,314. Account Title Income Statement DR CR Balance Sheet P DR CR - Cash - Accounts Receivable Allowance for Doubtful Accounts Interest Receivable 1 Note Receivable 2 Merchandise Inventory 3 Prepaid Insurance 4 Prepaid Rent 5 Supplies Equipment 7 Accumulated Depreciation - Equipment B Accounts Payable Salaries & Wages Payable Unearned Revenue 1 Interest Payable 2 Utilities Payable 3 Note Payable (final payment due 2023) 4 Common Stock 5 Retained Earnings Dividends 7 Sales 3 Consulting Revenue 9 Sales Returns and Allowances Sales Discounts 1 Cost of Goods Sold 2 Salaries & Wages Expense 3 Depreciation Expense - Equipment 4 Bad Debt Expense 5 Insurance Expense Rent Expense 7 Supplies Expense 3 Utilities Expense 9 Interest Revenue Interest Expense For the Year Ended December 31, 2019 Unadjusted Trial Balance Adjustments DR CR TDR CR 270,788 1,070,384 18,514 8,531 359,180 782,572 28,728 19,152 121.296 6,390 116.622 1,118,264 118,104 110,626 111,826 71,490 32,000 12.000 15,920 12.314 758,100 585,200 904,400 234.000 11,179,980 12.000 63,840 137,256 7,612,388 1.733.256 71,490 110,626 Adjusted Trial Balance DR CR 270,788 1,070,384 18,514 8.5311 359,1801 782,572 9,576 114,906 (116,622) 1,118,264 228,730 111.826 71.490 20,000 15,920 12,314 758,100 585,200 904,400 234,080 11,179.980 12,000 63,840 137,256 7,612,388 1,804,746 110,626 19.152 | 6,390 116,622 12.314 19,152 6,390 116,622 | 140.526 128.212 3,531 8.531 | 15,920 373,045 15,920 13,879,125 13,708,124 13,708,124 373,045 13,927,005 2 Net Income TM Adjusting Journal Entries For the Year Ended December 31, 2019 Account Titles DR 12/31/19 Interest Expense 15,920 Interest Payable CR 15,920 19,152 12/31/19 Insurance Expense Prepaid Insurance 19,152 6,390 12/31/19 Rent Expense Prepaid Rent 6,390 12,000 12/31/19 Uneamed Revenue Consulting Revenue 12,000 116,622 WNBOROWN 12/31/19 Supplies Expense Supplies 116,622 110,626 12/31/19 Depreciation Expense Accumulated Depreciation 110,626 12/31/19 Interest Receivable Interest Revenue 8,531! 8,531 6 h 12/31/19 No Entry No Entry 71,490 12/31/19 Salaries and Wages Expense Salaries and Wages Payable 71,490 12,314 12/31/19 Utilities Expense Utilities Payable 12.314
