Instructions The unadjusted trial balance of Lakota Freight Co. at March 31, 20Y4, the end of the year, follows: Lakota Freight Co. UNADJUSTED TRIAL BALANCE March 31, 2014 ACCOUNT TITLE DEBIT CREDIT Cash 12,000.00 2 Supplies 32,000.00 3 Prepaid Insurance 3,600.00 100,000.00 Equipment Accumulated Depreciation Equipment 25,000.00 6 Trucks 40,000.00 7 Accumulated Depreciation-Trucks 15,000.00 Accounts Payable 4,000.00 9 Common Stock 29,000.00 10 Retained Earnings 29,600.00 Instructions Supplies 32,000.00 Prepaid Insurance 3,600.00 Equipment 100,000.00 5 Accumulated Depreciation-Equipment 25,000.00 6 Trucks 40,000.00 Accumulated Depreciation-Trucks 15,000.00 Accounts Payable 4,000.00 Common Stock 29,000.00 10 Retained Earnings 29,600.00 11 Dividends 15,000.00 12 Service Revenue 170,000.00 13 Wages Expense 46,000.00 14 Rent Expense 10,200.00 15 Truck Expense 9,000.00 16 Miscellaneous Expense 4,800.00 17 Totals 272,600.00 272,600.00 Instructions The data needed to determine year-end adjustments are as follows: A. Supplies on hand at March 31 are $7,000. B. Insurance premiums expired during year are $1,800. C. Depreciation of equipment during year is $8,550. D. Depreciation of trucks during year is $6,000. E. Wages accrued but not paid at March 31 are $500. Required: 1. For each account listed in the trial balance, enter the balance in the appropriate Balance column of a four-column account and select the check mark in the Post. Ref. column. 2. (Optional) On your own paper or spreadsheet, enter the unadjusted trial balance on an end-of-period work sheet and complete the work sheet. 3. a. Journalize the adjusting entries on Page 26 of the journal. Adjusting entries are recorded on March 31. Refer to the Chart of Accounts for exact wording of account titles. b. Post the adjusting entries to the ledger, inserting balances in the accounts affected. 4. Prepare an adjusted trial balance. 5. a. Prepare an income statement for the year ended March 31, 20Y4. If a net loss has been incurred, enter that amount as a negative number using a minus sign. Be sure to complete the statement heading. You will not need to enter colons :) on the income statement. Refer to the Chart of Accounts for exact wording of account titles. Refer to the lists of Labels and Amount Descriptions for exact wording of the answer choices for text entries other than account names. b. Prepare a statement of stockholders' equity for the year ended March 31, 20Y4, additional common stock of $7,000 was issued. Be sure to Instructions b. Post the adjusting entries to the ledger, inserting balances in the accounts affected. 4. Prepare an adjusted trial balance. 5. a. Prepare an income statement for the year ended March 31, 20Y4. If a net loss has been incurred, enter that amount as a negative number using a minus sign. Be sure to complete the statement heading. You will not need to enter colons (:) on the income statement. Refer to the Chart of Accounts for exact wording of account titles. Refer to the lists of Labels and Amount Descriptions for exact wording of the answer choices for text entries other than account names. b. Prepare a statement of stockholders' equity for the year ended March 31, 20Y4, additional common stock of $7,000 was issued. Be sure to complete the statement heading. Refer to the lists of Labels and Amount Descriptions for exact wording of the answer choices for text entries other than account names. For those boxes in which you must enter subtracted or negative numbers use a minus sign. c. Prepare a balance sheet as of March 31, 20Y4. Be sure to complete the statement heading. Fixed assets must be entered in order according to account number. You will not need to enter colons (1) or the word "Less" on the balance sheet; they will automatically insert where necessary. Refer to the Chart of Accounts for exact wording of account titles. Refer to the lists of Labels and Amount Descriptions for exact wording of the answer choices for text entries other than account names. For those boxes in which you must enter subtracted or negative numbers use a minus sign. 6. a. Journalize the closing entries on page 27 of the journal. (Note: Complete the adjusted trial balance, the income statement, the statement of stockholders' equity, and the balance sheet BEFORE completing part 6. a.) b. Post the closing entries, inserting balances in the accounts affected. Leave the ITEM column BLANK for each row except when entering an account balance in the first row. In that case, enter the word Balance in the ITEM column in the first row. If the account balance is zero (0) after closing entries are posted, enter a zero (0) in the account's normal balance column. 7. Prepare a post-closing trial balance
