It is now 30 June and our business is preparing adjustments via a worksheet.

Complete the following adjustments in the worksheet (if no adjustment is necessary enter "0" in the relevant box). The ref is the number of the adjustment

Then answer the 3 questions at the bottom of the table.

1 Prepaid 12000 rent on 1 April for three months. Adjustments have been done for April and May.

2 30 June is a Sunday. Wages are paid fortnightly (8000) with the last payment made on Friday 21 June. As the busienss operates from Monday to Firday we need to accrue one week.

3 Earned 2500 of Subscriptions Revenue which had already being paid for by the client.

4 Work in Progress (for Services) is calculated to be 3000. (Use accrued revenue).

5 Office Supplies were counted on 30 June. They totalled 4000.

6 Depreciation for June is 2000.

7 Interest on Note Payable is 1000. This is payable in July.

Worksheet for the month ended 30 June
	Unadjusted TB			Adjustments		Adjusted TB
Account	Dr	Cr	Ref	Dr	Cr	Dr	Cr
Cash At Bank	30000					Answer
Accounts Receivable	40000					Answer
Inventory	20000					Answer
Office Supplies	5000		Answer	Answer	Answer	Answer
Prepaid Rent	4000		Answer	Answer	Answer	Answer
Accrued Revenue	0		Answer	Answer	Answer	Answer
Equipment	70000					Answer
Accum Depreciation		35000	Answer	Answer	Answer		Answer
Accounts Payable		30000					Answer
Interest Payable		0	Answer	Answer	Answer		Answer
Salaries Payable		0	Answer	Answer	Answer		Answer
Unearned Revenue		3000	Answer	Answer	Answer		Answer
Notes Payable		75000					Answer
Owners Capital		31500					Answer
Income Summary
Service Revenue		150000	Answer	Answer	Answer		Answer
Subscriptions Revenue		100000	Answer	Answer	Answer		Answer
COGS	60000					Answer
Bank Fees	500					Answer
Depreication Expense	15000		Answer	Answer	Answer	Answer
Interest Expense	6000		Answer	Answer	Answer	Answer
Rent Expense	26000		Answer	Answer	Answer	Answer
Salaries Expense	141000		Answer	Answer	Answer	Answer
Supplies Expense	7000		Answer	Answer	Answer	Answer
Total	424500	424500				Answer	Answer

Has this business made a profit or loss?	Answer Loss OR Profit
What are total assets	Answer 130000 OR 167000
Will owners equity increase or decrease?	Answer Decrease OR Increase OR Cannot say

Please answer all parts of the question.