Journalize the events

B CD APPLICATION ASSIGNMENT #6-ACCT305 (Accounting Cycle) Students For this application assignment, you are going to complete a Worksheet, Income Statement, Statement of Retained Earnings, and Balance Sheet. You are to use the worksheet to prepare the adjusting entries, statement information, closing entries, and post-closing trial balance. Use cell references, formulas, and summation functions where applicable and appropriate Specific instructions are outlined below Instructions 1. Journalize the following adjusting entries for 6/30/17 in the Journal and then transfer to the worksheet in the appropriate Adjusting Entries column. (provide descriptions of the entries for a complete journal entry) a) The company estimates uncollectible accounts using the % of receivables, allowance method. As of June 30th, the company estimates that 4% of the accounts receivable balance is uncollectible b) Supplies on hand are determined to be $ 5,800 c) 20% of the Prepaid insurance balance has expired as of 6/30/17 d) The Prepaid Rent balance represents 4 months of rent expense. As of 6/30/17, two of those months have passed. e) Depreciation of assets is recognized as follows Buildings $6,000 Equipment $5,500 f) Invoices for utilities expenses of $1,300 have been received related to June g) Employees working the last 4 days of June will be paid in July. The daily expense for employee wages is $650. (lgnore payroll tax expenses) h) 60% of the unearned revenue has been earned as of 6/30/17 The interest rate on the Mortgage Payable is 8%. Interest expense was last updated 12/31/16 2. Update the Adjusted Trial Balance columns in the worksheet. Make sure you carry the correct debit/credit columns across. Use references and formulas to create the adjusted balances 3. Carry over the applicable balances to the Income Statement and Balance Sheet columns Remember the difference in debits/credits will be the Net Income which should be added to the bottom of the worksheet columns for each. Use the other provided blank worksheets to prepare, in proper format, the Income Statement, Statement of Retained Earnings, and classified Balance Sheet for the period ending. Formating and labeling should be appropriate, consistent, and user-friendly. (USE Spellcheck for each worksheet) Please refer to examples in the book if you question titles and classifications the Mortaage Pavahle is due Decemher 1 2017 4. Note that $7,000 of 5. Write up the closing journal entries in the Journal and transfer to the Worksheet. Remember, all temporary accounts are closed during this process. There are four journal entries involved. 6. Carry over the balances, after closing entries, to the Post Closing Trial Balance on the worksheet. Only permanent accounts should have balances Complete these requirements and rename the application file as directed. Attach the completed file to the assignment link in Blackboard by the due date provided in Blackboard. Instructions Journal Worksheet Income Statement Statemer Ready Trial Balance Db Account Titles Cr Cash Accounts Receivable Allowance for Doubtful Accounts Supplies Prepaid Insurance Prepaid Rent Land Buildings Accum. Depreciation-Bldgs Equipment Accum. Depreciation-Equip Goodwill Patent Accounts Payable Unearned Revenue Interest Payable Salaries and Wages Payable Mortgage Payable Common Stock ($1 par) Paid in Capital in Excess of par-CS Dividends Retained Earnings Income Summar Sales Revenue Supplies Expense Salaries and Wages Expense Maint. and Repairs Expense Advertising Expense Depreciation Expense Bad Debt Expense Utilities Expense Rent Expense Insurance Expense Interest Expense 48,600 60,000 700 14,200 34,400 12,800 80,000 150,000 40,000 95,000 47,500 360,000 67,000 28,600 7,500 48,000 100,000 25,000 15,000 438,725 348,200 2,500 95,100 22,500 7,500 17,600 2,025 1,084,225 Totals Net Income Totals 1,084,225 Instructions JournalWorksheet