JR World Expeditions is a travel agency that offers international and local travel packages. The company is owned and operated by James Robertson. The closing balances at the end of August 2023 and the chart of accounts are shown below. JR World Expeditions Balance Sheet As at August 31, 2023 Assets Cash Accounts Receivable Prepaid Insurance Equipment Accumulated Depreciation Total Assets -$9,000 Total Liabilities Liabilities $31,250 Accounts Payable $14,500 $10,800 Unearned Revenue $11,000 $0 Bank Loan $32,400 $35,000 Note Payable $57,900 Robertson, Capital $10,150 $68,050 Total Liabilities & Owners' Equity $68,050 Account Description Account # Account Description Account # ASSETS REVENUE Cash 101 Service Revenue 400 Accounts Receivable 105 EXPENSES Prepaid Insurance 110 Advertising Expense 500 Equipment 120 Depreciation Expense 510 Accumulated Depreciation 125 Insurance Expense 515 LIABILITIES Interest Expense 520 Accounts Payable 200 Salaries Expense 545 Interest Payable 205 Telephone Expense 550 Salary Payable 210 Travel Expense 555 Unearned Revenue 215 Rent Expense 560 Bank Loan 220 Note Payable 225 OWNER'S EQUITY Robertson, Capital Robertson, Withdrawals Income Summary 300 310 315 For the month of September 2023, JR World Expeditions had the following transactions: Sep 1 Sep 11 Sep 1 Sep 2 Sep 2 Sep 5 Sep 15 Sep 18 Sep 201 James invested $12,600 cash and equipment valued at $9,900 into the business. Prepaid $11,184 for insurance for one year. Paid $3,250 cash for September's rent. Provided travel services to group of travellers; they paid $46,400 now and will pay $9,280 later. Purchase equipment by signing a Note Payable for $15,000, due in 3 years plus accrued interest at 10%. Recorded travel expenses for $16,820 to be paid next month. Paid $11,600 cash to reduce the balance of accounts payable. Received $5,400 cash from customers for the travel services provided last month. Received a telephone bill for $720 which will be paid next month. Sep 23 Paid $8,460 cash for employee's salaries. Sep 26 Sep 28 Sep 29 The owner withdrew $5,710 cash for personal use. Received $26,840 cash in advance from travellers for travel services to be provided next month. Paid $4,650 advertising expense for the promotion of the travel and tours in the month of September. Paid $891 cash for the bank loan which included $675 principle and $216 interest. The loan is due in 4 years with monthly repayments of $675 principle plus interest at 8% on outstanding balance. Sep 30 At the end of September, the following adjustment had to be journalized to properly report the balances of the company's accounts: Sep 30 Sep 30 Sep 30 Sep 30 Sep 30 Required: $30,140 of the balance of unearned revenue, still remains unearned. One month of prepaid insurance worth $932 has been used. Monthly depreciation on the equipment was $1,320. Accrued salary expense of $4,230 for an employee. Accrued interest on the Note Payable amounts to $125. a) Enter the opening balances from the August 2023 balance sheet into the general ledger accounts. b) Prepare the journal entries for the month of September and post them to the appropriate general ledger accounts. c) Create the trial balance in the worksheet, and then complete the remaining section of the worksheet. d) Create the income statement, statement of owner's equity and the classified balance sheet. e) Prepare the journal entries for the adjustments and post them to the appropriate general ledger accounts. f) Prepare the journal entries to close the books for the month of September 2023 (use the income summary account), and post the journal entries to the appropriate general ledger accounts. g) Create the post-closing trial balance. Page 1 Journal Date Account Title and Explanation PR DR CR Journal Date Account Title and Explanation PR DR Page 2 CR Account Cash Date Description PR DR CR Opening Balance Description PR DR CR Account: Accounts Receivable Date Opening Balance Description PR DR Account: Prepaid Insurance Date Opening Balance CR 5 GL No: Balance (DR or CR) Account: Equipment Date Description PR DR CR Opening Balance Account: Accumulated Depreciation Date Description Opening Balance PR DR CR GL No: Balance (DR or CR) GL No: Balance (DR or CR) GL No: Balance (DR or CR) GL No: Balance (DR or CR) Account: Accounts Payable Date Description PR DR Opening Balance CR Account: Interest Payable Date Description PR DR CR Opening Balance Account: Salary Payable Date Description PR DR CR Opening Balance Account: Unearned Revenue Date Description PR DR CR Opening Balance Account: Bank Loan Date Description PR DR CR Opening Balance Account: Note Payable Date Description PR DR Opening Balance Account: Date Robertson, Capital Description Opening Balance CR 5 PR DR CR GL No: Balance (DR or CR) GL No: Balance (DR or CR) GL No: Balance (DR or CR) GL No: Balance (DR or CR) GL NO Balance (DR or CR) GL No: Balance (DR or CR) GL No: Balance (DR or CR) Account: Robertson, Withdrawals Date Description PR DR CR Account: Income Summary Date Description PR DR . 18 CR Account: Date Service Revenue Description PR DR CR Account: Date Advertising Expense Account: Date Account: Date Description PR DR CR Depreciation Expense Description PR DR CR Insurance Expense Description PR DR CR GL No: Balance (DR or CR) GL No: Balance (DR or CR) GL No: Balance (DR or CR) GL No: Balance (DR or CRJ GL No: Balance (DR or CR) GL No: Balance (DR or CR Account: Date Interest Expense Description PR DR CR Account: Salaries Expense Date Description PR DR CR Account: Telephone Expense Date Description PR DR CR Account: Date Travel Expense Description PR DR CR Account: Rent Expense Date Description PR DR CR GL No: Balance (DR or CR) GL No: Balance (DR or CR) GL No: Balance (DR or CR) GL No: Balance (DR or CR) GL No: Balance (DR or CR) Unadjusted Trial Balance Account Titles DR JR World Expeditions Worksheet September 30, 2023 Adjustments Adjusted Trial Balance Income Statement Balance Sheet CR DR CR DR CR DR CR DR CR Journal Page 3 Date Account Title and Explanation PR DR CR JR World Expeditions Income Statement For the Month Ended September 30, 2023 JR World Expeditions Statement of Owner's Equity For the Month Ended September 30, 2023 JR World Expeditions Balance Sheet As at September 30, 2023 Journal Date Account Title and Explanation PR DR Page 4 CR Account Titles JR World Expeditions Post-Closing Trial Balance September 30, 2023 DR CR