Kelly Pitney began her consulting business, Kelly Consulting, on April 1, 2019. The accounting cycle for Kelly Consulting for April, including financial statements, was illustrated in this chapter. During May, Kelly Consulting entered into the following transactions: General Ledger May 3 5 0 13 Received cash from clants an an advance payment for services to be provided and recorded it as uneared toes, 54,800. Received cash trom clients on account, $2,450 Paid cash for a newspaper advertisement, $225, Paid Office Station Co. for part of the debt incurred on April 5, 5640 Provided services on account for the period May 1-15.30,180 Paid part-time receptionist for two weeks' salary including the amount owed on April 30, 5750. Received cash from cash clients for toes eamed during the period May 1-16, 58,360 15 16 17 Record the following transactions on Page 6 of the journal: 20 21. 25. 27 Purchased supplied on account, 5735 Provided services on scount for the period May 16-20, 54.620 Received cash from cash clients for foes eamed for the period May 17-23, 57.000 Received cash from clients on account, $9,520 Paid part-time receptionist for two weeks' salary, $750 Paid telephone bill for May, 5260 Paid electricity bill for May, 5810 Received cash from cash clients for foes oamed for the period May 26-31, $3,300 28 30 31 31 31 Provided services on account for the remainder of May, $2,650. Kolly withdrow $10.500 for personal use 31 1. The chart of accounts for Kelly Consulting is shown in Exhibit 9, and the post-closing trial balance as of April 30, 2019, is shown in Exhibit 17. For each account in the post-closing trial balance, enter the balance in the appropriate Balance column of a four-column account. Date the balances May 1, 2019, and place a check mark (V) in the Posting Reference column. Journalize each of the May transactions in a two-column journal starting on Page 5 of the journal and using Kelly Consulting's chart of accounts. (Do not insert the account numbers in the journal at this time.) 2. Post the joumal to a ledger of four column accounts. 3. Prepare an unadjusted trial balance. 4. At the end of May, the following adjustment data were assembled. Analyze and use these data to complete parts (5) and (6). a. Insurance expired during May is $275 b. Supplies on hand on May 31 are $715, c. Depreciation of office equipment for May is $330 d. Accrued receptionist salary on May 31 is $325 Rent expired during May is $1.600 Unearned fees on May 31 are $3,210. 5. (Optional) Enter the unadjusted trial balance on an end-of-period spreadsheet and complete the spreadsheet 6. Journalize and post the adjusting entries. Record the adjusting entries on Page 7 of the journal 7. Prepare an adjusted trial balance. 8. Prepare an income statement, a statement of owner's equity, and a balance sheet. ANSWER 9. Prepare and post the closing entries. Record the closing entries on Page 8 of the journal. Indicate closed accounts by inserting a line in both Balance columns opposite the closing entry. 10. Prepare a post-closing trial balance
