Laura Hall started her own consulting firm, Hall Consulting, on May 1, 2022. The trial balance at May 31 is as follows.
HALL CONSULTING Trial Balance May 31, 2022 Account Number Debit Credit 101 Cash $ 4,500 112 Accounts Receivable 5,800 126 Supplies 2,200 130 Prepaid Insurance 4,800 149 Equipment 10,800 201 Accounts Payable $ 4,500 209 Unearned Service Revenue 2,100 301 Owner's Capital 18,100 400 Service Revenue 8,000 726 Salaries and Wages Expense 3,300 729 Rent Expense 1,300 $ 32,700 $ 32,700 In addition to those accounts listed on the trial balance, the chart of accounts for Hall Consulting also contains the following accounts and account numbers: No. 150 Accumulated Depreciation-Equipment, No. 212 Salaries and Wages Payable, No. 631 Supplies Expense, No. 717 Depreciation Expense, No. 722 Insurance Expense, and No. 732 Utilities Expense. Other data: 1. $ 1,100 of supplies have been used during the month. 2. Utilities expense incurred but not paid on May 31, 2022, $ 300. 3. An insurance policy for 2 years was purchased on May 1. 4. $ 400 of the balance in the unearned service revenue account remains unearned at the end of the month. 5. May 31 is a Wednesday, and employees are paid on Fridays. Hall Consulting has two employees, who are paid $ 1,100 each for a 5-day work week. 6. The office furniture has a 5-year life with no salvage value. It is being depreciated at $ 180 per month for 60 months. 7. Invoices representing $ 1,600 of services performed during the month have not been recorded as of May 31. (b) Enter the totals from the trial balance as beginning account balances. Post the adjusting entries to the ledger accounts. (Post entries in the order of journal entries presented in the previous part.) Cash No. 101 Date Explanation Ref. Debit Credit Balance May 31 Balance Accounts Receivable No. 112 Date Explanation Ref. Debit Credit Balance May 31 Balance May 31 Adjusting 14 Supplies No. 126 Date Explanation Ref. Debit Credit Balance May 31 Balance May 31 Adjusting 14 Prepaid Insurance No. 130 Date Explanation Ref. Debit Credit Balance May 31 Balance May 31 Adjusting J4 Equipment No. 149 Date Explanation Ref. Debit Credit Balance May 31 Balance v Accumulated Depreciation- Equipment No. 150 Date Explanation Ref. Debit Credit Balance May 31 Adjusting 14 Accounts Payable No. 201 Date Explanation Ref. Debit Credit Balance May 31 Balance May 31 Adjusting J4 Date Explanation Ref. Debit Credit Balance May 31 Balance May 31 Adjusting 14 Salaries and Wages Payable No. 212 Date Explanation Ref. Debit Credit Balance May 31 Adjusting J4 Owner's Capital No. 301 Date Explanation Ref. Debit Credit Balance May 31 Balance Service Revenue No. 400 Date Explanation Ref. Debit Credit Balance May 31 Balance May 31 Adjusting 14 May 31 Adiusting 14 Supplies Expense No. 631 Date Explanation Ref. Debit Credit Credit Balance May 31 Adjusting 14 Depreciation Expense No. 717 Date Explanation Ref. Debit Credit Balance May 31 Adjusting 14 Insurance Expense No. 722 Date Explanation Ref. Debit Debit Credit Balance May 31 Adjusting 14 Salaries and Wages Expense No. 726 Date Explanation Ref. Debit Credit Balance May 31 Balance May 31 Adjusting J4 Rent Expense No. 729 Date Explanation Ref. Debit Credit Balance May 31 Balance Utilities Expense No. 732 Date Explanation Ref. Debit Credit Balance May 31 Adjusting J4
