Question
Milbank Repairs & Service UNADJUSTED TRIAL BALANCE June 30, 2019 ACCOUNT TITLE DEBIT CREDIT 1 Cash 10,350.00 2 Accounts Receivable 67,500.00 3 Supplies 16,200.00 4
Milbank Repairs & Service
UNADJUSTED TRIAL BALANCE
June 30, 2019
ACCOUNT TITLE | DEBIT | CREDIT | |
---|---|---|---|
1 | Cash | 10,350.00 |
|
2 | Accounts Receivable | 67,500.00 |
|
3 | Supplies | 16,200.00 |
|
4 | Equipment | 166,100.00 |
|
5 | Accounts Payable |
| 15,750.00 |
6 | Unearned Fees |
| 18,000.00 |
7 | Nancy Townes, Capital |
| 171,500.00 |
8 | Nancy Townes, Drawing | 13,500.00 |
|
9 | Fees Earned |
| 294,750.00 |
10 | Wages Expense | 94,500.00 |
|
11 | Rent Expense | 72,000.00 |
|
12 | Utilities Expense | 51,750.00 |
|
13 | Miscellaneous Expense | 8,100.00 |
|
14 | Totals | 500,000.00 | 500,000.00 |
For preparing the adjusting entries, the following data were assembled:
Fees earned but unbilled on June 30 were $7,380. | |
Supplies on hand on June 30 were $2,775. | |
Depreciation of equipment was estimated to be $11,000 for the year. | |
The balance in unearned fees represented the June 1 receipt in advance for services to be provided. During June, $16,500 of the services were provided. | |
Unpaid wages accrued on June 30 were $3,880. |
Required: | |
1. | Journalize the adjusting entries necessary on June 30, 2019. Refer to the Chart of Accounts for exact wording of account titles. |
2. | Determine the revenues, expenses, and net income of Milbank Repairs & Service before the adjusting entries. |
3. | Determine the revenues, expenses, and net income of Milbank Repairs & Service after the adjusting entries. |
4. | Determine the effect of the adjusting entries on Nancy Townes, Capital. |
1. Journalize the adjusting entries necessary on June 30, 2019.
PAGE 10
JOURNAL
ACCOUNTING EQUATION
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2. Determine the revenues, expenses, and net income of Milbank Repairs & Service before the adjusting entries.
Question not attempted.
Score: 0/12
Before Adjusting Entries |
1 | Revenues |
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2 | Expenses |
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3 | Net income |
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3. Determine the revenues, expenses, and net income of Milbank Repairs & Service after the adjusting entries.
Question not attempted.
Score: 0/12
After Adjusting Entries |
1 | Revenues |
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2 | Expenses |
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3 | Net income |
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4. Determine the effect of the adjusting entries on Nancy Townes, Capital.
The adjusting entries_____ net income by ____.
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