NGULU TA- UTOYA HOTEL

TRIAL BALANCE

November 30^th, 2018

Account Number DebitCredit

101Cash3,500

126Suppliers2,080

130Prepaid Insurance2,400

140Land12,000

141Buildings60,000

149Equipment15,000

201Accounts Payable4,800

208Unearned Rent Revenue3,300

275Mortgage Payable40,000

301Owner's Capital41,380

429Rent Revenue10,300

610Advertising Expense600

726Salaries and Wages Payable3,300

732Utilities Expense900

99,78099,780

In addition to those accounts listed on the trial balance, the chart of accounts for Ngulu Ta- Utoya Hotel also contains the following accounts and account numbers: No. 142 Accumulated DepreciationBuildings, No. 150 Accumulated DepreciationEquipment, No. 212 Salaries and Wages Payable, No. 230 Interest Payable, No. 619 Depreciation Expense, No. 631 Supplies Expense, No. 718 Interest Expense, and No. 722 Insurance Expense.

Other data:

1. Prepaid insurance is a 1-year policy starting November 1, 2014.

2. A count of supplies shows K750 of unused supplies on November 30.

3. Annual depreciation is K3,000 on the buildings and K1,500 on equipment.

4. The mortgage interest rate is 12%. (The mortgage was taken out on November 1.)

5. Two-thirds of the unearned rent revenue has been earned.

6. Salaries of K750 are accrued and unpaid at November 31.

Instructions

(a)Journalize the adjusting entries on November 30.

(b)Prepare ledgers using the three-column form of account. Enter the trial balance amounts and post the adjusting entries. (Use J1 as the posting reference.)

(c)Make an adjusted trial balance on November 30.

(d)Make an income statement and an owner's equity statement for the month of November and a balance sheet at November 30.