On April 1, 2017 Jiro Nozomi created a new travel agency, Adventure Travel. The following transactions occurred during the company first month . April 1 Nozomi invested $49,000 cash and computer equipment worth $30,000 in the company in exchange for common stock

On April 1, 2017, Jiro Nozomi created a new travel agency, Adventure Travel. The following transactions occurred during the company's first month. April 1 Nozomi invested $49,000 cash and computer equipment worth $38, in the company in exchange for common stock 2 The company rented furnished office space by paying $1,800 cash for the first month's (April) rent 3 The company purchased $1,000 of office supplies for caslh 10 The company paid $2,800 cash for the premium on a 12-month insurance policy. Coverage begins on April 11 14 The company paid $1,200 cash for two weeks salaries earned by employees 24 The company collected $22,580 cash on commissions from airlines on tickets obtained for customers 28 The company paid $1,280 cash for two weeks' salaries earned by employees 29 The company paid $350 cash for minor repairs to the company's computer 30 The company paid $1,280 cash for this month's telephone bill 30 The company paid $2,80e cash in dividends The company's chart of accounts follows: 101 Cash 106 Accounts Receivable 124 Office Supplies 128 Prepaid Insurance 167 Computer Equipment 168 Accumulated Depreciation-Computer Equip 289 Salaries Payable 307 Common Stock 318 Retained Earnings 319 Dividends 405 Conmissions Earned 612 Depreciation Expense-Computer Equip 622 Salaries Expense 637 Insurance Expense 640 Rent Expense 650 Office Supplies Expense 684 Repairs Expense 688 Telephone Expense 901 Income Summary Use the following information: a. Two-thirds (or $111) of one month's insurance coverage has expired. b. At the end of the month, $400 of office supplies are still available. c. This month's depreciation on the computer equipment is $500 d. Employees earned $460 of unpaid and unrecorded salaries as of month-end. e. The company earned $2,000 of commissions that are not yet billed at month-end Required: 1. & 2. Prepare journal entries to record the transactions for April and post them to the ledger accounts in Requirement 6b. The company records prepaid and unearned items in balance sheet accounts 3. Using account balances from Requirement 6b, prepare an unadjusted trial balance as of April 30. 4. Journalize and post the adjusting entries for the month and prepare the adjusted trial balance. 5a. Prepare the income statement for the month of April 30, 2017 5b. Prepare the statement of retained earnings for the month of April 30, 2017. 5c. Prepare the balance sheet at April 30, 2017 6a. Prepare journal entries to close the temporary accounts and then post to Requirement 6b. 6b. Post the journal entries to the ledger using adjusted account balances from Requirement 6b, prepare an adjusted trial balance as of April intermediate calculations.) ADVENTURE TRAVEL Adjusted Trial Balance April 30, 2017 Credit Account Title 101: Cash 106: Accounts receivable 124: Office supplies 128: Prepaid insurance 167 Computer equipment 168: Accumulated depreciation-Computer equipment 209: Salaries payable 307: Common stock 318 Retained earnings 319 Dividends 405: Commissions earned 612: Depreciation expense-Computer equipment 622: Salaries expense 637: Insurance expense 640: Rent expense 650: Office supplies expense 684: Repairs expense 688: Telephone expense Total K Req 4 Adj Entries Req 5A > Prepare the income statement for the month of April 30, 2017 ADVENTURE TRAVEL Income Statement For Month Ended April 30, 2017 Revenues: Commissions earned Expenses Depreciation expense-Computer equip Salaries expense Insurance expense Rent expense Office supplies expense Telephone expense Repairs expense Total expenses Net income Req 4 Adj Trial Bal Prepare the balance sheet at April 30, 2017. ADVENTURE TRAVEL Balance Sheet April 30, 2017 Assets Cash Accounts receivable Office supplies Prepaid insurance Computer equipment Accumulated depreciation Total assets Computer equip Liabilities Salaries payable Equity Common stock Total equity Total liabilities and equity K Req 5B Req 6A > View transaction list Journal entry worksheet 2 3 4 Record the entry to close revenue account(s). Note: Enter debits before credits. General Journal Debit Credit Date April 30 Commissions earned Income summary Clear entry Record entry View general journal Req 50 Req 6B GL> View transaction list Journal entry worksheet Record the entry to close expense account(s). Note: Enter debits before credits. Date General Journal Debit Credit April 30 Record entry Clear entry View general journal Prepare journal entries to close the temporary accounts and then post to Req 6B General Ledger, using Ap View transaction list Journal entry worksheet 2 Record the entry to close income summary. Note: Enter debits before credits Debit Credit General Journal Date April 30 Record entry Clear entry View general journal Req 6B GL> Req 5C View transaction list Journal entry worksheet 1 2 3 Record the entry to close the withdrawals account. Note: Enter debits before credits. Credit Date General Journal Debit April 30 Record entry Clear entry View general journal K Req 50 Req 6B GL