Open with Google Docs Question 1 Shinny Cleaning Services Company offers cleaning services to their business clients. The unadjusted trial balance for their company has been prepared for the year ended August 31 2020, was shown below: Shinny Cleaning Services Company Unadjusted Trial Balance for the year ended August 31, 2020 Dr Cr Cleaning supplies Account Receivable Land New machinery bought Equipment 27.091 6,638 80,000 84,000 65,000 Accumulated depreciation equipment 31,200 Cash at Bank 16,533 Accounts Payable 9,130 Unearned Service Fees 24,258 Earned Service Fees 212,326 Austin Shinny: Capital 117,500 Withdrawals 22,900 Prepaid Business rates 12,950 Wages expense 47,720 Rental charges for office 23,683 Insurance expense 15,000 Utilities and Hydro expense 20,318 Miscellaneous expense 5,647 Cleaning supplies expenses Subscriptions expenses Accrual cleaning supplies Business rates expenses Depreciation - machi Page 2/3 + Accumulated deprec Depreciation - machiner Accumulated depreciatio Open with Google Docs Depreciation - equipment Accrual - rental charges for office REQUIRED: 410,947 410,947 1) Enter the above unadjusted trial balance into your answer sheet. Using the following additional information, enter the adjustments into your answer sheet. Please notice that there might be more than ONE adjustment in an account. (40 marks) a) On August 1, the company agree to provide a special five-months cleaning project for a client. The contract calls for a $5,400 monthly cleaning service fee, and the client paid the first three months' revenue in advance. When cash was received, the Unearned Service Fees Account was credited. b) On June 16, Shinny Cleaning Services Company agreed to clean the warehouse of a client for four months at $2,000 per month payable at the end of each month. The services have been provided as agreed, and so far, no payment has been received. c) An inventory count shows that cleaning supplies costing $13,400 are on hand at the end of August 31. Page 2/3 Q + A standing order navment of annual cubeerintions of $250 to Ontario Cleaning Services dy E (DELL 16 client for four months at the end of each month. The Open with Google Docs services have been province as agreed, and so far, no payment has been received. c) An inventory count shows that cleaning supplies costing $13,400 are on hand at the end of August 31. d) A standing order payment of annual subscriptions of $250 to Ontario Cleaning Services Union has been recorded in the bank statement on August 27, 2020 but this transaction is not recorded in the cash book. e) A cheque received from a customer on August 16, 2020 from Mrs. Vivian Smith for $3,780 had been returned by the bank and marked NO FUNDS AVAILABLE. No adjustment has been made in the cash at bank account. f) $3,450 was owing on August 31, 2020 in respect of cleaning supplies bought on credit. g) Business rates of $8,400 were paid to cover the period April 1 2020 to March 31, 2021. h) The new machinery was bought at April 1, 2020. Depreciation is over 10 years with machines being depreciated for the proportion of the year that they are owned. No depreciation adjustment has been made in the books. i) The estimated monthly depreciation on the equipment is $650. No depreciation adjustment has been made in the books. There is no additions during the year. j) The rental charges for office are all belongs to the 2019/2020 financial year. One month rental charges for office is accrued. 2) Prepare: a post-closing adjusted trial balance for the year ended August 31, 2020; (25 marks) an Income Statement for the year ended August 31, 2020; (13 marks) - A Statement of Changes in Owners' Equity as at August 31, 2020 and (5 marks) A Balance She Page 3 3 (17 marks) (Total: 100 marks) (DELL 16C