Part 1 instructions:

Prepare the adjusting journal entries.(DO NOT CREATE ANY NEW ACCOUNT NAMES)

Trial Balance

December 31, 2010

	Dr.	Cr.
Cash	19,500
Accounts Receivable
Prepaid Advertising	2,400
Supplies	4,300
Land	25,000
Cottages	129,600
Furniture	14,100
Accumulated Depreciation
Accounts Payable		6,500
Unearned Rent Revenue		6,800
Mortgage Payable		70,600
Common Stock		100,000
Dividends	5,000
Rent Revenue		80,000
Salaries Expense	51,000
Utilities Expense	9,400
Repair Expense	3,600
Depreciation Expense
Supplies Expense
Advertising Expense
Total	263,900	263,900

The accountant, Mr. Berk, noticed that the following adjustments were required before the December 31^st financial statements could be prepared for the new resort. The business was started on April 1, 2010.

1. Rent was due from tenants at December 31, 2010 in the amount of $1,600 (accounts receivable). Nothing was recorded yet.

2. Prepaid Advertising expires at the rate of $200 per month. The adjusting journal entry is needed to show 9 months of this Prepaid Advertising has been used by December 31st.

3. Unearned rent revenue of $1,500 was earned as of December 31, 2010. No adjustment has been recorded yet.

4. Supplies on hand as of December 31^st were $1,200.

5. Depreciation on the cottages and furniture has not yet been recorded for the year. Record depreciation expense of $5,355.

Prepare the adjusting journal entries(DO NOT CREATE ANY NEW ACCOUNT NAMES) Swiss Chalet Corp. Trial Balance December 31, 2010 Dr. Cash 19,500 Accounts Receivable Prepaid Advertising 2,400 Supplies 4,300 Land 25,000 Cottages 129,600 Furniture 14,100 Accumulated Depreciation Accounts Payable Unearned Rent Revenue Mortgage Payable Common Stock Dividends 5,000 Rent Revenue Salaries Expense 51,000 Utilities Expense 9,400 Repair Expense 3,600 Depreciation Expense Supplies Expense Advertising Expense Total 263,900 Cr. 6,500 6,800 70,600 100,000 80,000 263,900 The accountant, Mr. Berk, noticed that the following adjustments were required before the December 31st financial statements could be prepared for the new resort. The business was started on April 1, 2010. 1 Rent was due from tenants at December 31, 2010 in the amount of $1,600 (accounts receivable). Nothing was recorded yet. 2 Prepaid Advertising expires at the rate of $200 per month. The adjusting journal entry is needed to show 9 months of this Prepaid Advertising has been used by December 31st. 3 Unearned rent revenue of $1,500 was earned as of December 31, 2010. No adjustme nt has been recorded yet. 4 Supplies on hand as of December 31st were $1,200. 5 Depreciation on the cottages and furniture has not yet been recorded for the year. Record depreciation expense of $5,355