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Pitman Company is a small editorial services company owned and operated by Jan Pitman. On October 31, 2019 the end of the current year, Pitman

Pitman Company is a small editorial services company owned and operated by Jan Pitman. On October 31, 2019 the end of the current year, Pitman Companys accounting clerk prepared the following unadjusted trial balance:

Pitman Company

UNADJUSTED TRIAL BALANCE

October 31, 2019

ACCOUNT TITLE DEBIT CREDIT

1

Cash

7,655.00

2

Accounts Receivable

38,345.00

3

Prepaid Insurance

7,075.00

4

Supplies

2,290.00

5

Land

113,500.00

6

Building

149,450.00

7

Accumulated Depreciation-Building

87,905.00

8

Equipment

133,250.00

9

Accumulated Depreciation-Equipment

96,435.00

10

Accounts Payable

11,860.00

11

Unearned Rent

6,705.00

12

Jan Pitman, Capital

220,820.00

13

Jan Pitman, Drawing

14,690.00

14

Fees Earned

328,600.00

15

Salaries and Wages Expense

198,220.00

16

Utilities Expense

42,120.00

17

Advertising Expense

22,315.00

18

Repairs Expense

17,210.00

19

Miscellaneous Expense

6,205.00

20

Totals

752,325.00

752,325.00

The data needed to determine year-end adjustments are as follows:

a. Unexpired insurance at October 31, $5,860.
b. Supplies on hand at October 31, $545.
c. Depreciation of building for the year, $7,985.
d. Depreciation of equipment for the year, $4,080.
e. Unearned rent at October 31, $1,145.
f. Accrued salaries and wages at October 31, $3,490.
g. Fees earned but unbilled on October 31, $11,640.
Required:
1. Journalize the adjusting entries using the following additional accounts: Salaries and Wages Payable, Rent Revenue, Insurance Expense, Depreciation ExpenseBuilding, Depreciation ExpenseEquipment and Supplies Expense. Refer to the Chart of Accounts for exact wording of account titles.
2. Determine the balances of the accounts affected by the adjusting entries and prepare an adjusted trial balance.

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