Answered step by step
Verified Expert Solution
Question
1 Approved Answer
please help ! I can't figure out the general journal or impact on.income The unadjusted trial balance of the Kitchen Solutions Company as of December
please help ! I can't figure out the general journal or impact on.income
The unadjusted trial balance of the Kitchen Solutions Company as of December 31, 2021 is found on the trial balance tab. The following information is required to prepare the necessary adjusting entries for the Kitchen Solutions Company 1) The balance in Prepaid insurance represents a 24-month policy that went into effect on December 1, 2021. Review the unadjusted balance in Prepaid insurance, and prepare the necessary adjusting entry, if any. 2) Based on a physical count supplies on hand total $4,950. Review the unadjusted balance in Supplies, and prepare the necessary adjusting entry, if any. 3) The equipment is expected to have a 5-year useful life, and be worth about $12,000 at the end of five years. Review the unadjusted balance in Accumulated depreciation, and prepare the necessary adjusting entry to record the monthly depreciation, if any. 4) On December 26, the client paid a $10,200 60-day fee in advance, covering December 27 to February 24 Review the unadjusted balance in Unearned Consulting Revenue, and prepare the necessary adjusting entry, if any. 5) Kitchen Solutions's employee earns $180 per day for a five-day workweek beginning on Monday and ending on Friday. The employee was last paid on Friday, December 26 Review the unadjusted balance in Salaries expense, and prepare the necessary adjusting entry, if any. 6) In the second week of December, Kitchen Solutions agreed to provide 30 days of consulting services to a local fitness club for a fixed fee of $4.380. The terms of the initial agreement call for Kitchen Solutions to provide services from December 12, 2021, through January 10, 2022 or 30 days of service. The club agrees to pay Kitchen Solutions $4,380 on January 10, 2022. when the service period is complete. Review the unadjusted balance in Consulting revenue, and prepare the necessary adjusting entry, if any. Requirement General Journal General Ledger Trial Balance Income Statement St Owner Equity Balance Sheet Impact on income For each adjustment, indicate the income statement and balance sheet account affected, and the impact on net income. If an adjustment caused net income to decrease, enter the amount as a negative value. Net income before adjustments can be found on the income statement tab. (Hint: Select unadjusted on the dropdown.) Adjusted Account affecting the: Impact on net Requirement General Journal General Ledger Trial Balance Income Statement St Owner Equity Balance Sheet Impact on income For each adjustment indicate the income statement and balance sheet account affected, and the impact on net income. If an adjustment caused net income to decrease, enter the amount as a negative value. Net income before adjustments can be found on the income statement tab. (Hint: Select unadjusted on the dropdown.) Impact on net income Adjusted ) Account affecting the: Adjusting entry related to: Income statement Balance Sheet Insurance expense Prepaid insurance Supplies Supplies expense Supplies Deprecation Depreciation expense - Equipment Accumulated depreciation - Equipment Fes colected in advance Salaries expense Salaries payable Consulting revenue Accounts receivable ered in advance Total impact on income due to adjustments $
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started