Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please write out each step and try to number it if possible! thanks studying for finals Balke Laboratory began operations on July 1, 2014, and

please write out each step and try to number it if possible! thanks studying for finals image text in transcribed
Balke Laboratory began operations on July 1, 2014, and provides diagnostic services for physicians and medi- cal clinics. The company's fiscal year ends on June 30, and the accounts are adjusted annually on this date. Balke's unadjusted trial balance as of June 30, 2016, is as follows: BALKE LABORATORY Unadjusted Trial Balanoe June 30, 2016 Debit Credit 9,200 6,000 Prepaid Insurance. Supplies.... Laboratory equipment.. .. ...270,000 30,000 3,100 4,000 90,000 50,000 Dlagnostic fees received in advance Common stock. 58,000220,400 wage expense . $397,500 $397,500 Totals The following information is also available: 1. The Prepaid Insurance account balance represents a premium paid on January 1, 2016, for two years of fire and casualty insurance coverage. Before 2016. Balke Laboratory had no insurance protection 2 The supplies were physically counted at June 30, 2016. The count totaled $6300. 3. All laboratory equipment was purchased on July 1, 2014. It is expected to last nine years. 4. Balke Laboratory received a $4,000 cash payment on April 1, 2016, from Boll Clinic for diagnostic services to be provided uniformly over the four months beginning April 1, 2016. Balke credited the payment to Diag- nostic Fees Received in Advance. The services for April, May, and June have been provided to Boll Clinic. 5. Unpaid wages at June 30, 2016, were $600. 6. Balke Laboratory rents facilities for $2,000 per month. Because of cash nlow problems, Balke was unable to pay the rent for June 2016. The landlord gave Balke permission to delay the payment until July Required a. Make the necessary adjusting entries as of June 30, 2016. b. Prepare the adjusted trial balance as of June 30, 2016. c. Prepare the Income Statement, Balance Sheet, and Statement of Stockholders' Equity for Balke Labora- tory at June 30, 2016. d. Make the necessary closing entries as of June 30, 2016. e. Prepare the post-closing trial balance as of June 30, 2016

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Study Guide For Use With Managerial Accounting

Authors: Ronald M. Copeland, Paul E. Dascher, Jerry R. Strawser, Robert H. Strawser

1st Edition

0873937651, 978-0873937658

More Books

Students also viewed these Accounting questions