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prepare an adjusted trial balance as of September 30. Required informotion Bill's Boards (BB) is an outdoor advertising company founded by William Longfall. William knows
prepare an adjusted trial balance as of September 30.
Required informotion Bill's Boards (BB) is an outdoor advertising company founded by William Longfall. William knows very little accounting so he hired a friend to "keep the books." Unfortunately. William did not review his friend's work and now it seems his friend has made a mess of the accounting records. William has provided you the following list of unadjusted account balances at BB September 30 fiscal year-end. You have reviewed the balances with Willam and made notes shown in the right. column. b8 purchased and receaved $2,926 ot suppires used for creating advertising displays. The supplier is to be paid in October. This balance relates to $1,380 cash paid by a customer in August for advertising from September 1-November 30 . BB employees are still waiting to be paid for the last half of september. B8 has n2t paid the $319 tax owed from the last fiscal year. BB has issued 2,810 shares for $1,420 cash. BB started business a few years ago, 50 this is the total accumulated earnings up to October 1 of last year. BB has provided $2,820 of services for which it has nt yet billed customers or recorded in its accounting records. B8 exployees earn $4,500 per month. The employees were paid in full on August 31 , and were paid again on Septeaber 15 . About $2,100 of the usefulness of the equipnent's $8,40 cost has been used up during the current fiscal year. BB incurs a small cost to rent the land on which its billboards are located. Rent for the current year has been paid in full. t86 accountant expensed $4,110 of supplies parchased during the year because he assumed the supplies would be completely used by year-end. As noted above, he has mrongt. 86 tax rate is 20x of incone before tax. Prepare an adjusted trial balance as of September 30 Step by Step Solution
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