Prepare necessary adjusting entries for year ended September 30, 2017, the adjusted trial balance and financial statements including a statement of cash flows. You are almost ready to produce the financial statements. You need to prepare the adjusting entries for the following: Depreciation a passenger van Depreciation Furniture Depreciation canoes (the canoes were used 55 days each (total 275 days) in 2017). See Part 3 for info required to calculate daily rate. Prepaid insurance (the account balance should be $ 1,600 which represents insurance for Oct May at $ 200 per month). INTEREST EXPENSE ($ 250) On September 30, the company held a seminar. The invoice for this event has not been issued and sent to a client yet. Accrue revenues for this event. The amouHint: to accrue is $ 1,000. Prepare an adjusting entry to record this additional revenue. Dr. Accounts Receivable xxx Cr. Service Revenue xxx Required: 1. Starting with Unadjusted Trial balance as at September 30, 2017, record adjusting entries and prepare Adjusted Trial Balance dated September 30, 2017. 2. Calculate profit and prepare: a. Statement of Changes in Equity for the year ended September 30, 2017 (in proper format, use template) b. Complete Comparative Statement of Financial Position for years 2016 and 2017 (Year 2017 column). c. Statement of Cash Flows (template provided).

Hiking Is Fun earned service revenues as follows (if no date given, use the last day of the month to date the entry): July - $ 6,000 August - $ 13,000 September - $ 5,500 All services were paid for by cash except for $ 1,500 of service revenues provided in September on account (to be paid on October 21, 2016). There is a group of Austrian tourists who absolutely loved their trip to Canada and are planning to come back next year (in July). They booked a two weeks tour to take place in July 2017 and paid a deposit of $ 1,000 cash on September 21, 2016. On July 9, you purchased advertising materials on account from Kamloops today for $1,500. The terms are 30 days net. You leased office space in Kamloops for $ 1,000 per month. You are excited to move out of your garage (also called an office for the time being) and set up a proper office. The lease commences on August 1. Your landlord requires the rent to be paid 3 months in advance ($ 3,000). On July 29 you paid the invoice owed to Staples (see part 1 for details). The office furniture was purchased on August 1, 2016 for the amount of $ 4,500 cash. The expected useful life of this asset is 5 years. Your remuneration is in the form of dividends ($ 6,500 each) paid on September 30, 2016. All other expenses are as follows (all cash payments): Fuel expenses - $ 750 per month Equipment rental - $ 150 per month Telephone expenses - $ 700 per month Utilities expenses - $ 140 per month (August, September only)