*Problem 3-1A Deanna Nardelli started her own consulting firm, Nardelli Consulting, on May 1, 2015. The trial balance at May 31 is as follows. NARDELLI CONSULTING Trial Balance Hay 31, 2015 Cash Accounts Receivable 4,400 5,913 1,863 3,336 10,620 112 Prepaid Insurance s 2,174 1,996 18,905 7,797 Accounts Payable Unearned Service Revenue Common Stock Service Revenue Salaries and Wages Expense Rent Expense 209 301 400 726 729 3,306 1,434 $30,872 $30,872 In addition to those accounts isted on the trial balance, the chart of accounts for Nardelli Consulting also contains the following accounts and account numbers: No. 150 Accumulated Depreciation- Equipment, No. 212 Salaries and Wages Payable, No. 631 Supplies Expense, No. 717 Depreciation Expense, No. 722 Insurance Expense, and No. 732 Utilties Expense Other data: 1. $773 of supplies have been used during the month 2. Utilities expense incurred but not paid on May 31, 2015, $242. (Includes utlities payable under accounts payable. 3. The insurance policy is for 2 years 4. $324 of the balance in the unearned service revenue account remains unearned at the end of the month. 5. May 31 is a Wednesday, and employees are paid on Fridays. Nardelli Consulting has two employees, who are paid $1,090 each for a 5-day work week. 6. The office furniture has a S-year life with no salvage value. It is being depreciated at $177 per month for 60 morths 7. Invoices representing $1,659 of services performed during the month have not been recorded as of May 31 Prepare the adjusting entries for the month of May. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.) No. Date Account Titles and Explanation Debit Credit 1. May 31 2. May 31 3. May 31 4. May 31 5. May 31 6. May 31 7. May 31 Post the adjusting entries to the ledger accounts. Enter the totals from the trial balance as beginning account balances. (Post entries in the order of journal entries presented in the previous pavt. May 31 May 31 May 31 May 31 May 31 Prepaid Insurance Balance May 31 Balance May 31 May 31 May 31 Accounts Payable May 31 Balance May 31 May 31 Balance May 31 34 Salaries and Wages Payable No. 212 Debit Date Explanation Credit Balance May 31 Adjusting J4 Common Stock No. 301 Date Explanation Ref Debit Balance May 31 Balance Service Revenue No. 400 Balance Date Explanation Debit Credit May 31 May 31 May 31 Supplies Expense Balance Adjusting Adjusting 04 04 No. 631 Debit Ref Balance Date Explanation Credit May 31 Depreciation Expense Adjusting J4 Debit DateExplanation Ref Credit Balance May 31 Adjusting 04 No. 722 Insurance Expense Debit Date Explanation Ref Credit Balance May 31 Salaries and Wages Expense 04 Adjusting No. 726 Date Explanation Ref Debit Credit Balance May 31 May 31 Rent Expense Balance Adjusting J4 No. 729 Date Explanation Debit Credit Balance Ref May 31 Balance Utilities Expense No. 736 Date Explanation Credit Balance Ref Debit May 31 Adjusting 04 Prepare an adjusted trial balance at May 31, 2015. NARDELLI CONSULTING Adjusted Trial Balance May 31, 2015 Debit Credit
