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Problem 3-1A Logan Krause started her own consulting firm, Krause Consulting, on May 1, 2017. The trial balance at May 31 is as follows. KRAUSE

Problem 3-1A Logan Krause started her own consulting firm, Krause Consulting, on May 1, 2017. The trial balance at May 31 is as follows.
KRAUSE CONSULTING Trial Balance May 31, 2017
Account Number Debit Credit
101 Cash $ 4,500
112 Accounts Receivable 6,200
126 Supplies 1,900
130 Prepaid Insurance 2,400
149 Equipment 12,600
201 Accounts Payable $ 4,600
209 Unearned Service Revenue 1,900
301 Owners Capital 17,700
400 Service Revenue 8,300
726 Salaries and Wages Expense 3,500
729 Rent Expense 1,400
$32,500 $32,500
In addition to those accounts listed on the trial balance, the chart of accounts for Krause Consulting also contains the following accounts and account numbers: No. 150 Accumulated DepreciationEquipment, No. 212 Salaries and Wages Payable, No. 631 Supplies Expense, No. 717 Depreciation Expense, No. 722 Insurance Expense, and No. 732 Utilities Expense. Other data:
1. $900of supplies have been used during the month.
2. Utilities expense incurred but not paid on May 31, 2017, $200.
3. The insurance policy is for 2 years.
4. $300 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. Krause Consulting has two employees, who are paid $800each for a 5-day work week.
6. The office furniture has a 5-year life with no salvage value. It is being depreciated at $210 per month for 60 months.
7. Invoices representing $1,500 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 Ref. Debit Credit
1. May 31 631
126
2. May 31 732
201
3. May 31 722
130
4. May 31 209
400
5. May 31 726
212
6. May 31 717
150
7. May 31 112
400
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 part.)
Cash No. 101
Date Explanation Ref. Debit Credit Balance
May 31 Balance
Accounts Receivable No. 112
Date Explanation Ref. Debit Credit Balance
May 31 Balance
May 31 Adjusting J4
Supplies No. 126
Date Explanation Ref. Debit Credit Balance
May 31 Balance
May 31 Adjusting J4
Prepaid Insurance No. 130
Date Explanation Ref. Debit Credit Balance
May 31 Balance
May 31 Adjusting J4
Equipment No. 149
Date Explanation Ref. Debit Credit Balance
May 31 Balance
Accumulated DepreciationEquipment No. 150
Date Explanation Ref. Debit Credit Balance
May 31 Adjusting J4
Accounts Payable No. 201
Date Explanation Ref. Debit Credit Balance
May 31 Balance
May 31 Adjusting J4
Unearned Service Revenue No. 209
Date Explanation Ref. Debit Credit Balance
May 31 Balance
May 31 Adjusting J4
Salaries and Wages Payable No. 212
Date Explanation Ref. Debit Credit Balance
May 31 Adjusting J4
Owners Capital No. 301
Date Explanation Ref. Debit Credit Balance
May 31 Balance
Service Revenue No. 400
Date Explanation Ref. Debit Credit Balance
May 31 Balance
May 31 Adjusting J4
May 31 Adjusting J4
Supplies Expense No. 631
Date Explanation Ref. Debit Credit Balance
May 31 Adjusting J4
Depreciation Expense No. 717
Date Explanation Ref. Debit Credit Balance
May 31 Adjusting J4
Insurance Expense No. 722
Date Explanation Ref. Debit Credit Balance
May 31 Adjusting J4
Salaries and Wages Expense No. 726
Date Explanation Ref. Debit Credit Balance
May 31 Balance
May 31 Adjusting J4
Rent Expense No. 729
Date Explanation Ref. Debit Credit Balance
May 31 Balance
Utilities Expense No. 736
Date Explanation Ref. Debit Credit Balance
May 31 Adjusting J4
Prepare an adjusted trial balance at May 31, 2017.
KRAUSE CONSULTING Adjusted Trial Balance For the Year Ended May 31, 2017May 31, 2017For the Month Ended May 31, 2017
Debit Credit
$ $

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