Problem 4 2A Preparing a work sheet, adjusting and closing entries, and financial statements LO C3, P1, P2 The following unadjusted trial balance is for ACE CONSTRUCTION CO as of the end of its 2017 fiscal year The June 30, 2016, credit balance of the owners capital account was $51,200, and the owner invested $20,000 cash in the company during the 2017 fiscal year ACE CONSTRUCTION CO Unadjusted Trial Balance June 30, 2017 No Account Title Debit Credit 101 Cash $ 18,000 126 Supplies 9,500 128 Prepaid insurance 5,500 167 Equipment 136,010 168 Accumulated depreciationEquipment $ 22,500 201 Accounts payable 6,400 203 Interest payable 0 208 Rent payable 0 210 Wages payable 0 213 Property taxes payable 0 251 Long term notes payable 29,000 301 V Ace, Capital 71,200 302 V Ace, Withdrawals 25,000 401 Construction fees earned 135,000 612 Depreciation expenseEquipment 0 623 Wages expense 42,000 633 Interest expense 3,190 637 Insurance expense 0 640 Rent expense 13,000 652 Supplies expense 0 683 Property taxes expense 4,900 684 Repairs expense 2,900 690 Utilities expense 4,100 Totals $ 264,100 $ 264,100 Adjustments The supplies available at the end of fiscal year 2017 had a cost of $3,420 The cost of expired insurance for the fiscal year is $3,465 Annual depreciation on equipment is $8,800 The June utilities expense of $520 is not included in the unadjusted trial balance because the bill arrived after the trial balance was prepared The $520 amount owed needs to be recorded The companys employees have earned $1,300 of accrued wages at fiscal year end The rent expense incurred and not yet paid or recorded at fiscal year end is $300 Additional property taxes of $900 have been assessed for this fiscal year but have not been paid or recorded in the accounts The long term note payable bears interest at 12 per year The unadjusted Interest Expense account equals the amount paid for the first 11 months of the 2017 fiscal year The $290 accrued interest for June has not yet been paid or recorded (The company is required to make a $6,000 payment toward the note payable during the 2018 fiscal year ) Required 1 Prepare a 10 column work sheet for fiscal year 2017, starting with the unadjusted trial balance and including adjustments based on the additional facts 2a Prepare the adjusting entries (all dated June 30, 2017) 2b Prepare the closing entries (all dated June 30, 2017) 3a Prepare the income statement for the year ended June 30 3b Prepare the statement of owner's equity for the year ended June 30 3c Prepare the classified balance sheet at June 30, 2017

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Problem 4-2A Preparing a work sheet, adjusting and closing entries, and financial statements LO C3, P1, P2 The following unadjusted trial balance is for ACE

Problem 4-2A Preparing a work sheet, adjusting and closing entries, and financial statements LO C3, P1, P2

The following unadjusted trial balance is for ACE CONSTRUCTION CO. as of the end of its 2017 fiscal year. The June 30, 2016, credit balance of the owners capital account was $51,200, and the owner invested $20,000 cash in the company during the 2017 fiscal year.

ACE CONSTRUCTION CO. Unadjusted Trial Balance June 30, 2017
No.	Account Title	Debit		Credit
101	Cash	$	18,000
126	Supplies		9,500
128	Prepaid insurance		5,500
167	Equipment		136,010
168	Accumulated depreciationEquipment			$	22,500
201	Accounts payable				6,400
203	Interest payable				0
208	Rent payable				0
210	Wages payable				0
213	Property taxes payable				0
251	Long-term notes payable				29,000
301	V. Ace, Capital				71,200
302	V. Ace, Withdrawals		25,000
401	Construction fees earned				135,000
612	Depreciation expenseEquipment		0
623	Wages expense		42,000
633	Interest expense		3,190
637	Insurance expense		0
640	Rent expense		13,000
652	Supplies expense		0
683	Property taxes expense		4,900
684	Repairs expense		2,900
690	Utilities expense		4,100
	Totals	$	264,100	$	264,100

Adjustments:

The supplies available at the end of fiscal year 2017 had a cost of $3,420.
The cost of expired insurance for the fiscal year is $3,465.
Annual depreciation on equipment is $8,800.
The June utilities expense of $520 is not included in the unadjusted trial balance because the bill arrived after the trial balance was prepared. The $520 amount owed needs to be recorded.
The companys employees have earned $1,300 of accrued wages at fiscal year-end.
The rent expense incurred and not yet paid or recorded at fiscal year-end is $300.
Additional property taxes of $900 have been assessed for this fiscal year but have not been paid or recorded in the accounts.
The long-term note payable bears interest at 12% per year. The unadjusted Interest Expense account equals the amount paid for the first 11 months of the 2017 fiscal year. The $290 accrued interest for June has not yet been paid or recorded. (The company is required to make a $6,000 payment toward the note payable during the 2018 fiscal year.)

Required: 1. Prepare a 10-column work sheet for fiscal year 2017, starting with the unadjusted trial balance and including adjustments based on the additional facts. 2a. Prepare the adjusting entries. (all dated June 30, 2017). 2b. Prepare the closing entries. (all dated June 30, 2017): 3a. Prepare the income statement for the year ended June 30. 3b. Prepare the statement of owner's equity for the year ended June 30. 3c. Prepare the classified balance sheet at June 30, 2017.