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 owner's capital account was $60,000, and the owner invested $29,000 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 $ 17,500 126 Supplies 7,500 128 Prepaid insurance 6,500 167 Equipment 141,640 168 Accumulated depreciation-Equipment $ 23,000 201 Accounts payable 5,800 203 Interest payable 208 Rent payable 210 Wages payable 213 Property taxes payable 251 Long-term notes payable 26,000 301 V. Ace, Capital 89,000 302 V. Ace, Withdrawals 34,500 401 Construction fees earned 142,000 612 Depreciation expense-Equipment 623 Wages expense 49,000 633 Interest expense 2,860 637 Insurance expense 640 Rent expense 15,000 652 Supplies expense @ 683 Property taxes expense 4,900 684 Repairs expense 2,300 690 Utilities expense 4,100 Totals $285,800 $285,800 Adjustments: 0. The supplies available at the end of fiscal year 2017 had a cost of $2.700 b. The cost of expired insurance for the fiscal year is $4,095 c. Annual depreciation on equipment is $8,600 d. The June utilities expense of $510 is not included in the unadjusted trial balance because the bill arrived after the trial balance was prepared. The $510 amount owed needs to be recorded. e. The company's employees have earned $2,000 of accrued wages at fiscal year-end. The rent expense incurred and not yet paid or recorded at fiscal year-end is $300 9. Additional property taxes of $900 have been assessed for this fiscal year but have not been paid or recorded in the accounts h. 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 $260 accrued interest for June has not yet been paid or recorded (The company is required to make a $5,000 payment toward the note payable during the 2018 fiscal year) Required: 1. Prepare a 10 column worksheet for fiscal year 2017, starting with the unadjusted trial balance and including adjustments based on the additional facts. 20. 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 Complete this question by entering your answers in the tabs below. Required 1 Required 2A Required 2B Required 3A Required 38 Required 3C ACE CONSTRUCTION CO. Work Sheet For Year Ended June 10, 2017 Unadjusted Trial Balance Income Statement Adjustments Dr. Cr C. Adjusted Trial Balance Dr. CE Balance She of Ow Dr. Dr CE Dr. $17.500 7.500 0,500 149,640 23.000 5,800 No. Account Title 101 Cash 126 Supplies 128 Prepaid Insurance 167 Equipment 168 Accumulated depreciation Equipment 201 Accounts payable 203 Interest payable 208 Rent payable 210 Wages payable 213 Property taxes payable 220 Current portion of Long-term notos payable 251 Long-term notos payable 301 V. Aco, Capital 302 V. Ace, Withdrawal 401 Construction foes and 612 Depreciation expense Equipment 623 Wages expense 5.000 5,000 21.000 80,000 21.000 34.500 142.000 49,000 Journal entry worksheet The supplies available at the end of fiscal year 2017 had a cost of $2,700. Note: Enter debits before credits. Transation General Journal Debit Credit a Record entry Clear entry View general journal View transaction list Journal entry worksheet 1 2 3 4 Record the entry to close revenue accounts. Note: Enter debits before credits Date General Journal Debit Credit Jun 30 Record entry Clear entry View general journal Prepare the income statement for the year ended June 30, 2017. ACE CONSTRUCTION CO. Income Statement For Year Ended June 30, 2017 Revenues: Expenses: Total expenses Prepare the statement of owner's equity for the year ended June 30, 2017. The June 30, 2016, credit balance of the owner's capital account was $60,000, and the owner invested $29,000 cash in the company during the 2017 fiscal year. ACE CONSTRUCTION CO. Statement of Owner's Equity For Year Ended June 30, 2017 V. Ace, Capital, June 30, 2016 V. Aco, Capital, June 30, 2017 Prepare the classified balance sheet at June 30, 2017. ACE CONSTRUCTION CO. Balance Sheet June 30, 2017