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 $58,000, and the owner invested $30,000 cash in the company during the 2017 fiscal year. Credit Debit $ 18,000 8,000 6,500 163,620 ACE CONSTRUCTION Co. Unadjusted Trial Balance June 30, 2017 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 251 Long-term notes payable 301 V. Ace, Capital 302 v. Ace, Withdrawals 401 Construction fees earned 612 Depreciation expense-Equipment 623 Wages expense 633 Interest expense 637 Insurance expense 640 Rent expense 652 Supplies expense 683 Property taxes expense 684 Repairs expense 690 Utilities expense Totals $ 25,500 5,400 0 0 0 0 28,000 88,000 28,000 145,000 0 40,000 3,080 0 13,000 4,800 2,100 4,800 $ 291,900 $ 291,900 Adjustments: a. The supplies available at the end of fiscal year 2017 had a cost of $2,880. b. The cost of expired insurance for the fiscal year is $4,095. c. Annual depreciation on equipment is $9,000. d. The June utilities expense of $530 is not included in the unadjusted trial balance because the bill arrived after the trial balance was prepared. The $530 amount owed needs to be recorded. e. The company's employees have earned $1,700 of accrued wages at fiscal year-end. f. The rent expense incurred and not yet paid or recorded at fiscal year-end is $500. g. Additional property taxes of $700 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 $280 accrued interest for June has not yet been paid or recorded. (The company is required to make a $4,500 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. Complete this question by entering your answers in the tabs below. Required 1 Required 2A Required 28 Required 3A Required 3B Required 3C Prepare a 10-column work sheet for fiscal year 2017, starting with the unadjusted trial balance and including adjustments based on the additional facts. The June 30, 2016, credit balance of the owner's capital account was $58000, and the owner invested $30000 cash in the company during the 2017 fiscal year. ACE CONSTRUCTION CO. Work Sheet For Year Ended June 30, 2017 Unadjusted Trial Balance Adjustments Adjusted Trial Balance Income Statement Balance Sheet and Statement of Owner's Equity Dr. Cr. Cr. No Account Title Dr. Cr. Dr. Cr. Dr. Cr. Dr. 101 Cash $ 18,000 126 Supplies 8,000 128 Prepaid Insurance 6,500 . 167 Equipment 163,620 t. 168 Accumulated depreciation Equipment 25,500 . 201 Accounts payable 5,400 203 Interest payable - 208 Rent payable 210 Wages payable 213 Property taxes payable 220 Current portion of Long-term notes payable 4,500 4,500 251 Long-term notes payable 23,500 23,500 - te 301 V. Ace, Capital 88.000 ......... 302 V. Ace, Withdrawals 28,000 401 Construction Construction fees earned 145,000 612 Depreciation expense-Equipment 623 Wages expense 40,000 633 Interest expense 3,080 637 Insurance expenso 840 Rent expense 13,000 652 Supplies expense 683 Property taxes expense 4,800 684 Repairs expenso 2,100 690 Utilities expense 4,800 Totals $ 291,900 $ 291,900 Net Income Totals *Using item h above, the notes payable account is reclassified into current and long-term portions for the unadjusted trial balance columns of the work sheet. Required 1 Required 2A > Complete this question by entering your answers in the tabs below. Required 1 Required 2A Required 2B Required 3A Required 3B Required 3C Prepare the adjusting entries (all dated June 30, 2017). View transaction list Journal entry worksheet 1 N 3 3 4 5 6 7 8 The supplies available at the end of fiscal year 2017 had a cost of $2,880. Note: Enter debits before credits. Transation General Journal Debit Credit a. Record entry Clear entry View general journal 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 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 3B Required 3C 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 Complete this question by entering your answers in the tabs below. Required 1 Required 2A Required 2B Required 3A Required 3B Required 3C 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 $58,000, and the owner invested $30,000 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. Ace, Capital, June 30, 2017 Complete this question by entering your answers in the tabs below. Required 1 Required 2A Required 2B Required 3A Required 3B Required 3C Prepare the classified balance sheet at June 30, 2017. ACE CONSTRUCTION CO. Balance Sheet June 30, 2017