Problems 3-5A (Algo) Applying the accounting cycle LO P1, P2, P3, P4, P5, P6 On April 1, Jiro Nozomi created a new travel agency, Adventure Travel. The following transactions occurred during the company's first month. April 1 Nozomi invested $40,000 cash and computer equipment worth $30,000 in the company in exchange for common stock. April 2 The company rented furnished office space by paying $2,700 cash for the first month's (April) rent. April 10 The company purchased $1,500 of office supplies for cash. April 14 The company paid $1,700 cash for the premium on a 12-month insurance policy. Coverage begins on April 11. April 24 The company collected $15, 500 for two weeks' salaries earned by employees. April 28 The company paid $1,700 cash for comissions revenue. April 29 The company paid sor two weeks' salaries earned by employees. April 30 The company paid $130 cash for minor repairs to the company's computer. April 30 The company paid $2,000 cash in dividends. a. Prepaid insurance of $128 has expired this month. b. At the end of the month, $600 of office supplies are still available. a. Prepaid insurance of $128 has expired this month. b. At the end of the month, $600 of office supplies are still available. c. This month's depreciation on the computer equipment is $400. d. Employees earned $320 of unpaid and unrecorded salaries as of month-end. e. The company earned $2,450 of commissions that are not yet billed at month-end. Required: 1. & 2. Prepare journal entries to record the transactions for April and post them to the ledger accounts in Requirement 6b. company records prepaid and unearned items in balance sheet accounts. 3. Using account balances from Requirement 6b, prepare an unadjusted trial balance as of April 30 . 4. Journalize the adjusting entries for the month and prepare the adjusted trial balance. 5a. Prepare the income statement for the month of April 30. 5b. Prepare the statement of retained earnings for the month of April 30 . 5c. Prepare the balance sheet at April 30. 6a. Prepare journal entries to close the temporary accounts and then post to Requirement 6b. 6b. Post the journal entries to the ledger. 7. Prepare a post-closing trial balance. ADVENTURE TRAVEL Unadjusted Trial Balance April 30 Account Title 101: Cash Drondro tha innomn ntmtawnma CaWLL Balance Sheet April 30 Complete this question by entering your answers in the tabs below. Post the journal entries to the ledger. 124: Office Supplies \begin{tabular}{|l|l|l|l|} \hline Date & Debit & Credit & Balance \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline & & \\ \hline 167: Computer Equipment & \\ \hline & & \\ \hline \end{tabular} 167: Computer Equipment 128: Prepaid Insurance \begin{tabular}{|l|l|l|l|} \hline Date & Debit & Credit \\ \hline & & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline \end{tabular} Prev 4 of 4 Next Prepare a post-closing trial balance
