Required Information PA4-4 Identifying and Preparing Adjusting Journal Entries [LO 4-1, LO 4-2, LO 4-3, LO 4-6) [The following information applies to the questions displayed below.) Part 1 of 4 Val's Hair Emporium operates a hair salon. Its unadjusted trial balance as of December 31, 2018, follows, along with Information about selected accounts. 4.34 points Credit Account Names Cash Supplies Prepaid Rent Debit $ 3,800 4,300 6, eee Further Information As reported on December 31 bank statement. Based on count, only $1,300 of supplies still exist. This amount was paid November 1 for rent through the end of January. This represents the total amount of bills received for supplies and utilities through December 15. val estimates that the company has received $450 of utility services through December 31 for which it has not yet been billed. Stylists have not yet been paid $150 for their work on December eBook Accounts Payable $ 1,589 Print salaries and wages Payable 31. Income Tax Payable @ References 2,eee 9e0 75,888 Common Stock Retained Earnings Service Revenue Salaries and wages Expense Utilities Expense Rent Expense Supplies Expense Income Tax Expense Totals 29,180 12,200 20, eee 4,800 The company has paid last year's income taxes but not this year's taxes. This amount was contributed for common stock in prior years. This is the balance reported at the end of last year. Customers pay cash when they receive services. This is the cost of stylist wages through December 30. This is the cost of utilities through December 15. This year's rent was $2,eee per month. This is the cost of supplies used through November 30. The company has an average tax rate of 30%. $80,200 $80,200 PA4-4 Part 1 Required: 1. Prepare the (preliminary) unadjusted net Income statement for the year ended December 31, 2018. VAL'S HAIR EMPORIUM Unadjusted Income Statement (Preliminary) For the Year Ended December 31, 2018 Expenses Salaries and Wages Expense $ 29,100 Supplies Expense 4.800 33.900 Part 2 of 4 Required Information PA4-4 Identifying and Preparing Adjusting Journal Entries [LO 4-1, LO 4-2, LO 4-3, LO 4-6) [The following Information applies to the questions displayed below.] 4.34 points Val's Hair Emporium operates a hair salon. Its unadjusted trial balance as of December 31, 2018, follows, along with Information about selected accounts. Skipped Credit Account Names Cash Supplies Prepaid Rent Debit $ 3,800 4,380 6, eee Further Information As reported on December 31 bank statement. Based on count, only $1,3ee of supplies still exist. This amount was paid November 1 for rent through the end of January. This represents the total amount of bills received for supplies and utilities through December 15. Val estimates that the company has received $450 of utility services through December 31 for which it has not yet been billed. Stylists have not yet been paid $150 for their work on December Accounts Payable $ 1,509 eBook Salaries and wages Payable @ Print 31. Income Tax Payable References 2,eee 988 75,880 Common Stock Retained Earnings Service Revenue Salaries and Wages Expense Utilities Expense Rent Expense Supplies Expense Income Tax Expense Totals 29,100 12,200 28,888 4,800 The company has paid last year's income taxes but not this year's taxes. This amount was contributed for common stock in prior years. This is the balance reported at the end of last year. Customers pay cash when they receive services. This is the cost of stylist wages through December 30. This is the cost of utilities through December 15. This year's rent was $2,eee per month. This is the cost of supplies used through November 30. The company has an average tax rate of 30%. $80, 280 $80, 2ee PA4-4 Part 2 2. Name the five pairs of balance sheet and Income statement accounts that require adjustment and indicate the amount of adjustment for each pair. Adj. Balance Sheet Account Related Income Statement Account Amount Salaries and Wages Expense Utilities Expense Rent Expense Supplies Expense Income Tax Expense Totals 29,180 12,200 20, eee 4,800 This is the cost of stylist wages through December 30. This is the cost of utilities through December 15. This year's rent was $2,eee per month. This is the cost of supplies used through November 30. The company has an average tax rate of 30%. Part 4 of 4 $80,2ee $80, 280 434 points PA4-4 Part 4 Skipped 4.a. Prepare the adjusted net Income that the company should report the company should report for the year ended December 31, 2018 4.b. By what dollar amount did the adjustments in requirement (3) cause net Income to Increase or decrease? eBook Complete this question by entering your answers in the tabs below. Print Req 4A Reg 4B References Prepare the adjusted net income that the company should report for the year ended December 31, 2018. VAL'S HAIR EMPORIUM Income Statement Req 4A Req 4B >