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Problem 3-4A Interpreting unadjusted and adjusted trial balances, and preparing financial statements LO C3, A1, P1, P2, P3

[The following information applies to the questions displayed below.] A six-column table for JKL Company follows. The first two columns contain the unadjusted trial balance for the company as of July 31, 2017. The last two columns contain the adjusted trial balance as of the same date.

	Unadjusted Trial Balance					Adjusted Trial Balance
Cash	$	97,640				$	97,640
Accounts receivable		14,000					17,500
Office supplies		17,800					6,000
Prepaid insurance		6,640					3,960
Office equipment		84,000					84,000
Accum. DepreciationOffice equip.			$	25,000				$	36,000
Accounts payable				8,100					16,000
Interest payable				0					2,000
Salaries payable				0					19,000
Unearned consulting fees				22,000					17,000
Long-term notes payable				54,000					54,000
J. Logan, Capital				44,000					44,000
J. Logan, Withdrawals		6,500					6,500
Consulting fees earned				169,000					177,500
Depreciation expenseOffice equip.		0					11,000
Salaries expense		67,180					86,180
Interest expense		1,260					3,260
Insurance expense		0					2,680
Rent expense		14,640					14,640
Office supplies expense		0					11,800
Advertising expense		12,440					20,340
Totals	$	322,100	$	322,100		$	365,500	$	365,500

Problem 3-4A Part 1

Required: 1. Analyze the differences between the unadjusted and adjusted trial balances to determine the adjustments that likely were made. Show the results of your analysis by entering these adjustment amounts in the cells provided.

Account Adjustments Adjusted Trial Balance

Cash	$97,640				$97,640
Accounts receivable	14,000				17,500
Office supplies	17,800				6,000
Prepaid insurance	6,640				3,960
Office equipment	84,000				84,000
Accumulated depreciationOffice equipment		$25,000				$36,000
Accounts payable		8,100		7,900		16,000
Interest payable		0		2,000		2,000
Salaries payable		0				19,000
Unearned consulting fees		22,000				17,000
Long-term notes payable		54,000				54,000
J. Logan, Capital		44,000				44,000
J. Logan, Withdrawals	6,500				6,500
Consulting fees earned		169,000				177,500
Consulting fees earned (Unearned fees adjusted)
Depreciation expenseOffice equipment	0				11,000
Salaries expense	67,180				86,180
Interest expense	1,260				3,260
Insurance expense	0				2,680
Rent expense	14,640				14,640
Office supplies expense	0				11,800
Advertising expense	12,440				20,340

Problem 3-4A Part 2

2(a-1) Prepare JKL Company's income statement for the year ended July 31, 2017. 2(a-2) Prepare JKL Company's statement of owners equity for the year ended July 31, 2017. Note: J. Logan, Capital at July 31, 2016, was $44,000, and the current-year withdrawals were $6,500. 2(b) Prepare JKL Company's the balance sheet as of July 31, 2017.

Prepare JKL Company's income statement for the year ended July 31, 2017.

2A1

JKL COMPANY
Income Statement
For Year Ended July 31, 2017
Revenues
Consulting fees earned
Total revenues
Expenses
Salaries expense
Interest expense
Insurance expense
Rent expense
Office supplies expense
Advertising expense
Total expenses

Prepare JKL Company's statement of owners equity for the year ended July 31, 2017. Note: J. Logan, Capital at July 31, 2016, was $44,000, and the current-year withdrawals were $6,500.

JKL COMPANY
Statement of Owners Equity
For Year Ended July 31, 2017
J. Logan, Capital, July 31, 2016	$
Add: Net income
Less: Owner withdrawals
J. Logan, Capital, July 31, 2017	$

Prepare JKL Company's the balance sheet as of July 31, 2017.

JKL COMPANY
Balance Sheet
July 31, 2017
Assets
Cash		$
Accounts receivable
Office supplies
Prepaid insurance
Office equipment	$
Total assets		$
Liabilities
Accounts payable
Interest payable
Salaries payable
Long-term notes payable
Total liabilities
Equity
J. Logan, Capital
Total liabilities and equity		$