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Required information [The following information applies to the questions displayed below.] North Star prepared the following unadjusted trial balance at the end of its second

Required information

[The following information applies to the questions displayed below.]

North Star prepared the following unadjusted trial balance at the end of its second year of operations ending December 31.

Account Titles Debit Credit
Cash $ 11,700
Accounts Receivable 5,700
Prepaid Rent 2,340
Equipment 20,700
Accumulated Depreciation $ 1,130
Accounts Payable 1,130
Income Tax Payable 0
Common Stock 24,500
Retained Earnings 1,800
Sales Revenue 48,780
Salaries and Wages Expense 24,700
Utilities Expense 12,200
Rent Expense 0
Depreciation Expense 0
Income Tax Expense 0
Totals $ 77,340 $ 77,340

Other data not yet recorded at December 31:

Rent expired during the year, $1,170.

Depreciation expense for the year, $1,130.

Utilities used and unpaid, $8,700.

Income tax expense, $360.

T Accounts

Adjusted TB

Summarize the adjusting journal entries in T-accounts. After entering the beginning balances and computing the adjusted ending balances.

Prepaid Rent Rent Expense
Beg. Bal. 0 Beg. Bal. 0
1,170 (a) (a) 1,170
0 0
End. Bal. 1,170 End. Bal. 1,170
Accumulated Depreciation Depreciation Expense
Beg. Bal. 0 Beg. Bal. 0
1,130 (b) (b) 1,130
0 0
End. Bal. 1,130 End. Bal. 1,130
Accounts Payable Utilities Expense
Beg. Bal. 0 1,130 Beg. Bal. 12,200 0
8,700 (c) (c) 8,700
0 0
End. Bal. 9,830 End. Bal. 20,900
Income Tax Payable Income Tax Expense
Beg. Bal. 0 Beg. Bal. 0
360 (d) (d) 360
0 0
End. Bal. 360 End. Bal. 360

NORTH STARAdjusted Trial BalanceAs of December 31Account TitlesDebitCreditCash$11,700Accounts Receivable5,700Prepaid Rent1,170Equipment20,700Accumulated Depreciation2,260Accounts Payable9,830Income Tax Payable360Common Stock24,500Retained Earnings1,800Sales Revenue48,780Salaries and Wages Expense24,700Utilities Expense20,900Rent Expense1,170Depreciation Expense1,130Income Tax Expense360Totals$87,530$87,530

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