Question
Requirement 4. Prepare a worksheet as of December 31, 2018. The Unadjusted Trial Balance columns have been completed for you using the unadjusted trial balance
Requirement 4. Prepare a worksheet as of December 31, 2018. The Unadjusted Trial Balance columns have been completed for you using the unadjusted trial balance you prepared in Requirement 3. Complete the worksheet one section at a time beginning with the Adjustments section. Enter the adjustments along with the adjustment letter references(a), (b), (c), etc.into the columns as appropriate. In the following step, complete the Adjusted Trial Balance section of the worksheet. For this section, and for the Income Statement and Balance Sheet sections, enter a "0" on the normal side of the account for any accounts with a zero balance. Lastly, complete the worksheet by preparing the Income Statement and Balance Sheet columns. For the Income Statement and Balance Sheet sections, only enter the "0" for a zero balance if the account is typically included in that section of the worksheet. (Abbreviations used: Acc. = Accumulated, Dep. = Depreciation, Exp. = Expense.)
a. Accrued Salaries Expense, $800. b. Depreciation was recorded on the truck using the straight-line method. Assume a useful life of 5 years and a salvage value of $3,000. c. Prepaid Insurance for the month has expired. d. Office Supplies on hand, $450. e. Unearned Revenue earned during the month, $700. f. Accrued Service Revenue, $450. 2. Post the transactions in the T-accounts. 3. Prepare an unadjusted trial balance as of December 31, 2018. 4. Prepare a worksheet as of December 31, 2018. 5. Journalize the adjusting entries using the following adjustment data and also by reviewing the journal entries prepared in Requirement 1. Post adjusting entries to the T-accounts. Adjustment data: 6. Prepare an adjusted trial balance as of December 31, 2018. 7. Prepare Murphy Delivery Service's income statement and statement of retained earnings for the month ended December 31, 2018, and the classified balance sheet on that date. On the income statement, list expenses in decreasing order by amountthat is, the largest expense first, the smallest expense last. 8. Journalize the closing entries and post to the T-accounts. 9. Prepare a post-closing trial balance as of December 31, 2018. Account Title Debit Credit Cash Accounts Receivable Office Supplies 21,500 1,400 750 Truck 9,000 Acc. Dep.-Truck Accounts Payable Salaries Pavable 0 2,200 22,000 Unearned Revenue Common Stock Dividends Service Revenue 2,500 13,900 800 Salaries Expense Dep. Exp.-Truck Insurance Expense Fuel Expense 150 1,400 Rent Expense Supplies Expense 38,100 38,100Step by Step Solution
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