Saved Help After the success of the company's first two months, Santana Rey continues to operate Business Solutions. The November 30, 2018, unadjusted trial balance of Business Solutions (reflecting its transactions for October and November of 2018) follows. No. Account Title Debit Credit 101 Cash $ 38,764 13,418 2,645 2,100 3,000 8,900 106 Accounts receivable Computer supplies Prepaid inssurance Prepaid rent Office equipment Accumulated depreciation-office equipment Computer equipment Accumulated depreciation-Computer equipment Accounts payable Wages payable Unearned computer services revenue Common stock Retained earnings Dividends Computer services revenue Depreciation expense-office equipment Depreciation expense-Computer equipment Wages expense Insurance expense Rent expense 126 128 131 163 164 167 24,000 168 201 210 236 es 307 318 319 403 70,0 6,400 34,889 612 613 623 2,375 637 640 Computer supplies expense Advertising expense Mileage expense Miscellaneous expenses Repairs expense-Computer 652 655 1,688 684 676 677 190 684 725 Totals $104,889 $104, 889 Business Solutions had the following transactions and events in December 2018. Business Solutions had the following transactions and events in December 2018. 2 Paid $965 cash to Hillside Mall for Business Solutions' share of mall advertising costs. 3 Paid $490 cash for minor repairs to the company's computer. 4 Received $3,950 cash from Alex's Engineering Co. for the receivable from November. 10 Paid cash to Lyn Addie for six days of work at the rate of $110 per day. 14 Notified by Alex's Engineering Co. that Business Solutions' bid of $7,000 on a proposed project has been accepted. Alex's paid a $2,100 cash advance to Business Solutions. 15 Purchased $1,600 of computer supplies on credit from Harris Office Products. 16 Sent a reminder to Gomez Co. to pay the fee for services recorded on November 8. 20 Completed a project for Liu Corporation and received $6,475 cash. 22- Took the week off for the holidays. Dec. 26 28 Received $3,600 cash from Gomez Co. on its receivable. 29 Reimbursed S. Rey for business automobile mileage (600 miles at $0.28 per mile). 31 The company paid $1, 200 cash in dividends. The following additional facts are collected for use in making adjusting entries prior to preparing financial statements for the company's first three months: a. The December 31 inventory count of computer supplies shows $660 still avallable. b. Three months have expired since the 12-month insurance premium was paid in advance. c. As of December 31, Lyn Addie has not been paid for four days of work at $110 per day. d. The computer system, acquired on October 1, is expected to have a four-year life with no salvage value. e. The office equipment, acquired on October 1, is expected to have a five-year life with no salvage value. f. Three of the four months' prepaid rent have expired. Required: 1. Prepare journal entries to record each of the December transactions and events for Business Solutions. 2-a. Prepare adjusting entries to reflect a through f. 2-b. Post the journal entries to record each of the December transactions, adjusting entries to the accounts in the ledger. 3. Prepare an adjusted trial balance as of December 31, 2018. Kequirea: 1. Prepare journal entries to record each of the December transactions and events for Business Solutions. 2-a. Prepare adjusting entries to reflect a through f. 2-b. Post the journal entries to record each of the December transactions, adjusting entries to the accounts in the ledger. 3. Prepare an adjusted trial balance as of December 31, 2018. 4. Prepare an income statement for the three months ended December 31, 2018. 5. Prepare a statement of retained earnings for the three months ended December 31, 2018. 6. Prepare a balance sheet as of December 31, 2018. 7. Record and post the necessary closing entries as of December 31, 2018. 8. Prepare a post-closing trial balance as of December 31, 2018. Complete this question by entering your answers in the tabs below. Req 1 Req 2A Reg 28 Reg 3 Reg 4 Req 5 Req 6 Reg 7 Req 8 Prepare journal entries to record each of the December transactions and events for Business Solutions. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 8. 11 ..... Paid $965 cash to Hillside Mall for Business Solutions' share of mall advertising costs. Serial Problem (Algo) i Saved Req 1 Req 2A Req 2B Req 3 Req 4 Req 5 Req 6 Req 7 Req 8 Prepare journal entries to record each of the December transactions and events for Business Solutions. (If no entry is n transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 3 4 5 6 11 ..... Paid $965 cash to Hillside Mall for Business Solutions' share of mall advertising costs. Note: Enter debits before credits. Date General Journal Debit Credit Dec 02 Record entry Clear entry View general journal 2. Serial Problem (Algo) Saved Req 1 Req ZA Req 2B Req 3 Req 4 Req 5 Req 6 Req 7 Req 8 Prepare journal entries to record each of the December transactions and events for Business Solutions. (If no entry is reg transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 3 4 5 11 .... Paid $490 cash for minor repairs to the company's computer. Note: Enter debits before credits. Date General Journal Debit Credit Dec 03 Record entry Clear entry View general journal Req 1 Req ZA Req 2B Req 3 Req 4 Req 5 Req 6 Req 7 Prepare journal entries to record each of the December transactions and events for Business Solutic transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 3 5 6 11 ..... Received $3,950 cash from Alex's Engineering Co. for the receivable from November. Note: Enter debits before credits. Date General Journal Debit Credit Dec 04 Record entry Clear entry View general journal 2. ial Problem (Algo) 1 Saved Req 1 Req 2A Req 2B Req 3 Req 4 Req 5 Reg 6 Req 7 Reg 8 Prepare journal entries to record each of the December transactions and events for Business Solutions. (If no en transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 1 2 4. 5 6. 11 ..... Paid cash to Lyn Addie for six days of work at the rate of $110 per day. Note: Enter debits before credits. Date General Journal Debit Credit Dec 10 View general journal Clear entry Record entry LO rial Problem (Algo) i Saved Req 1 Req 2A Req 2B Req 3 Req 4 Req 5 Req 6 Req 7 Req 8 Prepare journal entries to record each of the December transactions and events for Business Solutions. (If no en transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 3 4. 7. ..... 11 Notified by Alex's Engineering Co. that Business Solutions' bid of $7,000 on a proposed project has been accepted. Alex's paid a $2,100 cash advance to Business Solutions. Note: Enter debits before credits. Date General Journal Debit Credit Dec 14 Clear entry Record entry View general journal 2. Req 1 Req 2A Req 2B Req 3 Req 4 Req 5 Req 6 Req 7 Req 8 Prepare journal entries to record each of the December transactions and events for Business Solutions. (If no e transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 3 6. 7. 8. 11 ..... Purchased $1,600 of computer supplies on credit from Harris Office Products. Note: Enter debits before credits. Date General Journal Debit Credit Dec 15 Record entry Clear entry View general journal LO Req 1 Req 2A Req 2B Req 3 Req 4 Reg 5 Req 6 Req 7 Req 8 Prepare journal entries to record each of the December transactions and events for Business Solutions. (If no e transaction/event, select "No Journal Entry Required" in the first account fleld.) View transaction list Journal entry worksheet 11 ..... Sent a reminder to Gomez Co. to pay the fee for services recorded on November 8. Note: Enter debits before credits. Date General Journal Debit Credit Dec 16 Record entry Clear entry View general journal Req 1 Req 2A Req 2B Req 3 Req 4 Req 5 Req 6 Req 7 Req 8 Prepare journal entries to record each of the December transactions and events for Business Solutions. (If no e transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 2 3 8. 11 Completed a project for Liu Corporation and received $6,475 cash. Note: Enter debits before credits. Date General Journal Debit Credit Dec 20 Record entry Clear entry View general journal Req 1 Req 2A Req 2B Req 3 Req 4 Req 5 Req 6 Req 7 Prepare journal entries to record each of the December transactions and events for Business Solutions. transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 6 7 4 5 8 9. 11 .... Received $3,600 cash from Gomez Co. on its receivable. Note: Enter debits before credits. Date General Journal Credit Debit Dec 28 View general journal Clear entry Record entry Req 1 Req 2A Req 28 Req 3 Req 4 Req 5 Req 6 Reg 7 Req 8 Prepare journal entries to record each of the December transactions and events for Business Solutions. (If no e transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 4. 7. .... 8. 9. 10 11 Reimbursed S. Rey for business automobile mileage (600 miles at $0.28 per mile). Note: Enter debits before credits. Date General Journal Debit Credit Dec 29 Record entry Clear entry View general journal Saved Req 1 Req 2A Req 2B Req 3 Req 4 Req 5 Req 6 Req 7 Req 8 Prepare journal entries to record each of the December transactions and events for Business Solutions. (If no transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 4 5 6 7 8 9 ..... 10 11 The company paid $1,200 cash in dividends. Note: Enter debits before credits. Date General Journal Debit Credit Dec 31 Record entry Clear entry View general journal rial Problem (Algo) i Saved Req 1 Req 2A Req 28 Req 3 Reg 4 Req 5 Reg 6 Req 7 Req 8 Prepare adjusting entries to reflect a through f. View transaction list Journal entry worksheet 2 3 4 5 6 The December 31 inventory count of computer supplies shows $660 still available. Note: Enter debits before credits. Transaction General Journal Debit Credit a. Record entry Clear entry View general journal Saved Req 1 Req 2A Req 28 Req 3 Req 4 Reg 5 Req 6 Req 7 Req 8 Prepare adjusting entries to reflect a through f. View transaction list Journal entry worksheet 5. Three months have expired since the 12-month insurance premium was paid in advance. Note: Enter debits before credits. Transaction General Journal Debit Credit b. Record entry Clear entry View general journal Req 1 Req 2A Req 2B Reg 3 Reg 4 Reg 5 Reg 6 Reg 7 Req 8 Prepare adjusting entries to reflect a through f. View transaction list Journal entry worksheet 4. 9. As of December 31, Lyn Addie has not been paid for four days of work at $110 per day. Note: Enter debits before credits. Transaction General Journal Debit Credit C. Record entry Clear entry View general journal (Algo Saved Req 2A Req 1 Req 2B Req 4 Req 3 Req 5 Req 6 Req 8 Req 7 Prepare adjusting entries to reflect a through f. View transaction list Journal entry worksheet 2 5. The computer system, acquired on October 1, is expected to have a four-year life with no salvage value. Note: Enter debits before credits. Transaction General Journal Debit Credit d. Clear entry Record entry View general journal Saved Req 1 Req 2A Req 2B Req 3 Req 4 Reg 5 Req 6 Reg 7 Req 8 Prepare adjusting entries to reflect a through f. View transaction list Journal entry worksheet 1 2 3 4 The office equipment, acquired on October 1, is expected to have a five-year life with no salvage value. Note: Enter debits before credits. Transaction General Journal Debit Credit Record entry Clear entry View general journal LO Req 2A Req 1 Req 2B Reg 3 Req 4 Req 5 Req 6 Req 7 Req 8 Prepare adjusting entries to reflect a through f. View transaction list Journal entry worksheet 1 2 6. The office equipment, acquired on October 1, is expected to have a five-year life with no salvage value. Note: Enter debits before credits. Credit Debit Transaction General Journal View general journal Clear entry Record entry wwww 4. al Problem (Algo) 6 Saved Req 1 Req 2A Req 2B Reg 4 Req 3 Reg 5 Reg 6 Reg 7 Reg 8 Prepare adjusting entries to reflect a through f. View transaction list Journal entry worksheet 2 3 6. Three of the four months' prepaid rent has expired. Note: Enter debits before credits. Transaction General Journal Debit Credit f. Record entry Clear entry View general journal 1 of 1 Prev Score answer 4. Problem (Algo) Saved Reg 2A Reg 1 Req 2B Req 3 Req 5 Req 4 Req 6 Req 7 Req 8 Post the journal entries to record each of the December transactions, adjusting entries to the accounts in the ledger. Cash Accounts Receivable Date Debit Credit Balance Date Debit Credit Balance Dec. 01 38,764 Dec. 01 13,418 Computer Supplies Prepaid Insurance Date Debit Credit Balance Date Debit Credit Balance Dec. 01 Dec. 01 2,100 2,645 1 of 1 Score answer> roblem (Algo) 1 Saved Common Stock Retained Earnings Date Debit Credit Balance Date Debit Credit Balance Dec. 01 70,000 Dec. 01 Dividends Computer Services Revenue Date Debit Credit Balance Debit Date Credit Balance Dec. 01 Dec. 01 6,400 34,889 Depreciation Expense-Office Equipment Depreciation Expense-Computer Equipment Date Debit Credit Balance Date Debit Credit Balance Dec. 01 Dec. 01 Insurance Expense Wages Expense Credit Balance Date Debit Credit Balance Date Debit 2,375 Dec. 01 Dec. 01 Prev 1 of 1 Score answer Wages Expense Insurance Expense Date Debit Credit Balance Date Debit Credit Balance Dec. 01 2,375 Dec. 01 Rent Expense Computer Supplies Expense Date Debit Credit Balance Date Debit Credit Balance Dec. 01 Dec. 01 Advertising Expense Mileage Expense Date Debit Credit Balance Credit Date Debit Balance Dec. 01 1,688 Dec. 01 684 Miscellaneous Expense Repairs Expense-Computer Date Debit Credit Balance Date Debit Credit Balance Dec. 01 Dec. 01 190 725 Prey 1 of 1 Score answer Advertising Expense Mileage Expense Date Debit Credit Balance Date Debit Credit Balance Dec. 01 1,688 Dec. 01 684 Miscellaneous Expense Repairs Expense-Computer Date Debit Credit Balance Date Debit Credit Balance Dec. 01 Dec. 01 190 725 Income Summary Debit Date Credit Balance Req 2A Req 1 Req 2B Req 3 Req 4 Reg 5 Req 6 Req 7 Req 8 Prepare an adjusted trial balance as of December 31, 2018. BUSINESS SOLUTIONS Adjusted Trial Balance December 31, 2018 Account Title Debit Credit Cash Accounts receivable Computer supplies Prepaid insurance Prepaid rent Office equipment Accumulated depreciation-Office equipment Computer equipment Accumulated depreciation-Computer equipment Accounts payable Wages payable Unearned computer services revenue Common stock Retained earnings Dividends Computer services revenue Score answer > 1 of 1 Prev ... al Problem (Algo) 1 Saved Req 1 Req 2A Req 3 Req 2B Req 4 Reg 5 Reg 6 Reg 7 Req 8 Prepare an income statement for the three months ended December 31, 2018. BUSINESS SOLUTIONS Income Statement For Three Months Ended December 31, 2018 Revenue Expenses Total expenses Drev al Problem (Algo) 1 Saved 7. Record and post the necessary closing entries as of December 31, 2018. 8. Prepare a post-closing trial balance as of December 31, 2018. Complete this question by entering your answers in the tabs below. Req 2B Req 1 Req 3 Req 4 Req 5 Req 6 Req 7 Req 2A Req 8 ....... . ...... ...*. Prepare a statement of retained earnings for the three months ended December 31, 2018. ......d. BUSINESS SOLUTIONS Statement of Retained Earnings For Three Months Ended December 31, 2018 Retained earnings, October 1, 2018 2$ Retained earnings, December 31, 2018 rial Problem (Algo) i Saved Prepare a balance sheet as of December 31, 2018. BUSINESS SOLUTIONS Balance Sheet December 31, 2018 Assets Total Assets Liabilities Total Liabilities Equity Total Liabilities and Equity %2$ Reg 5 Rea 7 Prev B.. 1 of 1 Score answer erial Problem (Algo) 6 Saved Req 1 Req 2A Req 2B Req 3 Req 4 Req 5 Req 6 Req 7 Req 8 Record and post the necessary closing entries as of December 31, 2018. (If no entry is required for a transaction/event, sele- Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 2 3 Close the revenue account(s). Note: Enter debits before credits. Date General Journal Credit Debit Dec. 31 View general journal Record entry Clear entry 1of 1 Drev Score aneuer Req 1 Req 2A Req 28 Req 3 Req 4 Req 5 Req 6 Reg 7 Req 8 Record and post the necessary closing entries as of December 31, 2018. (If no entry is required for a transaction/event, se Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 3 Close the expense accounts. Note: Enter debits before credits. Date General Journal Credit Debit Dec. 31 1 of 1 Prev Score answer > Req 2A Req 1 Req 2B Req 4 Req 3 Req 6 Req 5 Req 7 Req 8 ecord and post the necessary closing entries as of December 31, 2018. (If no entry is required for a transaction/e urnal Entry Required" in the first account field.) View transaction list Journal entry worksheet 3 4 2 Close the Income summary account. Note: Enter debits before credits. Date General Journal Debit Credit Dec. 31 Record entry Clear entry View general journal Req 5 Req 6 Req 7 Req 8 Req 4 Req 2A Req 28 Req 3 Req 1 Record and post the necessary closing entries as of December 31, 2018. (If no entry is required for a transaction/event, sel Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 3 Close the Dividends account. Note: Enter debits before credits. Credit General Journal Debit Date Dec. 31 View general journal Clear entry Record entry Reg 2A Req 1 Req 2B Req 3 Reg 4 Req 6 Req 5 Reg 7 Req 8 Prepare a post-closing trial balance as of December 31, 2018. BUSINESS SOLUTIONS Post-Closing Trial Balance December 31, 2018 Debit Credit Cash Accounts receivable Computer supplies Prepaid insurance Prepaid rent Office equipment Accumulated depreciation-Office equipment Computer equipment Accumulated depreciation-Computer equipment Accounts payable Wages payable Unearned computer services revenue Common stock Retained earnings %2$ Totals Reg Req 7