Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Solve the above all question. Problem-02 Johnson Graphics Company was organized on January 1, 2017, by Cameron Johnson. At the end of the first 6

image text in transcribedimage text in transcribed

Solve the above all question.

Problem-02 Johnson Graphics Company was organized on January 1, 2017, by Cameron Johnson. At the end of the first 6 months of operations, the trial balance contained the following accounts Cash Accounts Receivable Equipment Insurance Expense Salaries and Wages Expense Supplies Expense Advertising Expense Rent Expense Utilities Expense Debit $ 8,600 14,000 45,000 2,700 30,000 3,700 1,900 1,500 1,700 $109,100 Notes Payable Accounts Payable Owner's Capital Sales Revenue Service Revenue Credit $ 20,000 9,000 22,000 52,100 6,000 $109,100 Analysis reveals the following additional data. 1. The $3,700 balance in Supplies Expense represents supplies purchased in January. At June 30, $1,500 of supplies is on hand. 2. The note payable was issued on February 1. It is a 9%, 6-month note. 3. The balance in Insurance Expense is the premium on a one-year policy, dated March 1, 2017.. 4. Depreciation is $2,250 per year. | During the second half of 2017 Johnson Graphics Company had the following transactions July: 10 Received $13,000 cash from customers on account. July: 12 Received $8,100 cash for services performed. July 31: Payment made to the Notes Payable. August: 5 Sale of Equipment costing $2,000 at book value $1,500. September: 17 Purchased supplies on account $1,700. October: 2 Paid creditors on account $7,000. October 20: Services performed and received cash $15,000. October 22: Paid rent $3,000. November 25: Paid salaries $10,000. December 27: Performed services on account and billed customers for these services $25,200. Analysis reveals the following additional data. 1. At December 31, $1,500 of supplies is on hand. 3. The balance in Insurance is the premium on a one-year policy, dated March 1, 2017. 4. Depreciation is $2,000 per year. Question: (a) Journalize and post the transactions. (b) Prepare a trial balance. (c) Journalize and post the adjusting entries, and produce an adjusted trial balance. (d) Prepare the income statement and owner's equity statement and a classified balance sheet. (f) Prepare closing entries and a post-closing trial balance

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

International Finance Theory And Policy

Authors: Paul R. Krugman, Maurice Obstfeld, Marc J Melitz,

11th Edition

013451954X, 9780134519548

More Books

Students also viewed these Finance questions