Step 6:

On September 30, the following adjustments must be made:

1. record insurance used for the year

2. actual baking supplies on hand as of September 30 is $1100

3. misc. supplies on hand as of September is $50

I have the following entries:

I have the following entries:

	Unadjusted trial balance
Account	Debit	Credit
Cash	47,896.75
Baking Supplies	20,500.00
Merchandise Inventory	175.65
Prepaid Rent	1,500.00
Prepaid Insurance	1,200.00
Baking Equipment	5,000.00
Misc. Supplies	600.00
Accounts Receivable	10,300.00
Notes Payable		10,000.00
Accounts Payable		7,000.00
Wages Payable		480.00
Common Stock		20,000.00
Dividends	3,000.00
Bakery Sales		60,000.00
Merchandise Sales		221.00
Baking Supplies Expense
Rent Expense	4,500.00
Insurance Expense
Misc. Expense	250.00
Business License Expense	375.00
Advertising Expense	200.00
Wages Expense	1,956.00
Telephone Expense	90.00
COGS	157.60
Depreciation Expense
Accumulated Depreciation
Misc Supplies Expense*
Interest Expense*
Interest Payable*
	97,701.00	97,701.00