The Complete Accounting Cycle Without a Work Sheet: Two Months (second month optional) P10. On June l, 2014, Bob Lutz opened Lutz Repair Service. During the month, he completed thl'. following transactions for the company: June 1 Began business by depositing $20,000 in a bank account in the name of the company. l Paid the rent for the store for current month, S1 ,700. 1 Paid thl'. premium on a one-year insurance policy, S1,920. 2 Purchased repair equipment from Bilbao Company, 516,800. Terms were $2,400 down and $1,200 per month for one year. First payment is due July 1. 5 Purchased repair supplies from Rusin Company on credit, S1,872. 8 Paid cash for an advertisement in a local newspaper, S240. 15 Received cash repair revenue for the first half of the month, S1,600. 21 Paid Rusin Company on account, $900. 30 Received cash repair revenue for the last half of June, S3,900. 30 Made a withdrawal, $1,200. REQUIRED FOR JUNE 1. Prepare journal entries to record the June transactions. Include the Post. Ref. column and fill in using the account numbers listed in requirement 2. 2. Open the following accounts: Cash ( 111 ); Prepaid Insurance ( 117); Repair Supplies (119); Repair Equipment (144); Accumulated Depreciation-Repair Equipment (145); Accounts Payable (212); B. Lutz, Capital (311); B. Lutz, \Vithdrawals (313); Income Summary (314); Repair Revenue (411); Store Rent Expense (511); Advertising Expense ( 512 ); Insurance Expense ( 513 ); Repair Supplies Expense (514); and Depreciation Expense-Repair Equipment (515). Post the June journal entries to the ledger accounts. 3. Using the following information, record adjusting entries in the general journal and post to the ledger accounts: d. One month's insurance has expired. c. The remaining inventory of unused repair supplies is S676. f. The estimated depreciation on repair equipment is S280. 4. From the accounts in the ledger, prepare an adjusted trial balance. ( Note: Normally, a trial balance is prepared bdore adjustments but is omined here to save time.) 5. From the adjusted trial balance, prepare an income statement, a statement of owner's equity, and a balance sheet for June. 6. Prepare and post closing entries. 7. Prepare a post-dosing trial balance. (Optional) During July, Bob Lutz l:omplctcd these transactions for Lutz Repair Senice: July 1 Paid the monthlv rent, $1,700. I Made the monthly payment to Bilbao Company, Sl,200. 6 PurchasL:d additional n:pair supplies on credit from Rusin Compa.i1y, $3,452. 15 Received cash repair revenue for the first half of the month, S3,656. 20 Paid cash for an advertisement in the local newspaper, S2-!0. 23 Paid Rusin Company on account, S2,-100. 31 Received cash repair revenue for the last half of the month, S3,268. 31 Recorded a withdrawal by owner, S 1,200. rr.,111ri11utd) Scanned with CamScanner Chapter 4: Completing the Accounting (yd 8. Prepare and post journal entries to record the July transactions. 9. Using the following inforn1ation, record adjusting entries in the general journal and post to the ledger accounts. d. One rnonth's insurance has expired. e. The inventory of unused repair supplies is $1,652. f. The estin1ated depreciation on repair equipment is $280. 10. Fron1 the accounts in the ledger, prepare an adjusted trial balance. 11. Fron1 the adjusted trial balance, prepare the July income statement, statement of o,vner's equity, and balance sheet. 12. Prepare and post closing entries. 13. Prepare a post-closing trial balance

Select the accounts in the order of Assets, Laibilities, Owner's Equity, Revenues, and Expenses. Lutz's Repair Service Post-Closing Trial Balance June 30, 2014 Cash Prepaid Insurance Repair Supplies Repair Equipment Accumulated DepreciationRepair Equipment Accounts Payable B. Lutz, Capital