The following is Sunland Tours Limited's unadjusted trial balance at its year end, November 30, 2021. The company adjusts its accounts annually Credit Debit $15.700 7,140 880 2,600 7.920 12,400 $ 3.100 132,600 Cash Accounts receivable Supplies Prepaid rent Prepaid insurance Equipment Accumulated depreciation-equipment Vehicles Accumulated depreciation-vehicles Accounts payable Deferred revenue Bank loan payable, due 2024 Common shares Retained earnings Fees earned Salaries expense Repairs and maintenance expense Rent expense Interest expense Advertising expense Income tax expense 44,200 1,910 13.900 54,000 10,000 29.240 127.935 74,600 10,080 14,300 3,465 900 1.700 $284,285 $284,285 Additional information: 1 2. 3 4. 5. The insurance policy has a one-year term beginning April 1, 2021. At that time, a premium of $7.920 was paid. The equipment was acquired on December 1, 2018, and has an estimated useful life of eight years. The vehicles were acquired on December 1, 2018, and have an estimated useful life of six years. The company uses straight-line depreciation A physical couht shows $280 of supplies on hand at November 30. The bank loan payable has a 7% interest rate. Interest is paid on the first day of each following month, and was last paid on November 1 Deposits of $1,390 each were received for advance tour reservations from 10 school groups. At November 30, all of these deposits have been earned. Employees are owed a total of $540 at November 30. A senior citizens organization that had not made an advance deposit took a river tour for $1.240. This group was not billed until December for the services performed. Additional advertising costs of $290 have been incurred, but the bills have not been received by November 30, On November 1, the company paid $2,600 rent in advance for November and December Income tax payable for the year is estimated to be an additional $320 beyond that recorded to date. 6. 7. 8. 9. 10 Set up T accounts, enter the opening balances, and post the November adjusting entries to the general ledger. (Post entries in the order of journal entries presented in the previous part.) Cash Nov. 30 Bal, Nov. 1 Bal Account Receivable Supplies Prepaid Rent Prepaid Insurance Equipment Accumulated Depreciation-Equip. Vehicles Accumulated Depreciation-Vehicles Accounts Payable Bank Loan Payable Interest Payable Salaries Payable Income Taxes Payable Deferred revenue Common Shares Retained Earnings Fees Earned Salaries Expense Repairs and Maintenance Expense Rent Expense Interest Expense + - Advertising Expense Depreciation Expense Supplies Expense Insurance Expense Income Tax Expense 4