The unadjusted trial balance of Peter Laundromat at June 30, 20X0, the end of the current fiscal year, is shown below.

Peter Laundromat

Unadjusted Trial Balance

June 30, 20X0

Debit Balances

Credit Balances

Cash

2,450

Laundry Supplies

3,750

Prepaid Insurance

2,400

Laundry Equipment

55,000

Accumulated Depreciation

20,500

Accounts Payable

3,100

Scott Mathis, Capital

19,900

Scott Mathis, Drawing

1,000

Laundry Revenue

83,000

Wages Expense

35,750

Rent Expense

18,000

Utilities Expense

6,800

Miscellaneous Expense

1,350

126,500

126,500

The data needed to determine year-end adjustments are as follows:

a.Laundry supplies on hand at June 30 are $1050

b.Insurance premiums expired during the year are $1,800

c.Depreciation of equipment during the year is $2,900

d.Wages accrued but not paid at June 30 are $800

Instructions

1.Journalize and post the adjusting entries.

2.Prepare an adjusted trial balance

3.Prepare an income statement, a statement of owner's equity (no additional investment was made during the year), and a balance sheet.

4.Journalize and post the closing entries.