Question
The unadjusted trial balance of Property Incorporated appears below as of December 31, 2019 Property Incorporated Unadjusted Trial Balance December 31, 2019 Debit Credit Cash
The unadjusted trial balance of Property Incorporated appears below as of December 31, 2019
Property Incorporated
Unadjusted Trial Balance
December 31, 2019
| Debit | Credit
|
Cash | $274,750 |
|
Accounts Receivable | 120,000 |
|
Prepaid insurance | 11,250 |
|
Supplies | 37,500 |
|
Plant | 140,000 |
|
Accumulated Depreciation plant |
| $ 14,000 |
Accounts Payable |
| 82,500 |
Unearned Service revenue |
| 73,500 |
Common stock |
| 207,500 |
Retained Earnings |
| 127,500 |
Dividends | 7,500 |
|
Service revenue |
| 198,500 |
Salary expense | 61,500 |
|
Utilities expense | 27,000 |
|
Rent expense | 15,000 |
|
Postage | 9,000 |
|
| $703,500 | $703,500 |
Additional data are as follows:
- Supplies used during the current year amount to $25,250
- Accrued salaries on December 31, 2019, amount to $3,750
- Unearned service revenue earned during the year amounts to $26,250
- Depreciation for the current year amounts to $5,000
- Prepaid insurance expired as of December 31, 2019, amounts to $5,500
Based on the unadjusted trial balance and the additional data:
Prepare for property Incorporated:
- The adjusting entries necessary to account for the additional information
- The adjusted Trial Balance
- The following Financial Statements for the year ended December 31, 2019
- Income Statement
- Statement of Retained Earnings
- Balance Sheet
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