Trial Balance

March 31, 2020

Debit

Credit

Cash

$135,000

Accounts Receivable

97,500

Allowance for Doubtful Accounts

$ 2,300

Notes Receivable

38,700

Art Supplies

34,700

Prepaid Rent

26,500

Printing Equipment

65,000

Accumulated Depreciation Printing Equipment

12,000

Building

160,000

Accumulated Depreciation Building

33,000

Notes Payable

30,800

Accounts Payable

28,500

Unearned Advertising Revenue

34,800

Share Capital Ordinary

300,000

Retained Earnings

39,500

Dividends

22,200

Advertising Revenue

278,750

Salaries Expense

114,300

Utilities Expense

22,600

Insurance Expense

16,750

Miscellaneous Expense

26,400

Totals

$759,650

$759,650

Instructions

a- Prepare the adjusting entries for these accounts:

- Art supplies (Supplies expense)

- Accumulated Depreciation Printing Equipment

- Accumulated Depreciation Building

- Allowance for doubtful Accounts (Bad debt expense)

- Notes receivable (Interest revenue)

- Notes payable (Interest expense)

- Salaries expense

- Rent Expense

- Unearned Advertising Revenue

You need to set your own assumptions in order to adjust the accounts. Those assumptions should be in consistency with your trial balance.

Example

The trial balance is showing the following balance for Art Supplies:

Dr

Cr

Art Supplies

34,700

Your assumption could be formulated as follows:

1- Art Supplies: An inventory count at the end of the year reveals that $4,700 of supplies are still on hand.

So the cost of supplies used = 34,700-4,700=30,000

Adjusting entry for supplies:

Dr: Supplies Expense 30,000

Cr: Art Supplies 30,000

You need to do same for the other adjustments. You can follow the textbook pp 106-117.

b- Post the adjusting entries to the ledger

c- Prepare an adjusted trial balance

d- Prepare the worksheet

e- Prepare financial statements: Income statement, retained earnings statement, and statement of financial position

f- Journalize and post the closing entries

g- Prepare a post-closing trial balance

please solve parts b&f&g

Afia Agency was founded in January 2017. Presented below is the trial balance as of March 31, 2020, the end of the company's fiscal year. Afia Agency Trial Balance March 31, 2020 Debit Credit Cash $135,000 97,500 $ 2,300 38,700 34,700 26,500 65,000 12,000 Accounts Receivable Allowance for Doubtful Accounts Notes Receivable Art Supplies Prepaid Rent Printing Equipment Accumulated Depreciation - Printing Equipment Building Accumulated Depreciation - Building Notes Payable Accounts Payable Uneamed Advertising Revenue Share Capital - Ordinary Retained Earnings 160,000 33,000 30,800 28,500 34,800 300,000 39,500 Dividends 22,200 Advertising Revenue 278,750 Salaries Expense 114,300 Utilities Expense Insurance Expense Miscellaneous Expense 22,600 16,750 26,400 $759,650 Totals $75,650 Instructions 1- Prepare the adjusting entries for these accounts: - Art supplies (Supplies expense) - Accumulated Depreciation - Printing Equipment - Accumulated Depreciation - Building - Allowance for doubtful Accounts (Bad debt expense) - Notes receivable (Interest revenue) - Notes payable (Interest expense) - Salaries expense - Rent Expense - Uneared Advertising Revenue You need to set your own assumptions in order to adjust the accounts. Those assumptions should be in consistency with your trial balance. Example The trial balance is showing the following balance for Art Supplies": Cr Art Supplies 34,700 Your assumption could be formulated as follows: 1- Art Supplies: An Inventory count at the end of the year reveals that $4,700 of supplies are still on hand. So the cost of supplies used = 34,700-4,700=30,000 Adjusting entry for supplies: Dr: Supplies Expense 30,000 Cr: Art Supplies 30,000 You need to do same for the other adjustments. You can follow the textbook pp 106-117. 2. Post the adjusting entries to the ledger 3. Prepare an adjusted trial balance 4- Prepare the worksheet 5- Prepare financial statements: Income statement, retained earnings statement and statement of financial position 6- Joumalize and post the closing entries 7. Prepare a post-closing trial balance