Undo Picture 1 Clipboard Font fx Alignment Number Styles Format Cells Editing Analysis Sensitivity P3.11A (LO...

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Undo Picture 1 Clipboard Font fx Alignment Number Styles Format Cells Editing Analysis Sensitivity P3.11A (LO 2, 3, 4) AP The Highland Cove Resort has a May 31 fiscal year end and prepares adjusting entries on a monthly basis. The following trial balance was prepared before reconding the May 31 month-end adjustments HIGHLAND COVE RESORT Trial Balance May 31, 2021 N o Q Additional information: 1. The company pays $6,360 for its annual insurance policy on July 31 of each year. 2. A count shows $560 of supplies on hand on May 31, 2021. 3. The building has an estimated useful life of 50 years 4. The furniture has an estimated useful life of 10 years 5. Services related to two thirds of the unearned revenue have been performed 6. The mortgage interest rate is 6.5% per year. Interest has been paid to May 1, 2001. 7. Salaries accrued to the end of May were $1,450 The May utility bill of $3,420 is unrecorded and unpaid Required: (a) Record adjusting entries Cash 10 11 Prepaid ince Supplies Debit $17.520 1590 995 Credit Land 12 35,000 Building 150,000 13 Accumulated depreciation-building $47,750 Furniture 33,000 15 Accumulated depreciation-furniture 16 Accounts payable 12925 5,500 (b) Prepare adjusted trial balance, 17 Unamed revenue 18 Mortgage payable 15,000 96.000 (c) Prepare income statement, statement of owner's equity, and balance sheet. (d) Record closing entries 20 21 22 21 K. MacPhail capital K MacPhail, drawings Servi Depreciation expen Insurance expeme Exercise 2 85,000 42,735 246.150 5.775 5,330 4 Exercise 1 Ready Aby Snowing now Q Search VISUS ENG 00 US 5:17 PM 2023-02-22 Undo Picture 1 Clipboard Font fx Alignment Number Styles Format Cells Editing Analysis Sensitivity P3.11A (LO 2, 3, 4) AP The Highland Cove Resort has a May 31 fiscal year end and prepares adjusting entries on a monthly basis. The following trial balance was prepared before reconding the May 31 month-end adjustments HIGHLAND COVE RESORT Trial Balance May 31, 2021 N o Q Additional information: 1. The company pays $6,360 for its annual insurance policy on July 31 of each year. 2. A count shows $560 of supplies on hand on May 31, 2021. 3. The building has an estimated useful life of 50 years 4. The furniture has an estimated useful life of 10 years 5. Services related to two thirds of the unearned revenue have been performed 6. The mortgage interest rate is 6.5% per year. Interest has been paid to May 1, 2001. 7. Salaries accrued to the end of May were $1,450 The May utility bill of $3,420 is unrecorded and unpaid Required: (a) Record adjusting entries Cash 10 11 Prepaid ince Supplies Debit $17.520 1590 995 Credit Land 12 35,000 Building 150,000 13 Accumulated depreciation-building $47,750 Furniture 33,000 15 Accumulated depreciation-furniture 16 Accounts payable 12925 5,500 (b) Prepare adjusted trial balance, 17 Unamed revenue 18 Mortgage payable 15,000 96.000 (c) Prepare income statement, statement of owner's equity, and balance sheet. (d) Record closing entries 20 21 22 21 K. MacPhail capital K MacPhail, drawings Servi Depreciation expen Insurance expeme Exercise 2 85,000 42,735 246.150 5.775 5,330 4 Exercise 1 Ready Aby Snowing now Q Search VISUS ENG 00 US 5:17 PM 2023-02-22