You are now asked to journalise and post the adjusting entries after completing the worksheet. This is because, in the manual accounting system, the worksheet is not part of the journals and ledgers. Therefore completing the Adjustments column in the worksheet does not automatically update the appropriate ledger accounts. Since this practice set is a manual accounting practice set, you are still required to manually journalize the adjusting entries and post them to the general ledger as a separate step The purpose of adjusting entries is to ensure that the general ledger account balances reflect the income earned and expenses incurred during the accounting period Remember that the details of the end of month adjustments for June are as follows Office Furniture owned by the business: original purchase price was $9,000, estimated useful life was 6 years, and estimated residual value was $1,000 at the end of the useful life. Depreciation is calculated on a monthly basis using the straight line method. The monthly depreciation charge is calculated as the yearly depreciation expense divided by the number of months in a year Office Equipment owned by the business: original purchase price was $51,000, estimated useful life was 10 years, and estimated residual value was $3,500 at the end of the useful life. Depreciation is calculated on a monthly basis using the straight line method. The monthly depreciation charge is calculated as the yearly depreciation expense divided by the number of months in a year The water usage for the month of June is estimated to be $117 - The estimated electricity payable as at the end of the month is $434 Sales staff work every single day during the week including weekends and are paid on a weekly basis Wages were last paid up to and including 24 June. Wages incurred after that day (from June 25 to June 30 inclusive) are estimated to have been $590 per day - Interest expense incurred during the month of June but not yet paid to EastPac Bank for the bank loan is $200 Interest earned from short-term investments in ZNZ Bank for the month of June is $115 Office supplies totaling $2,450 are still on hand at June 30 - 15 days of rent remained pre-paid at the start of June 3 months of advertising remained pre-paid at the start of June - 5 months of insurance remained pre-paid at the start of June When calculating the portion of prepayments that expire during the month of June, you are asked to assume that an equal amount of expense is incurred per month After taking a physical count of inventory at the end of the month, the balance of inventory on hand as at June 30 is found to be equal to the closing balance of the Merchandise Inventory account. This means there is no adjusting entry required for inventory shrinkage Instructions for adjusting entries 1) Use the worksheett& to assist you in recording the adjusting entries in the general journal. 2) Post the adjusting entries from the general journal to the general ledger accounts. 3) Record the final adjusted balance of each ledger account in the Adjusted Balance row of each ledger, even for ledgers with a balance of zero. Although each ledger already has a running balance, the Adjusted Balance row must still be filled out in order to receive full points. Back-On-Track functionality Please note that any answers from previous pages carried through onto this page (either on the page or in a popup information page) have been reset, if necessary, to the correct answers. Your particular answers from previous pages are no longer shown. Remember: . Enter all answers to the nearest whole dollar. You are also required to apply the journals and ledgers instructionsprovided in previous weeks. Before pressing the Submit answers button, we recommend that you click the Show All tab and check that all relevant accounting records have been completed. Worksheet For the month ended June 30, 2019 Unadjusted Trial Balance Adjusted Trial Balance Income Balance Acct. No. Account Name Debit Credit Debit Credit Credit Credit Debit 212,563 23,000 Debit Debit Credit 100 Cash 102 Short-term Investments 112 Interest Receivable 110 ARC Accounts Receivable Contro89,796 120 Merchandise Inventory 130 Office Supplies 140 Prepaid Rent 212,563 212,563 23,000 23,000 89,796 26,720 2,450 1,600 6,000 2,000 9,000 89,796 26,720 3,266 4,800 9,000 2,500 9,000 26,720 3,200 3,000 500 1,600 6,000 2,000 9,000 142 Prepaid Insurance 150 Office Furniture 151 Accum Depn: Office Furniture 160 Office Equipment 161 Accum Depn: Office Equipment 210 APC Accounts Payable Control 220 Wages Payable 221 Electricity Payable 222 Water Payable 225 Interest Payable 240 Sales Tax Payable 250Bank Loan Payable 300 Common Stock 301 Retained Earnings 400 Sales Revenue 403 Interest Revenue 500 Cost of Goods Sold 511 Advertising Expense 516 Wages Expense 540 Rent Expense 541Electricity Expense 542 Water Expense 543 Insurance Expense 544 Office Supplies Expense 545 Salary Expense 560 Depn Expense: Office Furniture 1,889 2,000 51,000 51,000 51,000 19,792 396 20,188 20,188 4,200 3,540 4,200 4,200 3,540 383 128 245 245 200 200 200 40,000 60,000 179,821 226,880 598 40,000 60,000 179,821 226,880 40,000 60,000 179,821 226,880 109,620 109,620 109,620 3,000 3,540 3,200 383 17,343 3,200 383 13,803 17,343 3,200 383 500 500 500 5,400 5,400 5,400 561 Depn Expense: Office Equipment 571 Interest Expense 572 Admin. Expense Bank Charges 396 396 396 200 10 200 200 10 Totals 560,478560,478 12,37812,378 565,340565,340 141,096 227,593 424,244 337,747 Net income or loss 86,497 86,497 Totals227,593 227,593 424,244424,244 GENERAL JOURNAL Post Date Account and Explanation Debit Credit Jun 30 select select Jun 30 select select Jun 30 select select Jun 30 select select Jun 30 select select Jun 30 select select Jun 30 select select Jun 30 select select GENERAL LEDGER Account: Interest Receivable Account No. 112 Date May 31 Balance Jun 30 Jun 30 Jun 30 Jun 30 Adjusted Balance Ref Debit Credit Balance Account: Office Supplies Account No. 130 Description Credit Balance Date May 31 Balance Jun 30 Jun 30 Jun 30 Jun 30 Adjusted Balance Ref Debit 3,266 DR Account: Prepaid Rent Account No. 140 Debit Credit Balance Date May 31 Balance Jun 15 Prepaid rent Jun 30 Jun 30 Jun 30 Jun 30 Adjusted Balance Ref 1,600 DR 4,800 DR CPJ 3,200 Account: Prepaid Advertising Account No. 141 Debit Credit Balance Date May 31 Balance Jun 30 Jun 30 Jun 30 Jun 30 Adjusted Balance Ref 9,000 DR Account: Prepaid Insurance Account No. 142 Date May 31 Balance Jun 30 Jun 30 Jun 30 Jun 30 Adjusted Balance Ref Debit Credit Balance 2,500 DR Account: Accum Depn: Office Furniture Account No. 151 Date May 31 Balance Jun 30 Jun 30 Jun 30 Jun 30 Adjusted Balance Description Ref Debit Credit Balance 1,889 CR Account: Accum Depn: Office Equipment Account No. 161 Description Credit Balance Date May 31 Balance Jun 30 Jun 30 Jun 30 Jun 30 Adjusted Balance Ref Debit 19,792 CR Account: Wages Payable Account No. 220 Date May 31 Balance Jun 4 Staff wages Jun 30 Jun 30 Jun 30 Jun 30 Adjusted Balance Description Ref Debit Credit Balance 2,000 CR CPJ 2,000 Account: Electricity Payable Account No. 221 Date May 31 Balance Jun 13 Paid electricity bill Jun 30 Jun 30 Jun 30 Jun 30 Adjusted Balance Ref Debit Credit Balance 1,275 CR 51 CR CPJ 1,224 Account: Water Payable Account No. 222 Date May 31 Balance Jun 30 Jun 30 Jun 30 Jun 30 Adjusted Balance Description Ref Debit Credit Balance 128 CR Account: Interest Payable Account No. 225 Debit Credit Balance Date May 31 Balance Jun 30 Jun 30 Jun 30 Jun 30 Adjusted Balance Ref Account: Interest Revenue Account No. 403 Date May 31 Balance Jun 30 Interest received from the bank Jun 30 Jun 30 Jun 30 Jun 30 Adjusted Balance Description Ref Debit Credit Balance GJ 598 598 CR Account: Advertising Expense Account No. 511 Description Credit Balance Date May 31 Balance Jun 30 Jun 30 Jun 30 Jun 30 Adjusted Balance Ref Debit Account: Wages Expense Account No. 516 Date May 31 Balance Jun 30Total from cash payments journal Jun 30 Jun 30 Jun 30 Jun 30 Adjusted Balance Description Ref, Debit Credit Balance CPJ 13,803 13,803 DR Account: Rent Expense Account No. 540 Date May 31 Balance Jun 30 Jun 30 Jun 30 Jun 30 Adjusted Balance Description Ref Debit Credit Balance Account: Electricity Expense Account No. 541 Date May 31 Balance Jun 30 Jun 30 Jun 30 Jun 30 Adjusted Balance Ref Debit Credit Balance Account: Water Expense Account No. 542 Description Debit Credit Balance Date May 31 Balance Jun 30 Jun 30 Jun 30 Jun 30 Adjusted Balance Ref Account: Insurance Expense Account No. 543 Debit Credit Balance Date May 31 Balance Jun 30 Jun 30 Jun 30 Jun 30 Adjusted Balance Ref Account: Office Supplies Expense Account No. 544 Date May 31 Balance Jun 30 Jun 30 Jun 30 Jun 30 Adjusted Balance Description Ref Debit Credit Balance Account: Depn Expense: Office Furniture Account No. 560 Debit Credit Balance Date May 31 Balance Jun 30 Jun 30 Jun 30 Jun 30 Adjusted Balance Ref Account: Depn Expense: Office Equipment Account No. 561 Description Debit Credit Balance Date May 31 Balance Jun 30 Jun 30 Jun 30 Jun 30 Adjusted Balance Ref Account: Interest Expense Account No. 571 Date Description Ref Debit Credit Balance May 31 Balance Jun 30 Jun 30 Jun 30 Jun | 301 Adjusted Balance