The unadjusted trial balance and adjustment data of Smith Real Estate Appraisal Company at June 30, 2012, follow:

Adjustment data at June 30, 2012:
a. Prepaid insurance expired, $400.
b. Accrued service revenue, $1,100.
c. Accrued salary expense, $700.
d. Depreciation for the year, $8,500.
e. Supplies used during the year, $100.
Requirements
1. Open T-accounts for Retained earnings and all the accounts that follow on the trial balance. Insert their unadjusted balances. Also open a T-account for Income summary, which has a zero balance.
2. Journalize the adjusting entries and post to the accounts that you opened. Show the balance of each revenue account and each expense account.
3. Journalize the closing entries and post to the accounts that you opened. Draw double underlines under each account balance that you close to zero.
4. Compute the ending balance of Retainedearnings.

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SMITH REAL ESTATE APPRAISAL COMPANY Unadjusted Trial Balance June 30, 2012 Account Title Debit Credit Cash 4,600 Accounts receivable 3,500 Supplies Prepaid insurance Building Accumulated depreciation 3,000 2,100 74,700 $ 18,600 Land 14,000 Accounts payable Interest payable Salary payable 18,900 8,000 600 Common stock 7,000 Retained earnings 26,000 Dividends 27,000 97,500 Service revenue Salary expense Depreciation expense Insurance expense 32,100 5,100 Utilities expense 3,600 Supplies expense 6,900 $ 176,600 S 176,600 Total