Question

Kinokawa Consultants Company’s trial balance on December 31, 2014, follows.


The following information is also available:
a. Ending inventory of office supplies, $86
b. Prepaid rent expired, $700
c. Depreciation of office equipment for the period, $600
d. Interest accrued on the note payable, $600
e. Salaries accrued at the end of the period, $200
f. Service revenue still unearned at the end of the period, $1,410
g. Service revenue earned but not billed, $600

REQUIRED
1. Open T accounts for the accounts in the trial balance plus the following: Interest Payable; Salaries Payable; Office Supplies Expense; Depreciation Expense—Office Equipment; and Interest Expense. Enter the account balances.
2. Determine the adjusting entries and post them directly to the T accounts.
3. Prepare an adjusted trial balance.
4. Which financial statements do each of the above adjustments affect? What financial statement is not affected by theadjustments?


$1.99
Sales13
Views534
Comments0
  • CreatedMarch 26, 2014
  • Files Included
Post your question
5000