Prison Watch Company offers legal consulting advice to prison inmates. Prison Watch Company prepared the end-of-period spreadsheet
Question:
Prison Watch Company offers legal consulting advice to prison inmates. Prison Watch Company prepared the end-of-period spreadsheet (work sheet) at the top of the following page at June 30, 2010, the end of the current fiscal year.
Instructions
1. Prepare an income statement for the year ended June 30.
2. Prepare a statement of owner's equity for the year ended June 30. No additional investments were made during the year.
3. Prepare a balance sheet as of June 30.
4. On the basis of the end-of-period spreadsheet (work sheet), journalize the closing entries.
5. Prepare a post-closing trial balance.
Prison Watch Company End-of-Period Spread sheet (Work Sheet) For the Year Ended June 30, 2010 Adjusted Unadjusted Adjustments Dr. Trial Balance Trial Balance Income Statement Balance Sheet Dr. Cr. Dr. Account Title Cr. Cr. Dr. Cr. Dr. Cr. 5,100 12,750 3,600 2,025 80,000 200,000 Cash 5,100 13,950 2,700 5,100 13,950 2,700 500 (a) 1,200 Accounts Receivable (b) Prepaid Insurance 900 Supplies (c) 1,525 500 80,000 200,000| Land 80,000 200,000 Building Acc. Depr.-Building Equipment Acc. Depr.-Equipment Accounts Payable Sal. & Wages Pay able 92,500 (d) 2,500 92,500 90,000 140,000 140,000 140,000 60,450 9,750 1,900 54,450 9,750 60,450 9,750 1,900 (e) 6,000 (f) 1,900 4,500 (g) 4,000 311,300 Unearned Rent 500 500 Cassandra Jaffee, Capital Cassandra Jaffee, Drawing 311,300 311,300 20,000 20,000 20,000 281,200 4,000 281,200 4,000 (a) 1,200 Fees Revenue 280,000 (9) 4,000 Rent Revenue Salaries & Wages Expense Advertising Expense Utilities Expense Travel Expense Depr. Exp.-Equipment Depr. Exp-Building Supplies Expense Insurance Expense Misc. Expense 147,000 86,800 30,000 18,750 6,000 2,500 1,525 145,100 86,800 30,000 18,750 (f) 1,900 147,000 86,800 30,000 18,750 6,000 2,500 (e) 6,000 (d) 2,500 (c) 1,525 (b) 1,525 900 900 900 5,875 750.000 750.000 5,875 5,875 761,600 761,600 299,350 285,200 462,250 476,400 14,150 299.350 299,350 18,025 18,025 14,150 476,400 476,400 Net loss
Step by Step Answer:
1 2 3 4 Closing Entries 5 Prison Watch Company Income Statement For the Year En...View the full answer
Accounting
ISBN: 978-0324662962
23rd Edition
Authors: Jonathan E. Duchac, James M. Reeve, Carl S. Warren
Related Video
A trial balance is a list of all the general ledger accounts contained in the ledger of a business. This list will contain the name of each nominal ledger account and the value of that nominal ledger balance. Each nominal ledger account will hold either a debit balance or a credit balance
Students also viewed these Accounting questions
-
DNA 4 U Company offers legal consulting advice to prison inmates. DNA 4 U Company prepared the end-of-period spreadsheet at the top of the following page at April 30, 2012, the end of the current...
-
Last-Chance Company offers legal consulting advice to prison inmates. Last-Chance Company prepared the end-of-period spreadsheet (work sheet) at the top of the following page at November 30, 2008,...
-
Last Chance Company offers legal consulting advice to prison inmates. Last Chance Company prepared the end-of-period spreadsheet shown at the top of the following page at June 30, 2019, the end of...
-
Given the following table of assets held at death, how much is the probate estate worth? Asset Value (millions) Notes Investments $7 Retirement Account $6 Named Beneficiary Residence $4 Joint Tenancy...
-
A large bank establishes X-bar and R charts for the time required to process applications for its charge cards. A sample of five applications is taken each day. The first four weeks (20 days) of data...
-
Perreth Industries has an annual plant capacity of 70,000 units; current production is 55,000 units per year. At the current production volume, the variable cost per unit is $30.00 and the fixed cost...
-
The hydraulic dredge shown in Fig. P5.48 is used to dredge sand from a river bottom. Estimate the thrust needed from the propeller to hold the boat stationary. Assume the specific gravity of the...
-
In January 2011, Keona Co. pays $2,800,000 for a tract of land with two buildings on it. It plans to demolish Building 1 and build a new store in its place. Building 2 will be a company office; it is...
-
1. Using the academic literature on ethics: a. Define ethics. b. Use the definition to identify the positive and negative ethical issues raised in the Psychopathic Leadership case study. c. Discuss...
-
1. Use the Fraud Triangle to analyze the business and audit risks that existed at Diamond Foods during the period of its accounting fraud. 2. How would you characterize Diamond's accounting? Did they...
-
The following data (in thousands) were taken from recent financial statements of Starbucks Corporation: a. Compute the working capital and the current ratio as of September 30, 2007 and October 1,...
-
The Hometown Services Company is a financial planning services firm owned and operated by Jane Maines. As of March 31, 2010, the end of the current fiscal year, the accountant for The Hometown...
-
Let F be normal over K and E an intermediate field. Then E is normal over K if and only if E is stable [see Exercise 17]. Furthermore Aut K F/E' Aut K E. Data from exercise 17 If an intermediate...
-
Why put a random error term in the market model? How would you estimate the market model with regression analysis?
-
Black et al. (1972) found that the market model needed to be modified to better fit U.S. stock returns. What did they propose as a better fitting model?
-
Can financial markets be irrational? Give an example from stock market history.
-
List the underlying classical assumptions in OLS regression analysis. Why are these assumptions important to OLS estimation of regression coefficients?
-
Bust-out Partners had the following balance sheets at year-end: On December 31, Jack sold his fifty percent interest in the partnership to an unrelated buyer for $93,000. None of the partnership's...
-
Let \(X\) be a single observation from a discrete distribution with probability distribution function \[f(x \mid \theta)= \begin{cases}\frac{1}{4} \theta & x \in\{-2,-1,1,2\} \\ 1-\theta & x=0 \\ 0 &...
-
Let (x) = x 2 - 9, g(x) = 2x, and h(x) = x - 3. Find each of the following. (((--) 2
-
Use the following stock price data (in dollars) for Exercises 1318. Calculate the mean, median, and mode stock price. 10 7 20 12 75 15 9 18 4 12 8 14
-
From the following list of steps in the accounting cycle, identify what two steps are missing. a. Transaction are analyzed and recorded in the journal. b. An unadjusted trial balances is prepared. c....
-
From the following list of steps in the accounting cycle, identify what two steps are missing. a. Transaction are analyzed and recorded in the journal. b. Transaction are posted to the ledger. c. An...
-
The following balance sheet data for Mayer Company are shown below. a. Determine the working capital and current ratio for 2012 and 2011.b. Does the change in the current ratio form 2011 to 2012...
-
A 0.012-kg bullet, traveling at 850 m/s, hits a 2-kg block of wood that is initially at rest, and goes straight through it. Assume that the final velocity of the bullet relative to the block is 400...
-
Assume that Iowa Co. will receive 1,200,000 Mexican pesos in 180 days. The Mexican interest rate is 3% over 180 days and the US rate is 2% over the same period. The spot rate for the Mexican peso is...
-
After watching the video from "The Big Bang Theory, describe what was occurring in the scene. What types of listening were demonstrated. How could this conversation be improved so that both parties...
Study smarter with the SolutionInn App