The unadjusted trial balance of PS Music as of July 31, 20Y9, along with the adjustment data for the two months ended July 31, 20Y9, are shown in Chapter 3. Based upon the adjustment data, the following adjusted trial balance was prepared:

Instructions

1. (Optional) Using the data from Chapter 3, prepare an end-of-period spreadsheet.

2. Prepare an income statement, a statement of owner’s equity, and a balance sheet. 

3. Journalize and post the closing entries. Indicate closed accounts by inserting a line in both Balance columns opposite the closing entry. 

4. Prepare a post-closing trial balance.

Transcribed Image Text:

PS Music Adjusted Trial Balance July 31, 20Y9 Debit Balances Credit Balances Cash.. 9,945 Accounts Receivable.. Supplies... Prepaid Insurance... Office Equipment... Accumulated Depreciation. Accounts Payable... 4,150 275 2,475 7,500 50 8,350 140 Wages Payable... Unearned Revenue.. Peyton Smith, Capital.. Peyton Smith, Drawing.. Fees Earned. 3,600 9,000 1,750 21,200 3,610 Music Expense. Wages Expense.. Office Rent Expense. Advertising Expense. Equipment Rent Expense. Utilities Expense Supplies Expense. Insurance Expense. Depreciation Expense. Miscellaneous Expense. 2,940 2,550 1,500 1,375 1,215 925 225 50 1,855 42,340 42,340