Learn to Play, Inc., is a one-person company that provides private piano lessons. Its unadjusted trial balance

Question:

Learn to Play, Inc., is a one-person company that provides private piano lessons. Its unadjusted trial balance at December 31, 2018, follows, along with information about selected accounts.


Required:

1. Calculate the (preliminary) unadjusted net income for the year ended December 31, 2018.
2. Name the five pairs of balance sheet and income statement accounts that require adjustment and indicate the amount of adjustment for each pair.
3. Prepare the adjusting journal entries that are required at December 31, 2018.
4. Calculate the adjusted net income that the company should report for the year ended December 31, 2018. By what dollar amount did the adjustments in requirement 3 cause net income to increase or decrease?

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Related Book For  book-img-for-question

Fundamentals Of Financial Accounting

ISBN: 9781265440169

7th Edition

Authors: Fred Phillips, Shana Clor Proell, Robert Libby, Patricia Libby

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