Smith and Smith Co. Unadjusted Trial Balance At June 30, 2016 Debit Credit Cash Accounts receivable...

  

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Smith and Smith Co. Unadjusted Trial Balance At June 30, 2016 Debit Credit Cash Accounts receivable Shop supplies $ 50,400 25,000 1,500 Prepaid insurance expense 4,500 Prepaid advertising expense 2,000 Prepaid rent expense Building 74,000 Accumulated depreciation, building $ Equipment 10,000 Accumulated depreciation, equipment 2,000 Accounts payable 12,000 Accrued salaries payable 15,500 Interest payable Income taxes payable Notes payable Unearned service revenue Share capital Retained earnings Service revenue Salaries expense Insurance expense Interest expense Shop supplies expense 20,000 30,000 1,000 24,900 125,000 22,000 200 Advertising expense 2,200 Depreciation expense 1,400 Maintenance service expensee 5,200 Rent expense 20,000 Income tax expense Utilities expense 12,000 $230,400 $230,400 Additional information for June not yet recorded: a. Unbilled and uncollected work to June 30 totals $45,000. b. An analysis of prepaid advertising shows that $500 of the balance was consumed. c. A shop supplies count on June 30 shows that $1,200 are on hand. d. Equipment has an estimated useful life of ten years and an estimated residual value of $500. Problems 149 e. The records show that fifty percent of the work, for a $10,000 fee received in advance from a customer and recorded last month, is now completed. f. Salaries of $5,800 for employees for work done to the end of June has not been paid. g. Utilities invoice for services to June 22 totals $3,500. h. Accrued revenues of $7,800 previously recorded to accounts receivable were collected. i. A building was purchased at the end of May. Its estimated useful life is fifty years and has an estimated residual value of $10,000. j. Rent expense of $5,000 cash for July has been paid and recorded directly to rent expense. k. Interest for the 6% note payable has not yet been recorded for June. I. Income taxes of $3,000 is owing but not yet paid. m. Unrecorded and uncollected service revenue of $9,000 has been earned. n. A two year, $1,800 insurance policy was purchased on June 1 and recorded to prepaid insurance expense. o. The prior balance in the unadjusted prepaid insurance account (excluding the insurance in item n. above), shows that $300 of that balance is not yet used. Smith and Smith Co. Unadjusted Trial Balance At June 30, 2016 Debit Credit Cash Accounts receivable Shop supplies $ 50,400 25,000 1,500 Prepaid insurance expense 4,500 Prepaid advertising expense 2,000 Prepaid rent expense Building 74,000 Accumulated depreciation, building $ Equipment 10,000 Accumulated depreciation, equipment 2,000 Accounts payable 12,000 Accrued salaries payable 15,500 Interest payable Income taxes payable Notes payable Unearned service revenue Share capital Retained earnings Service revenue Salaries expense Insurance expense Interest expense Shop supplies expense 20,000 30,000 1,000 24,900 125,000 22,000 200 Advertising expense 2,200 Depreciation expense 1,400 Maintenance service expensee 5,200 Rent expense 20,000 Income tax expense Utilities expense 12,000 $230,400 $230,400 Additional information for June not yet recorded: a. Unbilled and uncollected work to June 30 totals $45,000. b. An analysis of prepaid advertising shows that $500 of the balance was consumed. c. A shop supplies count on June 30 shows that $1,200 are on hand. d. Equipment has an estimated useful life of ten years and an estimated residual value of $500. Problems 149 e. The records show that fifty percent of the work, for a $10,000 fee received in advance from a customer and recorded last month, is now completed. f. Salaries of $5,800 for employees for work done to the end of June has not been paid. g. Utilities invoice for services to June 22 totals $3,500. h. Accrued revenues of $7,800 previously recorded to accounts receivable were collected. i. A building was purchased at the end of May. Its estimated useful life is fifty years and has an estimated residual value of $10,000. j. Rent expense of $5,000 cash for July has been paid and recorded directly to rent expense. k. Interest for the 6% note payable has not yet been recorded for June. I. Income taxes of $3,000 is owing but not yet paid. m. Unrecorded and uncollected service revenue of $9,000 has been earned. n. A two year, $1,800 insurance policy was purchased on June 1 and recorded to prepaid insurance expense. o. The prior balance in the unadjusted prepaid insurance account (excluding the insurance in item n. above), shows that $300 of that balance is not yet used.