The following trial balance extract comes from Asook Ltd, a furniture shop in Melbourne. Ram Jontu...

 

Transcribed Image Text:

The following trial balance extract comes from Asook Ltd, a furniture shop in Melbourne. Ram Jontu is the sole proprietor of the shop but comes to you for assistance with her year-end balance day adjustments and has provided the following unadjusted trial balance extract. Unadjusted Trial Balance (Extract) as of 30 June 2023 Accounts Cash at Bank Accounts Payable Delivery Van Inventory Office Supplies Accumulated Depreciation Vehicle $ 80,400 16,400 50,000 82,600 9,000 15,000 Accounts Cost of Goods Sold Sales Revenue Prepaid Advertising Wages Expense $ 260,500 452,100 6,600 33,000 The following adjustments have yet to be recorded for the year ended June 2023: i. On June 1st 2023, Asook Ltd paid for a two-month radio advertising campaign. The advertising cost of $4,400 (including GST) was paid in advance and posted to the Prepaid Advertising account on June 1st. ii. The year-end count showed $5,000 of office supplies on hand. iii. Ram has one employee, Samantha Hibbert who is paid $3,000 per month on the 1st of each month in arrears. iv. The Delivery Van purchased on 1 July 2021 is depreciated on a straight-line basis with a useful life of 4 years and a residual value of $10,000. v. Ashook Ltd has received $34,000 in deposits which have been credited to sales for goods that will be picked up by customers in July 2023. REQUIRED Prepare the adjusting entries for the year ended 30 June 2023. Narrations are not required. The following trial balance extract comes from Asook Ltd, a furniture shop in Melbourne. Ram Jontu is the sole proprietor of the shop but comes to you for assistance with her year-end balance day adjustments and has provided the following unadjusted trial balance extract. Unadjusted Trial Balance (Extract) as of 30 June 2023 Accounts Cash at Bank Accounts Payable Delivery Van Inventory Office Supplies Accumulated Depreciation Vehicle $ 80,400 16,400 50,000 82,600 9,000 15,000 Accounts Cost of Goods Sold Sales Revenue Prepaid Advertising Wages Expense $ 260,500 452,100 6,600 33,000 The following adjustments have yet to be recorded for the year ended June 2023: i. On June 1st 2023, Asook Ltd paid for a two-month radio advertising campaign. The advertising cost of $4,400 (including GST) was paid in advance and posted to the Prepaid Advertising account on June 1st. ii. The year-end count showed $5,000 of office supplies on hand. iii. Ram has one employee, Samantha Hibbert who is paid $3,000 per month on the 1st of each month in arrears. iv. The Delivery Van purchased on 1 July 2021 is depreciated on a straight-line basis with a useful life of 4 years and a residual value of $10,000. v. Ashook Ltd has received $34,000 in deposits which have been credited to sales for goods that will be picked up by customers in July 2023. REQUIRED Prepare the adjusting entries for the year ended 30 June 2023. Narrations are not required.

Answer rating: 100% (QA)

To prepare the adjusting entries for Asook Ltd for the year ended 30 June 2023 we need to c... View the full answer