XYZ Hotels Worksheet For the Year Ended December 31, 2015 Trial Balance Adjustments Adjusted Trial Balance Income Statement Balance Sheet Account Titles Acct # Debit Credit Ref Debit Ref Credit Debit Credit Debit Credit Debit Credit Cash 101 $25,000 Accounts Recievable 104 $66,000 Prepaid Insurance 130 $10,000 Supplies 140 $5,500 Building 150 $1,30,000 Acc. Depr,. Building 155 Equipment 160 $50,000 Acc. Depr,. Equipment 165 Accounts Payable 201 $25,000 Wages Payable 204 Utilities Payable 206 $12,000 Long Term Notes Payable 210 $75,000 Capital Investment 301 $75,000 Room Sales 401 $75,000 Food Sales 404 $35,000 Event Sales 406 $20,000 Wages Expense 501 $7,500 Rent Expense 504 $2,000 Advertising Expense 506 $1,000 Utilities Expense 508 $20,000 Supplies Expense 510 Building Depreciation Expense 520 Equipment Depreciation Expense 530 Interest Expense 540 Insurance Expense 550 Totals $3,17,000 $3,17,000 $- This is the Hotels first year of operation Ref Adjustment Data to update the trial balance as at year end December 31 2015 is given below: Calculations for Adjustments a Insurance Expired during the year $5,000 b Supplies on hand at Dec 31 2015 $3,000 c Building Depreciation - Building has a 40 year life with a $10,000 residual value at end of 40 year Compute the depreciation for 1 year d Depreciation on equipment $1,000 per year e It was found that wages earned for the last 15 days in Dec has not yet been paid $1,000 f It was found that the accrued utilities expense was overstated by $500 g There is a 5% per year interest expense on the Long Term Notes Payable which was paid in cash on Dec 31 2015 but not yet recorded Compute the interest for 1 year Requirements: 1 Complete the worksheet for XYZ Hotels by computing and posting all the double entry adjustments in the Adjustment Debit and Credit Columns. 2 Extend the balances into the Adjusted Trial Balance Debit Credit Columns and then the appropriate Income Statement and Balance Sheet Debit and Credit Columns 3 Need to get an Income Statement in Single Step Format 4 Need a Classified Balance Sheet

Answer rating: 100% (QA)

To complete the worksheet for XYZ Hotels we will compute and post all the doubleentry adjustments in the Adjustment Debit and Credit columns We will then extend the balances into the Adjusted Trial Ba... View the full answer