Gavin’s Gardening Equipment Hire’s unadjusted trial balance of the business appears as shown below. Ignore GST.

Additional information 1. Expired insurance amounts to $750.
2. June electricity costs of $330 have not been paid or recorded. No tax invoice has been received.
3. Depreciation on the gardening equipment is $16 250.
4. Hire fees of $1320 were received in advance and were not considered to be revenue at balance date.
5. The Rent Expense account contains $1440 paid for July 2019 rent.

6. A hire fee of $380 received in cash was recorded by debiting Accounts Receivable.
7. Salaries earned amounting to $530 will be paid in July and have not been recorded.
Required

(a) Set up T accounts for the accounts listed in the trial balance.
i. Enter the account balances from the trial balance into the T accounts.
ii. Post the adjusting information directly to the T accounts.

(b) Prepare an adjusted trial balance.

(c) Prepare an income statement and a statement of changes in equity for the year ended 30 June 2019.

(d) Prepare a balance sheet as at 30 June 2019.

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Account Cash at bank Accounts receivable Prepaid insurance GAVIN'S GARDENING EQUIPMENT HIRE Unadjusted Trial Balance as at 30 June 2019 Gardening equipment Accumulated depreciation-party equipment Accounts payable G. Greene, Capital G. Greene, Drawings Hire fees revenue Salaries expense Rent expense Maintenance expense Electricity expense Debit Credit $ 5200 2400 1 200 78 700 $ 40600 6800 20410 18310 74700 26500 5 700 3100 1400 $142510 $142510