Ledger balances on 30 June 2022 before adjustments were: 12% government bonds $20 000, interest received $1800, salaries $23 530, insurance $1550, plant $49 000 and accumulated depreciation – plant $17 300.

Adjustments required were as follows.

– Interest was received on 12% government bonds on 31 March and 30 September.

– Salaries of $950 were owing.

– Annual insurance premium of $1200 had been paid on 1 February 2022.

– Plant was depreciated at 15% p.a.

For the year ended 30 June 2022:

• prepare adjusting journals

• prepare closing journals

• enter balances and post journals to relevant ledger accounts including profit and loss account

• prepare extract income statement and balance sheet, and

• prepare relevant journals on 1 July 2022 and post to the ledger.