Reliable Repairs & Service, an electronics repair store, prepared the following unadjusted trial balance on November 30, 20Y3:

For preparing the adjusting entries, the following data were assembled:
• Fees earned but unbilled on November 30 were $10,500.
• Supplies on hand on November 30 were $1,175.
• Depreciation of equipment was estimated to be $9,500 for the year.
• The balance in unearned fees represented the November 1 receipt in advance for services to be provided. During November, $16,800 of the services were provided.
• Unpaid wages accrued on November 30 were $2,400.

Instructions
1. Journalize the adjusting entries necessary on November 30, 20Y3.
2. Determine the revenues, expenses, and net income of Reliable Repairs & Service before the adjusting entries.
3. Determine the revenues, expense, and net income of Reliable Repairs & Service after the adjusting entries.
4. Determine the effect of the adjusting entries on Retained Earnings.

Transcribed Image Text:

Reliable Repairs & Service Unadjusted Trial Balance November 30, 20Y3 Debit Credit Balances Balances 25,350 67,500 16,200 Cash Accounts Receivable. Supplies.. Equipment.. Accounts Payable Unearned Fees. 181,100 25,750 18,000 Common Stock 75,000 Retained Earnings 111,500 Dividends 13,500 Fees Earned. 369,750 Wages Expense Rent Expense Utilities Expense . Miscellaneous Expense 144,500 92,000 51,750 8,100 600,000 600,000