The adjusted trial balances of Allied Coatings, Inc., at October 31, 2018, and October 31, 2019, include these amounts:

Analysis of the accounts at October 31, 2019, reveals these transactions for the past 12 months:

Purchase of supplies......................................................................................$9,100Cash payments for salaries ..........................................................................59,800Cash receipts in advance for service revenue..........................................104,800

Requirement

Compute the amounts of supplies expense, salaries expense, and service revenue Allied Coatings, Inc., will report for the year ended October 31, 2019. Create T-accounts and post the information to solve for the unknown amounts.

Transcribed Image Text:

2018 2019 Supplies. $ 1,200 $2,800 Salaries Payable.. Unearned Service Revenue 2,800 1,350 18,000 7,700