The unadjusted trial balance and adjustment data for Edge Sports Repair Shop are provided.

Additional information:

1. Services of $5,350 were provided but not recorded at September 30, 2021.

2. The 12-month insurance policy was purchased on February 1, 2021.

3. A physical count of supplies shows $560 on hand on September 30, 2021.

4. The building has an estimated useful life of 50 years. The equipment has an estimated useful life of eight years.

5. Salaries of $1,975 are accrued and unpaid at September 30, 2021.

6. The mortgage payable has a 4.5% interest rate. Interest is paid on the first day of each month for the previous month?s interest.

7. On September 30, 2021, one quarter of the unearned revenue was still unearned.

8. During the next fi scal year, $5,400 of the mortgage payable is to be paid.

Instructions

Prepare a work sheet for the year ended September 30, 2021.

Is it still necessary to record the adjusting entries in the journal and post them to the ledger accounts when using a worksheet?

Transcribed Image Text:

EDGE SPORTS REPAIR SHOP Trial Balance September 30, 2021 Debit Credit Cash $ 6,750 Accounts receivable Prepaid insurance Supplies Land 11,540 4,140 3,780 55,000 Building Accumulated depreciation-building Equipment Accumulated depreciation-equipment Accounts payable 100,000 $ 19,150 40,000 11,500 8,850 Unearned revenue 3,300 125,000 Mortgage payable R. Brachman, capital R. Brachman, drawings Service revenue 60,000 103,525 189,250 Interest expense Salaries expense Utilities expense 6,302 75,900 10,113 $417,050 $417,050