The unadjusted trial balance of Brunos Hauling at February 29, 2012, the end of the current year,
Question:
The data needed to determine year-end adjustments are as follows:
a. Supplies on hand at February 29 are $1,000.
b. Insurance premiums expired during year are $2,400.
c. Depreciation of equipment during year is $8,000.
d. Depreciation of trucks during year is $5,000.
e. Wages accrued but not paid at February 29 are $500.
Instructions
1. For each account listed in the trial balance, enter the balance in the appropriate Balance column of a four-column account and place a check mark () in the Posting Reference column.
2. Enter the unadjusted trial balance on an end-of-period spreadsheet (worksheet) and complete the spreadsheet. Add the accounts listed in part (3) as needed.
3. Journalize and post the adjusting entries, inserting balances in the accounts affected. The following additional accounts from Brunos Haulings chart of accounts should be used: Wages Payable, 22; Supplies Expense, 52; Depreciation ExpenseEquipment, 55; Depreciation ExpenseTrucks, 56; Insurance Expense, 57.
4. Prepare an adjusted trial balance.
5. Prepare an income statement, a retained earnings statement, and a balance sheet.
6. Journalize and post the closing entries. Indicate closed accounts by inserting a line in both Balance columns opposite the closing entry.
7. Prepare a post-closing trial balance.
Step by Step Answer:
Financial and Managerial Accounting Using Excel for Success
ISBN: 978-1111993979
1st edition
Authors: James Reeve, Carl S. Warren, Jonathan Duchac