Kristi Williams offers family counseling services specializing in financial and marital problems. Kristi Williams Family Counseling Services
Question:
Kristi Williams offers family counseling services specializing in financial and marital problems.
Kristi Williams Family Counseling Services
UNADJUSTED TRIAL BALANCE December 31, 20--
| ACCOUNT TITLE | DEBIT | CREDIT |
1 | Cash | 8,730.00 | |
2 | Office Supplies | 700.00 | |
3 | Prepaid Insurance | 600.00 | |
4 | Office Equipment | 18,000.00 | |
5 | Computer Equipment | 6,000.00 | |
6 | Notes Payable | | 8,000.00 |
7 | Accounts Payable | | 500.00 |
8 | Kristi Williams, Capital | | 11,400.00 |
9 | Kristi Williams, Drawing | 3,000.00 | |
10 | Client Fees | | 35,800.00 |
11 | Wages Expense | 9,500.00 | |
12 | Rent Expense | 6,000.00 | |
13 | Utilities Expense | 2,170.00 | |
14 | Miscellaneous Expense | 1,000.00 | |
15 | Totals | 55,700.00 | 55,700.00 |
Information for year-end adjustments is as follows:
(a) Office supplies on hand at year-end amounted to $100.
(b) On January 1, 20--, Williams purchased office equipment that cost $18,000. It has an expected useful life of 10 years and no salvage value.
(c) On July 1, 20--, Williams purchased computer equipment costing $6,000. It has an expected useful life of three years and no salvage value. Assume that Williams computes depreciation to the nearest full month.
(d) On December 1, 20--, Williams paid a premium of $600 for a six-month insurance policy.
Required:
1. Prepare the work sheet for the year ended December 31, 20--.
2. Prepare adjusting entries in a general journal.