Account Title Cash Accounts receivable Prepaid insurance Land Buildings Accumulated depreciation-buildings Office equipment Accumulated depreciation-office equipment...

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Account Title Cash Accounts receivable Prepaid insurance Land Buildings Accumulated depreciation-buildings Office equipment Accumulated depreciation-office equipment Accounts payable Salaries payable Deferred rent revenue Common stock Retained earnings Service revenue Interest revenue Rent revenue Salaries expense Depreciation expense Insurance expense Utilities expense Maintenance expense Debits Credits $ 8,000 9,000 3,000 200,000 50,000 $ 20,000 100,000 40,000 37,000 0 0 35,050 0 7,500 200,000 56,450 90,000 3,000 0 s Totals 30,000 15,000 $ 452,000 $ 452,000 Information necessary to prepare the year-end adjusting entries appears below. a. The buildings have an estimated useful life of 50 years with no salvage value. The company uses the straight-line depreciation method. b. The office equipment is depreciated at 10 percent of original cost per year. c. Prepaid insurance expired during the year, $1,000. d. Accrued salaries at year-end, $1,500. e. Rent to customers who paid in advance has been provided for $6,300. Required: 1. From the trial balance and information given, prepare adjusting entries. 2. Post the beginning balances and adjusting entries into the appropriate T-accounts. 3. Prepare an adjusted trial balance. 4. Prepare closing entries. 5. Prepare a post-closing trial balance. Account Title Cash Accounts receivable Prepaid insurance Land Buildings Accumulated depreciation-buildings Office equipment Accumulated depreciation-office equipment Accounts payable Salaries payable Deferred rent revenue Common stock Retained earnings Service revenue Interest revenue Rent revenue Salaries expense Depreciation expense Insurance expense Utilities expense Maintenance expense Debits Credits $ 8,000 9,000 3,000 200,000 50,000 $ 20,000 100,000 40,000 37,000 0 0 35,050 0 7,500 200,000 56,450 90,000 3,000 0 s Totals 30,000 15,000 $ 452,000 $ 452,000 Information necessary to prepare the year-end adjusting entries appears below. a. The buildings have an estimated useful life of 50 years with no salvage value. The company uses the straight-line depreciation method. b. The office equipment is depreciated at 10 percent of original cost per year. c. Prepaid insurance expired during the year, $1,000. d. Accrued salaries at year-end, $1,500. e. Rent to customers who paid in advance has been provided for $6,300. Required: 1. From the trial balance and information given, prepare adjusting entries. 2. Post the beginning balances and adjusting entries into the appropriate T-accounts. 3. Prepare an adjusted trial balance. 4. Prepare closing entries. 5. Prepare a post-closing trial balance.

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1 Adjusting Entries a Depreciation Expense Buildings Debit Depreciation Expense Buildings 3000 Credit Accumulated Depreciation Buildings 3000 b Deprec... View the full answer