Accounting Cycle Review: Problem B This problem is designed to enable you to apply the knowledge you have acquired in the preceding chapters. In accounting, the ultimate test is being able to handle data in real- life situations. This problem will give you valuable experience. CHART OF ACCOUNTS bobs boha Assets 111 Cash 0284 112 Accounts Receivable 114 Prepaid Insurance 121 Land 125 Pool Structure 126 Accumulated Depreciation, Pool Structure Malul mon lid 127 Fan System 082 128 Accumulated Depreciation, Fan System 129 Sailboats 130 Accumulated Depreciation, Owner's Equity 311 R. Cury, Capital 312 R. Cury, Drawing 313 Income Summary Revenue lim 411 Income from Services 412 Concessions Income Expenses 511 Sailboat Rental Expense 512 Wages Expense 513 Advertising Expense 514 Utilities Expense 515 Interest Expense Insurance Expense ads bas Ingibning ad 516 Sailboats 8,18 aggrom adr Liabilities 221 Accounts Payable 222 Wages Payable 223 Mortgage Payable 1002 bite 0517 ES Depreciation Expense, Pool Structure DU 518 Depreciation Expense, Fan System 519 Depreciation Expense, Sailboats 522 Miscellaneous Expense CLGL June 30 Cury withdrew cash for personal use, $1,800. 30 Received $5,902 in cash as income for the use of the boats. RIES AND THE POST-CLOS 30 Sales from vending machines for the month amounted to $1,780. Ten percent of $1,780 equals $178. Because you have already recorded $150 as concessions income, list the additional $28 revenue earned from the vending machine operator. (Cash was not received.) Required 1. Journalize the transactions. (Start on page 1 of the general journal if using Excel or 2. Post the transactions to the ledger accounts. (Skip this step if using CLGL.) 3. Prepare a trial balance. (If using a work sheet, use the first two columns.) 1. Data for the adjustments are as follows: a. Insurance expired during the month, $1,000. b. Depreciation of pool structure for the month, $715. C. Depreciation of fan system for the month, $260. d. Depreciation of sailboats for the month, $900. e. Wages accrued at June 30, $810. Your instructor may want you to use a work sheet for these adjustments. 5. Journalize adjusting entries. 6. Post adjusting entries to the ledger accounts. (Skip this step if using CLGL.) 7. Prepare an adjusted trial balance. 8. Prepare the income statement. 9. Prepare the statement of owner's equity. 10. Prepare the balance sheet. 11. Journalize closing entries. 12. Post closing entries to the ledger accounts. (Skip this step if using CLGL.) 13. Prepare a post-closing trial balance. "If you are using CLGL, use the year 2020 when recording transactions and preparing reports.