End of year condensed worksheet for Amoss Company as of December 31.

Additional Information and/or entries to be adjusted:
a. Prepaid insurance is for a two-year theft policy dated July 1.
b. The ending inventory balance is $300.
c. The building is using the straight-line method with a useful life of 30 years and no salvage value.
d. The balance in Unearned Consulting Revenue pertains to a contract sold on September 1, to provide service to a client for one year.
e. At year-end, office supplies on hand are $24.
f. At year-end, accrued salaries are $50.
g. Repair Service Revenue includes a one-year contract for $120 received on July 1.
h. The tax rate is 50%.

Complete the entire worksheet, assuming that adjusting entries are made only at December 31.

Worksheet

account Titles	trail balance		Adjustments		Income statement		Retained earnings statement		Balance sheet
	Debit	Credit	Debit	Credit	Debit	Credit	Debit	Credit	Debit	Credit
Prepaid Insurance	160			42					42
Inventory, Jan, 1	180
Building	900								900
accumulated depreciation		260		30
Other assets	2068
unearned consulting revenue		48	16
Capital Stock		2300								2300
Retained earnings		620						620
Sales		3600
Repair service revenue		800	60
office supplies expense	120
salaries expense	1800
purchases	2400
TOTAL
Insurance expense
inventory, Dec, 31
Depreciation expense			30
consulting expense				16
office supplies			24
salaries payable				50
unearned repair service revenue				60
income tax expense
income tax payable
NET INCOME
RETAINED EARNINGS, DEC 31

Would the inventory be the difference between 180 and 300? Not sure if I adjusted this all correctly.

Answer rating: 100% (QA)

Please check out the adjustments which are balanced DrCr notice Net income and Tax exp ie505... View the full answer