Following is Magnificent trial balance for calendar year $20$18 through April $\mathrm{}30$th$.$This trial balance does not reflect the transactions that occurred during the last $11$days of the year or adjustments that are necessary, as described by the additional information below. The Loan payable is due in $48$months $($hint: current or non current$).$
 

 

 

The company received payment to settle a $$11,000$Account receivable on December $21.$The terms of the receivable were B$/10,$N $30$and the payment reflected that it was within the discount period.

On Dec $22,$the company settled with cash a $$16,000$Account payable with a vendor who sold the company inventory on December $18($the balance is included in Accounts payable at Dec $20).$The terms of the payable were B$/10,$N $30$and the payment reflected that it was within the discount period.

The company sold C of toy mice on December $22.$The terms of the sale were B$/10,$N $30.$The cost $($inventory$)$of the mice was $$2,500.$

The company's president, Eliza, decided the company needed more capital, so she sold more stock on December $30$th for A

The equipment was purchased near the beginning of the year. D of its cost expired this year.

Interest of E is owed on December $31,$but has not been recorded.

Supplies on hand at year end were counted, and amount to $$2,000.$

December's rent of $$2,000$is owed, but has not been recorded$\mathrm{.}000$Account receivable on December $21.$The terms of the receivable were B$/10,$N $30$and the payment reflected that it was within the discount period.

On Dec $22,$the company settled with cash a $$16,000$Account payable with a vendor who sold the company inventory on December $18($the balance is included in Accounts payable at Dec $20).$The terms of the payable were B$/10,$N $30$and the payment reflected that it was within the discount period.

The company sold C of toy mice on December $22.$The terms of the sale were B$/10,$N $30.$The cost $($inventory$)$of the mice was $$2,500.$

The company's president, Elizabeth, decided the company needed more capital, so she sold more stock on December $30$th for A

The equipment was purchased near the beginning of the year. D of its cost expired this year.

Interest of E is owed on December $31,$but has not been recorded.

Supplies on hand at year end were counted, and amount to $$2,000.$

December's rent of $$2,000$is owed, but has not been recorded.

$1.$ Set up a three column General Ledger and drop in the account balances from the provided trial balance

$2.$ Set up a General Journal and prepare the necessary entries through yearend.

$3.$ Post journal entries to your General Ledger set up in and determine the adjusted balances of the accounts. and create an adjusted trial balance

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MAGNIFICENT LANDSCAPING SERVICE Adjusted Trial Balance April 30, 2018 Account Title Cash Accounts Receivable Office Supplies Prepaid Insurance Equipment Accumulated Depreciation: Equipment Accounts Payable Salaries Payable Unearned Lawn Mowing Revenue Common Stock Dividends Lawn Mowing Revenue Gas Expense Advertising Expense Depreciation Expense: Equipment Supplies Expense Salaries Expense Debit Credit $2,950 575 40 240 2,500 $ 35 28 420 100 5,000 1,000 2,350 53 35 35 85 420 $7,933 $7,933 MAGNIFICENT LANDSCAPING SERVICE Adjusted Trial Balance April 30, 2018 Account Title Cash Accounts Receivable Office Supplies Prepaid Insurance Equipment Accumulated Depreciation: Equipment Accounts Payable Salaries Payable Unearned Lawn Mowing Revenue Common Stock Dividends Lawn Mowing Revenue Gas Expense Advertising Expense Depreciation Expense: Equipment Supplies Expense Salaries Expense Debit Credit $2,950 575 40 240 2,500 $ 35 28 420 100 5,000 1,000 2,350 53 35 35 85 420 $7,933 $7,933

Answer rating: 100% (QA)

Based on the information provided the loan payable is classified as noncurrent Heres why Current ass... View the full answer