Instructions

Journalize each transaction in a two$-$column journal starting on Page $1,$ referring to the

following chart of accounts in selecting the accounts to be debited and credited. $($Do not

insert the account numbers in the journal at this time.$)$

Post the journal to a ledger of four$-$column accounts.

Prepare an unadjusted trial balance.

At the end of July, the following adjustment data were assembled. Analyze and use these

data to complete parts $(5)$ and $(6).$

a$.$ Insurance expired during July July is $$510.$

b$.$ Supplies on hand on July $31$ are $$3,900$

c$.$ Depreciation of office equipment for July is $$540.$

d$.$ Accrued receptionist salary on July $31$ is $$190.$

e$.$ Rent expired during July is $$2,700.$

f$.$ Unearned fees on July $31$ are $$4,100.$

Enter the unadjusted trial balance on an end$-$of$-$period spreadsheet and complete the

spreadsheet.

Journalize and post the adjusting entries. Record the adjusting entries on Page $3$ of the

journal.

Prepare an adjusted trial balance.

Prepare an income statement of owner's equity and balance sheet.

Prepare and post the closing entries. Record the closing entries on Page $4$ of the journal.

Indicate closed accounts by inserting a line in both Balance columns opposite the closing

entry.

Prepare a post$-$closing trial balance

Compute for the Working capital and current ratio