Main Group, Inc., adjusts and closes its books each month. The trial balance at March 31,...
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Main Group, Inc., adjusts and closes its books each month. The trial balance at March 31, 2019 before adjustments is as follows: Cash........ Accounts Receivable............... Supplies........ Prepaid Advertising. Equipment......... Accumulated Depreciation: Equipment Unearned Consulting Fees.............. Capital Stock.................. Retained Earnings... Consulting Fees Earned.. Salaries Expense........ Utilities Expense.. Rent Expense...... Debit 26,650 30,000 3,750 8,400 72,000 32,000 1,200 4,500 178,500 Credit 25,000 19,500 20,000 26,500 87,500 178,500 The following information relates to month-end adjustments: a According to contracts, consulting fees received in advance that were earned in March total $13,000. b On January 1, 2019, the company paid in advance for 6 months' advertising in professional journals. с At March 31, supplies on hand amount to $1,250. d The equipment has an original estimated useful life of 6 years. Required: 1. Prepare the required adjusting entries (March 31, 2019) in the journal form. 2. After the proper adjusting entries are made, what are the balances in the Unearned Consulting Fees and Accumulated Depreciation: Equipment accounts on March 31? 3. After closing entries on March 31, how much is the Total Stockholders' Equity. Include your bases/details for your this answer. Main Group, Inc., adjusts and closes its books each month. The trial balance at March 31, 2019 before adjustments is as follows: Cash........ Accounts Receivable............... Supplies........ Prepaid Advertising. Equipment......... Accumulated Depreciation: Equipment Unearned Consulting Fees.............. Capital Stock.................. Retained Earnings... Consulting Fees Earned.. Salaries Expense........ Utilities Expense.. Rent Expense...... Debit 26,650 30,000 3,750 8,400 72,000 32,000 1,200 4,500 178,500 Credit 25,000 19,500 20,000 26,500 87,500 178,500 The following information relates to month-end adjustments: a According to contracts, consulting fees received in advance that were earned in March total $13,000. b On January 1, 2019, the company paid in advance for 6 months' advertising in professional journals. с At March 31, supplies on hand amount to $1,250. d The equipment has an original estimated useful life of 6 years. Required: 1. Prepare the required adjusting entries (March 31, 2019) in the journal form. 2. After the proper adjusting entries are made, what are the balances in the Unearned Consulting Fees and Accumulated Depreciation: Equipment accounts on March 31? 3. After closing entries on March 31, how much is the Total Stockholders' Equity. Include your bases/details for your this answer.
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1 Account Titles Debit Credit a Unearned Consulting Fees 13000 Consulting Fees Earned 130... View the full answer
Related Book For
Horngrens Accounting
ISBN: 978-0133866889
11th edition
Authors: Tracie L. Miller Nobles, Brenda L. Mattison, Ella Mae Matsumura
Posted Date:
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