*Problem 3-1A Deanna Nardelli started her own consulting firm, Nardelli Consulting, on May 1, 2015. The trial balance at May 31 is as follows. NARDELLI CONSULTING Trial Balance May 31, 2015 Account Number Debit Credit 101 Cash $4,400 112 Accounts Receivable 5,913 126 Supplies 1,863 130 Prepaid Insurance 3,336 149 Equipment 10,620 201 Accounts Payable $ 2,174 209 Unearned Service Revenue 1,996 301 Common Stock 18,905 400 Service Revenue 7,797 726 729 Salaries and Wages Expense Rent Expense 3,306 1,434 $30,872 $30,872 In addition to those accounts listed on the trial balance, the chart of accounts for Nardelli Consulting also contains the following accounts and account numbers: No. 150 Accumulated Depreciation- Equipment, No. 212 Salaries and Wages Payable, No. 631 Supplies Expense, No. 717 Depreciation Expense, No. 722 Insurance Expense, and No. 732 Utilities Expense. Other data: 1. $773 of supplies have been used during the month. 2. Utilities expense incurred but not paid on May 31, 2015, $242. (Includes utilities payable under accounts payable.) 3. The insurance policy is for 2 years. 4. $324 of the balance in the unearned service revenue account remains unearned at the end of the month. 5. May 31 is a Wednesday, and employees are paid on Fridays. Nardelli Consulting has two employees, who are paid $1,090 each for a 5-day work week. 6. The office furniture has a 5-year life with no salvage value. It is being depreciated at $177 per month for 60 months. 7. Invoices representing $1,659 of services performed during the month have not been recorded as of May 31. Prepare the adjusting entries for the month of May. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.) No. Date Account Titles and Explanation Debit Credit 1. May 31 2. May 31 3. May 31 4. May 31 5. May 31 6. May 31 7. May 31 Post the adjusting entries to the ledger accounts. Enter the totals from the trial balance as beginning account balances. (Post entries in the order of journal entries presented in the previous part.) Cash Ref Debit v No. 101 Balance Date Explanation Credit May 31 Balance Accounts Receivable No. 112 Date Explanation Ref Debit Credit Balance May 31 Balance May 31 Adjusting 34 Supplies No. 126 Date Explanation Ref Debit Credit Balance May 31 Balance v May 31 Adjusting 34 Prepaid Insurance No. 130 Date Explanation Ref Debit Credit Balance May 31 Balance May 31 Adjusting Equipment Date Explanation Ref Debit Credit Balance May 31 Balance Accumulated Depreciation-Equipment Date Explanation May 31 Adjusting No. 150 Ref Debit Credit Balance 34 Accounts Payable No. 201 Date Explanation Ref Debit Credit Balance May 31 Balance v May 31 Adjusting 34 Unearned Service Revenue No. 209 Date Explanation Ref Debit Credit Balance May 31 Balance V May 31 Adjusting 34 Salaries and Wages Payable Date Explanation May 31 Adjusting No. 212 Ref Debit Credit Balance 04 Common Stock No. 301 Date Explanation Ref Debit Credit Balance May 31 Balance Service Revenue No. 400 Date Explanation Ref Debit Credit Balance May 31 Balance May 31 Adjusting 34 May 31 Adjusting 34 Supplies Expense No. 631 Date Explanation Ref Debit Credit Balance May 31 Adjusting 04 Depreciation Expense No. 717 Date Explanation Ref Debit Credit Balance May 31 Adjusting 34 Insurance Expense No. 722 Date Explanation Ref Debit Credit Balance May 31 Adjusting 04 Salaries and Wages Expense Date Explanation No. 726 Ref Debit Credit Balance May 31 Balance May 31 Adjusting 34 Rent Expense No. 729 Date Explanation Ref Debit Credit Balance May 31 Balance Utilities Expense No. 736 Date Explanation Ref Debit Credit Balance May 31 Adjusting 34 Prepare an adjusted trial balance at May 31, 2015. NARDELLI CONSULTING Adjusted Trial Balance May 31, 2015 Debit Credit