[The following information applies to the questions displayed below.] The general ledger of Red Storm Cleaners...

   

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[The following information applies to the questions displayed below.] The general ledger of Red Storm Cleaners at January 1, 2015, Includes the following account balances: Accounts Debits $20,000 8,000 Credits Cash Accounts Recelvable Supplies 4,000 Equipment Accumulated Depreclation Salarles Payable Common Stock Retalned Earnings 15,000 $ 5,000 7,500 25,000 9,500 Totals $ 47,000 $47,000 The following is a summary of the transactions for the year. a. Sales of services, $60,000, of which $21,000 Is on account. b. Collect on accounts recelvable, $18,000. c. Issue shares of common stock In exchange for $6,000 cash. d. Pay salarles, $26,000 (of which $7,500 is for salarles payable in 2014). e. Pay repairs and malntenance expenses, $13,000. f. Purchase equlpment for $8,000 cash. g. Pay $1,100 cash dividends to stockholders. 2. Record each of the summary transactions listed above. (If no entry is required for a particular transaction/event, select "No journal entry required" in the first account field.) view transaction list view general journal Transaction General Journal Debit Credit a Cash 39,000 Accounts receivable 21.000 Service revenue 60,000 b. Cash 18.000 Accounts receivable 18.000 C. Cash 6,000 Common stock 6,000 Answered d. Salaries expense 18,500 Salaries payable 7,500 Cash 26,000 e. Repairs and maintenance expense 13,000 Cash 13,000 f. Equipment 8,000 Cash 8.000 g Dividends 1,100 Cash 1, 100 4. Prepare an unadjusted trial balance. RED STORM CLEANERS Trial Balance December 31, 2015 Accounts Debit Credit Cash $ 34.900 Accounts receivable 11,000 Supplies 4.000 Equipment 23,000 Accumulated depreciation $ 5,000 Salaries payable Common stock Answered 31,000 Retained earnings 9,500 Dividends 1,100 Service revenue 60,000 Salaries expense 18,500 Repairs and maintenance expense 13,000 Depreciation expense Supplies expense Totals 105,500 $ 105,500 5. Record adjusting entries. Accrued salaries at year-end amounted to $1,100. Depreciation for the year on the equipment is $5,000. Office supplies remaining on hand at the end of the year equal $1,200. (If no entry is required for a particular transaction/event, select account field.) journal entry required" in the first view transaction list view general journal Transaction General Journal Debit Credit 1. Salaries expense 1,100 Salaries payable 1, 100 Depreciation expense Accumulated depreciation 2 5,000 Answered 5.000 3 Supplies expense 2,800 Supplies 2,800 7. Prepare an adjusted trial balance. RED STORM CLEANERS Adjusted Trial Balance December 31, 2015 Accounts Debit Credit Cash 34,900 Accounts receivable 11,000 Supplies 1,200 Equipment 23,000 Accumulated depreciation $ 10,000 Salaries payable 1,100 Common stock Answered 31,000 Retained earnings 9,500 Dividends 1,100 Service revenue 60,000 Salaries expense 19,600 Repairs and maintenance expense 13,000 Depreciation expense 5,000 Supplies expense 2,800 Totals $ 111,600 $ 111,600 8-a. Prepare the income statement for the year ended December 31, 2015. RED STORM CLEANERS Income Statement For the Year Ended December 31, 2015 Service revenue $ 60,000 Answered Expenses: Salaries expense 19,600 Repairs and maintenance expense 13,000 Depreciation expense 5,000 Supplies expense 2,800 Total expenses 40,400 $ 19,600 8-b. Prepare the classified balance sheet for the year ended December 31, 2015. (Amounts to be deducted should be indicated by a minus sign.) RED STORM CLEANERS Balance Sheet Answered December 31, 2015 Assets Liabilities Current assets: Current liabilities: Cash 34,900 Salaries payable $ 1,100 Accounts receivable 11,000 Supplies 1,200 Stockholders' Equity Total current assets 47,100 Common stock 31,000 Long-term assets: Retained earnings 28,000 Equipment Accumulated depreciation 23,000 (10,000) Total stockholders' equity 59,000 Total Assets $ 60, 100 Total Liabilities and Stockholders' Equity $ 60, 100 9. Record closing entries. (If no entry is required for a particular transaction/event, select "No journal entry required" in the first account field.) view transaction list view general journal Date General Journal Debit Credit Dec. 31, 2015 Salaries expense 1, 100 Salaries payable 1,100 Answered Dec. 31, 2015 Depreciation expense 5,000 Equipment 5,000 Dec. 31, 2015 Cash 2,800 Supplies 2,800 11. Prepare a post-closing trial balance. Required RED STORM CLEANERS Post-Closing Trial Balance December 31, 2015 Accounts Debit Credit Totals 0 $ [The following information applies to the questions displayed below.] The general ledger of Red Storm Cleaners at January 1, 2015, Includes the following account balances: Accounts Debits $20,000 8,000 Credits Cash Accounts Recelvable Supplies 4,000 Equipment Accumulated Depreclation Salarles Payable Common Stock Retalned Earnings 15,000 $ 5,000 7,500 25,000 9,500 Totals $ 47,000 $47,000 The following is a summary of the transactions for the year. a. Sales of services, $60,000, of which $21,000 Is on account. b. Collect on accounts recelvable, $18,000. c. Issue shares of common stock In exchange for $6,000 cash. d. Pay salarles, $26,000 (of which $7,500 is for salarles payable in 2014). e. Pay repairs and malntenance expenses, $13,000. f. Purchase equlpment for $8,000 cash. g. Pay $1,100 cash dividends to stockholders. 2. Record each of the summary transactions listed above. (If no entry is required for a particular transaction/event, select "No journal entry required" in the first account field.) view transaction list view general journal Transaction General Journal Debit Credit a Cash 39,000 Accounts receivable 21.000 Service revenue 60,000 b. Cash 18.000 Accounts receivable 18.000 C. Cash 6,000 Common stock 6,000 Answered d. Salaries expense 18,500 Salaries payable 7,500 Cash 26,000 e. Repairs and maintenance expense 13,000 Cash 13,000 f. Equipment 8,000 Cash 8.000 g Dividends 1,100 Cash 1, 100 4. Prepare an unadjusted trial balance. RED STORM CLEANERS Trial Balance December 31, 2015 Accounts Debit Credit Cash $ 34.900 Accounts receivable 11,000 Supplies 4.000 Equipment 23,000 Accumulated depreciation $ 5,000 Salaries payable Common stock Answered 31,000 Retained earnings 9,500 Dividends 1,100 Service revenue 60,000 Salaries expense 18,500 Repairs and maintenance expense 13,000 Depreciation expense Supplies expense Totals 105,500 $ 105,500 5. Record adjusting entries. Accrued salaries at year-end amounted to $1,100. Depreciation for the year on the equipment is $5,000. Office supplies remaining on hand at the end of the year equal $1,200. (If no entry is required for a particular transaction/event, select account field.) journal entry required" in the first view transaction list view general journal Transaction General Journal Debit Credit 1. Salaries expense 1,100 Salaries payable 1, 100 Depreciation expense Accumulated depreciation 2 5,000 Answered 5.000 3 Supplies expense 2,800 Supplies 2,800 7. Prepare an adjusted trial balance. RED STORM CLEANERS Adjusted Trial Balance December 31, 2015 Accounts Debit Credit Cash 34,900 Accounts receivable 11,000 Supplies 1,200 Equipment 23,000 Accumulated depreciation $ 10,000 Salaries payable 1,100 Common stock Answered 31,000 Retained earnings 9,500 Dividends 1,100 Service revenue 60,000 Salaries expense 19,600 Repairs and maintenance expense 13,000 Depreciation expense 5,000 Supplies expense 2,800 Totals $ 111,600 $ 111,600 8-a. Prepare the income statement for the year ended December 31, 2015. RED STORM CLEANERS Income Statement For the Year Ended December 31, 2015 Service revenue $ 60,000 Answered Expenses: Salaries expense 19,600 Repairs and maintenance expense 13,000 Depreciation expense 5,000 Supplies expense 2,800 Total expenses 40,400 $ 19,600 8-b. Prepare the classified balance sheet for the year ended December 31, 2015. (Amounts to be deducted should be indicated by a minus sign.) RED STORM CLEANERS Balance Sheet Answered December 31, 2015 Assets Liabilities Current assets: Current liabilities: Cash 34,900 Salaries payable $ 1,100 Accounts receivable 11,000 Supplies 1,200 Stockholders' Equity Total current assets 47,100 Common stock 31,000 Long-term assets: Retained earnings 28,000 Equipment Accumulated depreciation 23,000 (10,000) Total stockholders' equity 59,000 Total Assets $ 60, 100 Total Liabilities and Stockholders' Equity $ 60, 100 9. Record closing entries. (If no entry is required for a particular transaction/event, select "No journal entry required" in the first account field.) view transaction list view general journal Date General Journal Debit Credit Dec. 31, 2015 Salaries expense 1, 100 Salaries payable 1,100 Answered Dec. 31, 2015 Depreciation expense 5,000 Equipment 5,000 Dec. 31, 2015 Cash 2,800 Supplies 2,800 11. Prepare a post-closing trial balance. Required RED STORM CLEANERS Post-Closing Trial Balance December 31, 2015 Accounts Debit Credit Totals 0 $

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Solution Post Closing Trial Balance Account Titles Debit Credit Cash 34900 A... View the full answer