Problem 4-1A Applying the accounting cycle LO C2, P2, P3 On April 1, Jiro Nozomi created a new travel agency, Adventure Travel. The following transactions occurred during the company's first month. April 1 Nozomi invested $40,000 cash and computer equipment worth $25,000 in the company. 2 The company rented furnished office space by paying $2,400 cash for the first month's (April) rent. 3 The company purchased $1,200 of office supplies for cash. 10 The company paid $2,000 cash for the premium on a 12-month insurance policy. Coverage begins on April 11. 14 The company paid $1,200 cash for two weeks' salaries earned by employees. 24 The company collected $9,500 cash for commissions earned. 28 The company paid $1,200 cash for two weeks' salaries earned by employees. 29 The company paid $300 cash for minor repairs to the company's computer. 30 The company paid $1,300 cash for this month's telephone bill. 30 Nozomi withdrew $2,100 cash from the company for personal use. The company's chart of accounts follows: 101 Cash 106 Accounts Receivable 124 Office Supplies 128 Prepaid Insurance 167 Computer Equipment 168 Accumulated Depreciation-Computer Equip. 209 Salaries Payable 301 J. Noroni, Capital 302 J. Nozomi, withdrawals 405 Commissions Earned 612 Depreciation Expense Computer Equip. 622 Salaries Expense 637 Insurance Expense 640 Rent Expense 650 Office Supplies Expense 684 Repairs Expense 688 Telephone Expense 901 Income Summary Use the following information: a. Prepaid insurance of $111 has expired this month. b. At the end of the month, $600 of office supplies are still available. c. This month's depreciation on the computer equipment is $300. d. Employees earned $460 of unpaid and unrecorded salaries as of month-end. e. The company earned $1,750 of commissions that are not yet billed at month-end. Required: 1. & 2. Prepare journal entries to record the transactions for April and post them to the ledger accounts in Requirement 6b. The company records prepaid and unearned items in balance sheet accounts. 3. Using account balances from Requirement 6b, prepare an unadjusted trial balance as of April 30. 4. Journalize the adjusting entries for the month and prepare the adjusted trial balance. 5a. Prepare the income statement for the month of April 30. 5b. Prepare the statement of owner's equity for the month of April 30. 5c. Prepare the balance sheet at April 30. 60. Prepare journal entries to close the temporary accounts and then post to Requirement 6b. 6b. Post the journal entries to the ledger, 7. Prepare a post.closing trial balance. . Prepaid insurance of $111 has expired this month. 2. At the end of the month, $600 of office supplies are still available. E. This month's depreciation on the computer equipment is $300. 8. Employees earned $460 of unpaid and unrecorded salaries as of month-end. e. The company earned $1,750 of commissions that are not yet billed at month-end. Required: 1. & 2. Prepare journal entries to record the transactions for April and post them to the ledger accounts in Requirement 6 company records prepaid and unearned items in balance sheet accounts. 3. Using account balances from Requirement 6b, prepare an unadjusted trial balance as of April 30. 4. Journalize the adjusting entries for the month and prepare the adjusted trial balance. 5a. Prepare the income statement for the month of April 30. 5b. Prepare the statement of owner's equity for the month of April 30. 5c. Prepare the balance sheet at April 30. 6a. Prepare journal entries to close the temporary accounts and then post to Requirement 6b. 6b. Post the journal entries to the ledger. 7. Prepare a post-closing trial balance. Answer is not complete. Complete this question by entering your answers in the tabs below. Reg 3 Reg 4 Adj Entries Req 1 and 2 Reg 4 Adj Trial Bal Req 5A Req 5B Reg 5C Req 6A Reg 68 GL Reg 7 Prepare journal entries to record the transactions for April and post them to the ledger accounts in Requirement 65. The company records prepaid and unearned items in balance sheet accounts. No Date General Journal Credit April 01 Cash Computer equipment J. Nozomi, Capital Debit 40,000 25,000 65,000 Reg1 and 2 Reg 3 > 5c. Prepare the balance sheet at April 30. 6a. Prepare journal entries to close the temporary accounts and then post to Requirement 6b. 6b. Post the journal entries to the ledger. 7. Prepare a post-closing trial balance. Answer is not complete. Complete this question by entering your answers in the tabs below. Req 1 and 2 Req3 Req 4 Adj Entries Req 4 Adj Trial Bal Req 5A Reg 5B Req 5C Reg 6A Req 6B GL Reg 7 Using account balances from Requirement 6b, prepare an unadjusted trial balance as of April 30. Debit Credit 25,000 ADVENTURE TRAVEL Unadjusted Trial Balance April 30 Account Title 101: Cash 106: Accounts receivable 124: Office supplies 128: Prepaid insurance 167: Computer equipment 168: Accumulated depreciation-Computer equipment 209: Salaries payable 301: J. Nozomi, Capital 302: J. Nozomi, Withdrawals 405: Commissions earned 612: Depreciation expense Computer equipment 622: Salaries expense 637: Insurance expense 640: Rent expense 650: Office supplies expense 684: Repairs expense 688: Telephone expense Total 25,000 Y VURURLUJUuunny LUI LIVIUPpuSuUUUU 5a. Prepare the income statement for the month of April 30. 5b. Prepare the statement of owner's equity for the month of April 30. 5c. Prepare the balance sheet at April 30. 6a. Prepare journal entries to close the temporary accounts and then post to Requirement 6b. 6b. Post the journal entries to the ledger. 7. Prepare a post-closing trial balance. Answer is not complete. Complete this question by entering your answers in the tabs below. Req 1 and 2 Req 3 Req 4 Adj Entries Req 4 Adj Trial Bal Req 5A Reg 5B Req 5C Req 6A Req 6B GL Req 7 Using adjusted account balances from Requirement 6b, prepare an adjusted trial balance as of April 30. ADVENTURE TRAVEL Adjusted Trial Balance April 30 Account Title Debit Credit 101: Cash 106: Accounts receivable 124: Office supplies 128: Prepaid insurance 167: Computer equipment 168: Accumulated depreciation - Computer equipment 209: Salaries payable 301: J. Nozomi, Capital 302: J. Nozomi, Withdrawals 405: Commissions earned 612: Depreciation expense Computer equipment 622: Salaries expense 637: Insurance expense 640: Rent expense 650: Office supplies expense 684: Repairs expense 688: Telephone expense Total $ O Requirea: 1. & 2. Prepare journal entries to record the transactions for April and post them to the ledger accounts in Requirement 6b. Th company records prepaid and unearned items in balance sheet accounts. 3. Using account balances from Requirement 6b, prepare an unadjusted trial balance as of April 30. 4. Journalize the adjusting entries for the month and prepare the adjusted trial balance. 5a. Prepare the income statement for the month of April 30. 5b. Prepare the statement of owner's equity for the month of April 30. 5c. Prepare the balance sheet at April 30. 6a. Prepare journal entries to close the temporary accounts and then post to Requirement 6b. 6b. Post the journal entries to the ledger. 7. Prepare a post-closing trial balance. Answer is not complete. Complete this question by entering your answers in the tabs below. Req 1 and 2 Reg 3 Reg 4 Adj Entries Req 4 Adj Trial Bal Req 5A Req 5B Req 5C Reg 6A Req 6B GL Reg 7 Prepare the income statement for the month of April 30. ADVENTURE TRAVEL Income Statement For Month Ended April 30 Revenues: Expenses: Total expenses Prepaid insurance of $111 has expired this month. At the end of the month, $600 of office supplies are still available. This month's depreciation on the computer equipment is $300. Employees earned $460 of unpaid and unrecorded salaries as of month-end. The company earned $1,750 of commissions that are not yet billed at month-end. equired: & 2. Prepare journal entries to record the transactions for April and post them to the ledger accounts in Requirement ompany records prepaid and unearned items in balance sheet accounts. Using account balances from Requirement 6b, prepare an unadjusted trial balance as of April 30. 1. Journalize the adjusting entries for the month and prepare the adjusted trial balance. ia. Prepare the income statement for the month of April 30. 3b. Prepare the statement of owner's equity for the month of April 30. Sc. Prepare the balance sheet at April 30. 5a. Prepare journal entries to close the temporary accounts and then post to Requirement 6b. 5b. Post the journal entries to the ledger. 7. Prepare a post-closing trial balance. Answer is not complete. Complete this question by entering your answers in the tabs below. Req 1 and 2 Reg 3 Req 4 Adj Entries Req 4 Adj Trial Bal Reg SA Reg 5B Req 5C Reg 6A Req6B GL Req7 Prepare the statement of owner's equity for the month of April 30. (Amounts to be deducted should be entered with a minus sign.) 2016 OCS130679 ADVENTURE TRAVEL Statement of Owner's Equity For Month Ended April 30 J. Nozomi, Capital, April 1 J. Nozomi, Capital, April 30 Reg SA Reg 5C > e. The company earned $1,750 of commissions that are not yet billed at month-end. Required: 1. & 2. Prepare journal entries to record the transactions for April and post them to the ledger accounts in Requirement 6b. company records prepaid and unearned items in balance sheet accounts. 3. Using account balances from Requirement 6b, prepare an unadjusted trial balance as of April 30. 4. Journalize the adjusting entries for the month and prepare the adjusted trial balance. 5a. Prepare the income statement for the month of April 30. 5b. Prepare the statement of owner's equity for the month of April 30. 5c. Prepare the balance sheet at April 30. 6a. Prepare journal entries to close the temporary accounts and then post to Requirement 6b. 6b. Post the journal entries to the ledger. 7. Prepare a post-closing trial balance. & Answer is not complete. Complete this question by entering your answers in the tabs below. Req 1 and 2 Reg 3 Req 4 Adj Entries Req 4 Adj Trial Bal Rea SA Reg 5B Req 5C Req 6A Reg 6B GL 1. Req7 Prepare the balance sheet at April 30. ADVENTURE TRAVEL Balance Sheet April 30 0 0 Total assets $ Total liabilities and equity $ 0 b. At the end of the month, $600 of office supplies are still available. c. This month's depreciation on the computer equipment is $300. d. Employees earned $460 of unpaid and unrecorded salaries as of month-end. e. The company earned $1,750 of commissions that are not yet billed at month-end. Required: 1. & 2. Prepare journal entries to record the transactions for April and post them to the ledger accounts in Requirement 6b. 1 company records prepaid and unearned items in balance sheet accounts. 3. Using account balances from Requirement 6b, prepare an unadjusted trial balance as of April 30. 4. Journalize the adjusting entries for the month and prepare the adjusted trial balance. 5a. Prepare the income statement for the month of April 30. 5b. Prepare the statement of owner's equity for the month of April 30. 5c. Prepare the balance sheet at April 30. 6a. Prepare journal entries to close the temporary accounts and then post to Requirement 6b. 6b. Post the journal entries to the ledger. 7. Prepare a post-closing trial balance. Answer is not complete. Complete this question by entering your answers in the tabs below. Req 1 and 2 Reg 3 Reg 4 Adj Entries Reg 4 Adj Trial Bal Reg SA Reg 58 Req 5C Reg 6A Reg 6B GL Reg 7 Prepare a post-closing trial balance. ADVENTURE TRAVEL Post-Closing Trial Balance April 30 Account Title Debit Credit Totals $ 0 $ 0 Req GB GL Prey 2 of 2 Next >