Question 2:

Presented below is the Trial Balance and Adjusted Trial Balance for Jasmine Lee Ltd as at 30 September 2020.

Jasmine Lee Ltd
Trial balance
As at 30 September 2020
ACCOUNT TITLE	TRIAL BALANCE		ADJUSTED TRIAL BALANCE
	DEBIT	CREDIT	DEBIT	CREDIT
Cash	$6,000		$6,000
Accounts receivable	5,000		6,300
Supplies	1,000		200
Prepaid insurance	1,700		1,500
Furniture	10,000		10,000
Accumulated depreciation-Furniture		4,000		6,000
Building	50,000		50,000
Accumulated depreciation-Building		30,000		31,000
Accounts payable		2,200		2,200
Salary payable				500
Unearned revenue		8,000		5,000
Jasmine Lee, capital, 1 October 2019		12,000		12,000
Jasmine Lee, drawings	25,000		25,000
Revenue		60,000		64,300
Depreciation expense-Furniture			2,000
Depreciation expense-Building			1,000
Salary expense	16,000		16,500
Insurance expense			200
Electricity and gas expense	1,500		1,500
Supplies expense			800
Total	$116,200	$116,200	$121,000	$121,000

Required:

1. Prepare, in journal form with explanations, the adjusting entries that explain the changes in the balances from the trial balance to the adjusted trial balance. (Ignore GST)
2. Compute Jasmine Lee Ltds capital as at 30 September 2020