same multiple choice as the 1 question

3 The Forever Fitness Company began operations on December 1, 2021. The unadjusted trial balance of the Forever Fitness Company as of December 31, 2021 is found on the trial balance tab. The following information is required to prepare the necessary adjusting entries for the Forever Fitness Company found in chapter 3. 01:37:15 1) The balance in Prepaid insurance represents a 24-month policy that went into effect on December 1, 2021. Review the unadjusted balance in Prepaid insurance, and prepare the necessary adjusting entry, if any. 2) Based on a physical count, supplies on hand total $5,100. Review the unadjusted balance in Supplies, and prepare the necessary adjusting entry, If any. 3) The equipment is expected to have a 4-year useful life, and be worth about $9,000 at the end of four years. Review the unadjusted balance in Accumulated depreciation, and prepare the necessary adjusting entry, if any. 4) On December 26, the client paid a $10,800 60-day fee in advance, covering December 27 to February 24. Review the unadjusted balance in Unearned Consulting Revenue, and prepare the necessary adjusting entry, if any. 5) Forever Fitness's sole employee earns $190 per day for a five-day workweek beginning on Monday and ending on Friday. The employee was last paid on Friday, December 26. Review the unadjusted balance in Salaries payable, and prepare the necessary adjusting entry, if any. 6) In the second week of December, Forever Fitness agreed to provide 30 days of consulting services to a local fitness club for a fixed fee of $4,620. The terms of the initial agreement call for Forever Fitness to provide services from December 12, 2021, through January 10, 2022, or 30 days of service. The club agrees to pay Forever Fitness $4,620 on January 10, 2022, when the service period is complete. Review the unadjusted balance in Consulting revenue, and prepare the necessary adjusting entry, if any. Prepare the required adjusting and closing entries for the Forever Fitness Company. Requirement Revenues: Expenses: General Journal Net income General Ledger Trial Balance Revenues and expenses are temporary equity accounts. They represent the change in equity attributable to the operation of the business during the current period. These temporary equity amounts are closed at the end of each account period. Unadjusted Forever Fitness Income Statement For Month Ended December 31, 2021 $ Income Statement Requirement Revenues: General Journal General Ledger Net income Trial Balance 000: No journal entry required 101: Cash 106: Accounts receivable 126: Supplies 128: Prepaid insurance Revenues and expenses are temporary equity accounts. They represent the change in equity attributable to the operation of the business during the current period. These temporary equity amounts are closed at the end of each account period. Unadjusted Forever Fitness Income Statement For Month Ended December 31, 2021 $ Income Statement Requirement Revenues: General Journal General Ledger Net income Trial Balance Forever Fitness Income Statement For Month Ended December 31, 2021 Revenues and expenses are temporary equity accounts. They represent the change in equity attributable to the operation of the business during the current period. These temporary equity amounts are closed at the end of each account period. Unadjusted $ 140: Land 160: Furniture and fixtures 161: Accumulated depreciation - Furniture and fixtures 167: Equipment 168: Accumulated depreciation Equipment Income Statement. Work Sheet Requirement Revenues: General Journal General Ledger Net income Trial Balance 201: Accounts payable 209: Salaries payable 226: Unearned consulting revenue 318: J. Carey, Capital 319: J. Carey, Withdrawals Revenues and expenses are temporary equity accounts. They represent the change in equity attributable to the operation of the business during the current period. These temporary equity amounts are closed at the end of each account period. Unadjusted Forever Fitness Income Statement For Month Ended December 31, 2021 $ Income Statement Requirement Unadjusted Revenues: General Journal 319: J. Carey, Withdrawals 403: Consulting revenue 406: Rental revenue 612: Depreciation expense 622: Salaries expense Net income General Ledger Revenues and expenses are temporary equity accounts. They represent the change in equity attributable to the operation of the business during the current period. These temporary equity amounts are closed at the end of each account period. 627. Insurance aynonco Trial Balance Forever Fitness Income Statement For Month Ended December 31, 2021 $ Income Statement Requirement Revenues: General Journal Net income General Ledger Uzz. Jalanes expenst 637: Insurance expense 640: Rent expense 652: Supplies expense 690: Utilities expense 901: Income summary Trial Balance Forever Fitness Income Statement For Month Ended December 31, 2021 Revenues and expenses are temporary equity accounts. They represent the change in equity attributable to the operation of the business during the current period. These temporary equity amounts are closed at the end of each account period. Unadjusted $ Income Statement Work Sheet 3 The Forever Fitness Company began operations on December 1, 2021. The unadjusted trial balance of the Forever Fitness Company as of December 31, 2021 is found on the trial balance tab. The following information is required to prepare the necessary adjusting entries for the Forever Fitness Company found in chapter 3. 01:35:22 1) The balance in Prepaid insurance represents a 24-month policy that went into effect on December 1, 2021. Review the unadjusted balance in Prepaid insurance, and prepare the necessary adjusting entry, if any. 2) Based on a physical count, supplies on hand total $5,100. Review the unadjusted balance in Supplies, and prepare the necessary adjusting entry, if any. 3) The equipment is expected to have a 4-year useful life, and be worth about $9,000 at the end of four years. Review the unadjusted balance in Accumulated depreciation, and prepare the necessary adjusting entry, if any. 4) On December 26, the client paid a $10,800 60-day fee in advance, covering December 27 to February 24. Review the unadjusted balance in Unearned Consulting Revenue, and prepare the necessary adjusting entry, if any. 5) Forever Fitness's sole employee earns $190 per day for a five-day workweek beginning on Monday and ending on Friday. The employee was last paid on Friday, December 26. Review the unadjusted balance in Salaries payable, and prepare the necessary adjusting entry, if any. 6) In the second week of December, Forever Fitness agreed to provide 30 days of consulting services to a local fitness club for a fixed fee of $4,620. The terms of the initial agreement call for Forever Fitness to provide services from December 12, 2021, through January 10, 2022, or 30 days of service. The club agrees to pay Forever Fitness $4,620 on January 10, 2022, when the service period is complete. Review the unadjusted balance in Consulting revenue, and prepare the necessary adjusting entry, if any. Prepare the required adjusting and closing entries for the Forever Fitness Company. Requirement General Journal Current assets: Total current assets: Plant assets: Equipment, net Assets The balance sheet is the accounting equation: Assets Liabilities + Equity. Each asset and liability account is reported separately on the balance sheet. The detail of equity is not found on the balance sheet; only the ending capital balance appears on the balance sheet. The detail of equity is reported on the income statement and statement of owner's equity. Unadjusted Liabilities General Ledger Equity Trial Balance Forever Fitness Balance Sheet December 31, 2021 |- $ $ Income Statement 3 The Forever Fitness Company began operations on December 1, 2021. The unadjusted trial balance of the Forever Fitness Company as of December 31, 2021 is found on the trial balance tab. The following information is required to prepare the necessary adjusting entries for the Forever Fitness Company found in chapter 3. 01:37:15 1) The balance in Prepaid insurance represents a 24-month policy that went into effect on December 1, 2021. Review the unadjusted balance in Prepaid insurance, and prepare the necessary adjusting entry, if any. 2) Based on a physical count, supplies on hand total $5,100. Review the unadjusted balance in Supplies, and prepare the necessary adjusting entry, If any. 3) The equipment is expected to have a 4-year useful life, and be worth about $9,000 at the end of four years. Review the unadjusted balance in Accumulated depreciation, and prepare the necessary adjusting entry, if any. 4) On December 26, the client paid a $10,800 60-day fee in advance, covering December 27 to February 24. Review the unadjusted balance in Unearned Consulting Revenue, and prepare the necessary adjusting entry, if any. 5) Forever Fitness's sole employee earns $190 per day for a five-day workweek beginning on Monday and ending on Friday. The employee was last paid on Friday, December 26. Review the unadjusted balance in Salaries payable, and prepare the necessary adjusting entry, if any. 6) In the second week of December, Forever Fitness agreed to provide 30 days of consulting services to a local fitness club for a fixed fee of $4,620. The terms of the initial agreement call for Forever Fitness to provide services from December 12, 2021, through January 10, 2022, or 30 days of service. The club agrees to pay Forever Fitness $4,620 on January 10, 2022, when the service period is complete. Review the unadjusted balance in Consulting revenue, and prepare the necessary adjusting entry, if any. Prepare the required adjusting and closing entries for the Forever Fitness Company. Requirement Revenues: Expenses: General Journal Net income General Ledger Trial Balance Revenues and expenses are temporary equity accounts. They represent the change in equity attributable to the operation of the business during the current period. These temporary equity amounts are closed at the end of each account period. Unadjusted Forever Fitness Income Statement For Month Ended December 31, 2021 $ Income Statement Requirement Revenues: General Journal General Ledger Net income Trial Balance 000: No journal entry required 101: Cash 106: Accounts receivable 126: Supplies 128: Prepaid insurance Revenues and expenses are temporary equity accounts. They represent the change in equity attributable to the operation of the business during the current period. These temporary equity amounts are closed at the end of each account period. Unadjusted Forever Fitness Income Statement For Month Ended December 31, 2021 $ Income Statement Requirement Revenues: General Journal General Ledger Net income Trial Balance Forever Fitness Income Statement For Month Ended December 31, 2021 Revenues and expenses are temporary equity accounts. They represent the change in equity attributable to the operation of the business during the current period. These temporary equity amounts are closed at the end of each account period. Unadjusted $ 140: Land 160: Furniture and fixtures 161: Accumulated depreciation - Furniture and fixtures 167: Equipment 168: Accumulated depreciation Equipment Income Statement. Work Sheet Requirement Revenues: General Journal General Ledger Net income Trial Balance 201: Accounts payable 209: Salaries payable 226: Unearned consulting revenue 318: J. Carey, Capital 319: J. Carey, Withdrawals Revenues and expenses are temporary equity accounts. They represent the change in equity attributable to the operation of the business during the current period. These temporary equity amounts are closed at the end of each account period. Unadjusted Forever Fitness Income Statement For Month Ended December 31, 2021 $ Income Statement Requirement Unadjusted Revenues: General Journal 319: J. Carey, Withdrawals 403: Consulting revenue 406: Rental revenue 612: Depreciation expense 622: Salaries expense Net income General Ledger Revenues and expenses are temporary equity accounts. They represent the change in equity attributable to the operation of the business during the current period. These temporary equity amounts are closed at the end of each account period. 627. Insurance aynonco Trial Balance Forever Fitness Income Statement For Month Ended December 31, 2021 $ Income Statement Requirement Revenues: General Journal Net income General Ledger Uzz. Jalanes expenst 637: Insurance expense 640: Rent expense 652: Supplies expense 690: Utilities expense 901: Income summary Trial Balance Forever Fitness Income Statement For Month Ended December 31, 2021 Revenues and expenses are temporary equity accounts. They represent the change in equity attributable to the operation of the business during the current period. These temporary equity amounts are closed at the end of each account period. Unadjusted $ Income Statement Work Sheet 3 The Forever Fitness Company began operations on December 1, 2021. The unadjusted trial balance of the Forever Fitness Company as of December 31, 2021 is found on the trial balance tab. The following information is required to prepare the necessary adjusting entries for the Forever Fitness Company found in chapter 3. 01:35:22 1) The balance in Prepaid insurance represents a 24-month policy that went into effect on December 1, 2021. Review the unadjusted balance in Prepaid insurance, and prepare the necessary adjusting entry, if any. 2) Based on a physical count, supplies on hand total $5,100. Review the unadjusted balance in Supplies, and prepare the necessary adjusting entry, if any. 3) The equipment is expected to have a 4-year useful life, and be worth about $9,000 at the end of four years. Review the unadjusted balance in Accumulated depreciation, and prepare the necessary adjusting entry, if any. 4) On December 26, the client paid a $10,800 60-day fee in advance, covering December 27 to February 24. Review the unadjusted balance in Unearned Consulting Revenue, and prepare the necessary adjusting entry, if any. 5) Forever Fitness's sole employee earns $190 per day for a five-day workweek beginning on Monday and ending on Friday. The employee was last paid on Friday, December 26. Review the unadjusted balance in Salaries payable, and prepare the necessary adjusting entry, if any. 6) In the second week of December, Forever Fitness agreed to provide 30 days of consulting services to a local fitness club for a fixed fee of $4,620. The terms of the initial agreement call for Forever Fitness to provide services from December 12, 2021, through January 10, 2022, or 30 days of service. The club agrees to pay Forever Fitness $4,620 on January 10, 2022, when the service period is complete. Review the unadjusted balance in Consulting revenue, and prepare the necessary adjusting entry, if any. Prepare the required adjusting and closing entries for the Forever Fitness Company. Requirement General Journal Current assets: Total current assets: Plant assets: Equipment, net Assets The balance sheet is the accounting equation: Assets Liabilities + Equity. Each asset and liability account is reported separately on the balance sheet. The detail of equity is not found on the balance sheet; only the ending capital balance appears on the balance sheet. The detail of equity is reported on the income statement and statement of owner's equity. Unadjusted Liabilities General Ledger Equity Trial Balance Forever Fitness Balance Sheet December 31, 2021 |- $ $ Income Statement