Sloan Company has the following account balances at December 31, the end of its fiscal year...

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Sloan Company has the following account balances at December 31, the end of its fiscal year (all accounts have normal balances). Prepaid advertising $1,920 Wages expense 70,080 Prepaid insurance 5,472 Unearned service fees 8,640 Service fees earned 139,200 Rental income 7,840 a. Prepare Sloan Company's accounting adjustments at December 31 using the financial statement effects template and the following additional information. 1. Prepaid advertising at December 31 is $1,280. 2. Unpaid wages earned by employees in December are $4,160. 3. Prepaid insurance at December 31 is $3,648. 4. Unearned service fees at December 31 are $4,800. 5. Rent revenue of $1,600 owed by a tenant is not recorded at December 31. Note: For each account category, indicate the appropriate account name. Enter "N/A" for any account category that is not used for a given transaction. Note: Indicate a decrease in an account category by including a negative sign with the amount. Balance Sheet Liabilities Transaction 1. 2. 3. 4 5. Transaction Cash Asset 1. 2. + Cash Asset + Noncash Assets + + + + b. Use the financial statement effects template to record the following transactions on January 4 of the following year: 1. Payment of $7,680 cash in wages. 2. Cash receipt from the tenant of the $1,600 rent revenue. Noncash Assets # + # Note: For each account category, indicate the appropriate account name. Enter "N/A" for any account category that is not used for a given transaction. Note: Indicate a decrease in an account category by including a negative sign with the amount. Balance Sheet Liabilities Contrib. Capital + Contrib. Capital + + # + Earned Capital Earned Capital # # + Revenues Revenues + + + Income Statement - - Expenses Income Statement Expenses + + + + = Net Income = Net Income Sloan Company has the following account balances at December 31, the end of its fiscal year (all accounts have normal balances). Prepaid advertising $1,920 Wages expense 70,080 Prepaid insurance 5,472 Unearned service fees 8,640 Service fees earned 139,200 Rental income 7,840 a. Prepare Sloan Company's accounting adjustments at December 31 using the financial statement effects template and the following additional information. 1. Prepaid advertising at December 31 is $1,280. 2. Unpaid wages earned by employees in December are $4,160. 3. Prepaid insurance at December 31 is $3,648. 4. Unearned service fees at December 31 are $4,800. 5. Rent revenue of $1,600 owed by a tenant is not recorded at December 31. Note: For each account category, indicate the appropriate account name. Enter "N/A" for any account category that is not used for a given transaction. Note: Indicate a decrease in an account category by including a negative sign with the amount. Balance Sheet Liabilities Transaction 1. 2. 3. 4 5. Transaction Cash Asset 1. 2. + Cash Asset + Noncash Assets + + + + b. Use the financial statement effects template to record the following transactions on January 4 of the following year: 1. Payment of $7,680 cash in wages. 2. Cash receipt from the tenant of the $1,600 rent revenue. Noncash Assets # + # Note: For each account category, indicate the appropriate account name. Enter "N/A" for any account category that is not used for a given transaction. Note: Indicate a decrease in an account category by including a negative sign with the amount. Balance Sheet Liabilities Contrib. Capital + Contrib. Capital + + # + Earned Capital Earned Capital # # + Revenues Revenues + + + Income Statement - - Expenses Income Statement Expenses + + + + = Net Income = Net Income

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