University Movies Company closes its accounts at the end of each month. Its trial balance as of November 30, 2020 and other information for adjusting and closing the accounts are given below:

University Movies Co.
Trial Balance - November 30, 2020 - TL
Cash	20.000
Prepaid Film Rental	31.200
Land	80.000
Building	168.000
Accum. Depreciation- Building		10.500
Projection Equipment	36.000
Accum. Depreciation- P.Equip.		3.000
Notes Payable		190.000
Accounts Payable		4.400
Unearned Admissions Revenue		1.000
Capital		103.400
Owner’s Drawings	3.500
Admissions Revenue		36.900
Salaries Expense	8.700
Utilities Expense	1.800
	349.200	349.200

Other Data:

1. Film rental expense for the month of November amounts to 21,050 TL. However, the film rental expense for several months had been paid in advance.
2. The building is being depreciated over 20 years.
3. The projection equipment is being depreciated over 5 years.
4. As of Nov.30, accrued interest on note payable amounts to 1,650 TL. No entry has been made to record this during the period.
5. University Movies Company allows Tourism Administration Department’s students to the movies on any weekday afternoon at a fixed fee of 500TL. Tourism Administration Department made a 1,500TL advance payment on September 29, covering the months of October, November, and December.
6. University Movies Company receives a percentage of revenue earned by Lezzet Co, the concessionaire operating the snack bar. For snack bar sales in November, Lezzet Co. owes University Movies 2,250 TL, payable in December 10. No entry has been made to record this (use concessions revenue).
7. Salaries earned by employees but not recorded or paid as of November 30 amount to 1,500 TL. No entry has been made to record this.

Journalize the adjustments. Prepare a ten-column worksheet and the financial statements.

Journalize the closing transactions.

Answer rating: 100% (QA)

Date General Journal Debit Credit Nov 30 Film Rental Expense 21050 Prepaid Film Rental 21050 Nov 30 ... View the full answer