Question: The data necessary to adjust Socket Realty accounts from Problem 4-3A as of June 30, 2007, are as follows: a. Prepaid insurance expired during June,

The data necessary to adjust Socket Realty accounts from Problem 4-3A as of June 30, 2007, are as follows:

a. Prepaid insurance expired during June, $280.

b. Office supplies on hand at June 30, $580.

c. Depreciation on office equipment, $160.

d. Unearned fees earned during June, $480.

e. Accrued fees as of June 30, $960.

f. Accrued salary and commissions as of June 30, $560.

Instructions

1. Journalize the necessary adjusting entries for June.

2. Post the adjusting entries to T accounts. Identify each adjusting entry as “Adjusting.” For those accounts that were adjusted, determine an adjusted balance.

3. Prepare an adjusted trial balance as of June 30.

4. Prepare an income statement, a retained earnings statement, and a classified balance sheet.

5. Journalize and post the closing entries for June. Identify each entry as “Closing.” Determine post-closing balances.

6. Prepare a post-closing trial balance as of June 30, 2007.

7. (Appendix) Prepare a statement of cash flows for June. Note that the June 16 payment on account of $640 was for a May purchase of supplies on account.

8. (Appendix) Reconcile net income with net cash flows from operations for June.

Step by Step Solution

★★★★★

3.50 Rating (170 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

1 June 30 Insurance Expense 280 Prepaid Insurance 280 30 Office Supplies Expense 1340 Office Supplies 1340 30 Depreciation Expense 160 Accumulated Depreciation 160 30 Unearned Fees 480 Fees Earned 480 ... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

126-B-A-I-S (916).docx

120 KBs Word File

Students Have Also Explored These Related Accounting Questions!

On March 1, Dillmore Corporation had office supplies on hand of $900. During the month, Dill-more purchased additional supplies costing $600. Approximately $400 of unused office supplies remain on...

On March 1, Phonic Corporation had office supplies on hand of $1,000. During the month, Phonic purchased additional supplies costing $500. Approximately $200 of unused office supplies remain on hand...

The data necessary to adjust Gypsum Realty accounts from Alternate Problem 4-3B as of April 30, 2007, are as follows: a. Prepaid insurance expired during April, $500. b. Office supplies on hand at...

i have an assignment of financial aacounting and it has 2 questions in 2 parts and one part has to be done in quickbooks. STUDENT NAME(S) STUDENT NO.(S) (PLEASE UNDERLINE YOUR FAMILY NAME ) FOR GROUP...

Hello I need help with my Project i asked and I tried but i did get any answer can you help me please to solve this problem Building Blocks of Accounting .. A Financial Perspective to the same screen...

once you open up the excel file, click on the bottom tab name "transactions." then the tab next to it called the general journal. i would like for you to look at my excel document and make sure i...

I'm not positive if what i filled in on the general journal is correct Number Name 1110 Cash 1120 Accounts Receivable 1130 Prepaid Insurance 1140 Prepaid Rent 1150 Office Supplies 1211 Office Equip....

please check transactions #22,32,35,36 (Debit and Credit) and account number for transactions #2,3,7,8 Number Name 1110 Cash 1120 Accounts Receivable 1130 Prepaid Insurance 1140 Prepaid Rent 1150...

The fixed assets have estimated useful lives as follows: Building - 31.5 years Computer Equipment - 5.0 years Office Equipment - 7.0 years Use the straight-line method of depreciation. Management has...

What factors influence the choice of an MDS procedure?

General Eclectics, Inc., has both European call and put options traded on the Chicago Board Options Exchange. Both options have the same exercise price of $40 and both expire in one year. General...

Consider the ffllowing fouryear project. The initial cost is $ 1 8 0 , 0 0 0 . The respective cash inflows for years 1 , 2 , 3 and 4 are: $ 1 0 0 , 0 0 0 , $ 5 0 , 0 0 0 , $ 8 0 , 0 0 0 and $ 2 0 , 0...

In the final round of competition, archers shoot only 12 arrows. Is it likely that an Olympic archer may make no X shots at all? Explain your reasoning. For seeding purposes (that is, to set up the...

Data for Schmidt Company is presented in the following table of rates of return on investment and residual incomes: Determine the missing items, identifying each item by the appropriateletter. Income...

Data for the North, South, East and West divisions of McGonigel Company are as follows: a. Determine the missing items, identifying each by the letters (a) through (l). Round whole percents to one...

Hilton Hotels Corporation provides lodging services around the world. The company is separated into three major divisions. Hotel Ownership: Hotels owned and operated by Hilton. Managing and...

Suppose someone wants to accumulate $ 4 0 comma 0 0 0 for a college fund over the next 1 5 years. Determine whether the following investment plans will allow the person to reach the goal. Assume the...

Digital Inc. is considering production of a new cell phone. The project will require an investment of $20 million. If the phone is well-received, the project will produce cash flows of $10 million a...

Your company will generate $45,000 in cash flow each year for the next nine years from a new information database. The computer system needed to set up the database costs $260,000. Assume you can...