Question: The steps performed in completing a work sheet are listed below in random order. a. Extend the adjusted trial balance amounts to the Income Statement

The steps performed in completing a work sheet are listed below in random order.
a. Extend the adjusted trial balance amounts to the Income Statement columns and the Balance Sheet columns.
b. Enter the adjusting entries into the work sheet, based upon the adjustment data.
c. Add the Debit and Credit columns of the unadjusted Trial Balance columns of the work sheet to verify that the totals are equal.
d. Enter the amount of net income or net loss for the period in the proper Income Statement column and Balance Sheet column.
e. Add the Debit and Credit columns of the Balance Sheet and Income Statement columns of the work sheet to verify that the totals are equal.
f. Enter the unadjusted account balances from the general ledger into the unadjusted Trial Balance columns of the work sheet.
g. Add or deduct adjusting entry data to trial balance amounts and extend amounts to the Adjusted Trial Balance columns.
h. Add the Debit and Credit columns of the Adjustments columns of the work sheet to verify that the totals are equal.
i. Add the Debit and Credit columns of the Balance Sheet and Income Statement columns of the work sheet to determine the amount of net income or net loss for the period.
j. Add the Debit and Credit columns of the Adjusted Trial Balance columns of the work sheet to verify that the totals are equal.

Indicate the order in which the preceding steps would be performed in preparing and completing a work sheet.

Step by Step Solution

3.56 Rating (163 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock

1 f Enter the unadjusted account balances from the general ledger into the unadjusted Trial Balance ... View full answer

blur-text-image
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)

Word file Icon

186-B-A-A-C (1333).docx

120 KBs Word File

Students Have Also Explored These Related Accounting Questions!