The unadjusted trial balance of Fashion Centre Ltd. contained the

The unadjusted trial balance of Fashion Centre Ltd. contained the following accounts at November 30, the company's fiscal year end:

The unadjusted trial balance of Fashion Centre Ltd. contained the
The unadjusted trial balance of Fashion Centre Ltd. contained the

Additional information and adjustment data:
1. The 12-month insurance policy was purchased on August 1.
2. There is $950 of supplies on hand at November 30.
3. Depreciation expense for the year is $5,360 on the equipment.
4. Salaries of $1,210 are unpaid at November 30.
5. Accrued interest expense at November 30 is $175.
6. Of the unearned revenue, $2,400 has been earned by November 30. The cost of goods sold incurred in earning this sales revenue is $1,560.
7. Of the bank loan payable, $5,000 is to be paid in the next year; the remainder is long-term.
8. Income tax of $1,100 is due and unpaid.
9. A physical count of inventory indicates $25,000 on hand at November 30.
10. Common shares of $5,000 were issued during the year.
Instructions
(a) Record the required adjusting entries, assuming the company adjusts its accounts annually.
(b) Set up T accounts, enter the balances from the unadjusted trial balance, and post the adjusting entries prepared in part (a).
(c) Prepare an adjusted trial balance at November 30.
(d) Prepare a multiple-step income statement, statement of changes in equity, and statement of financial position for the year.

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