The unadjusted trail balance of Music Depot as of july 31, 2010, along with the adjustment data for the two months ended July 31, 2010, are shown in Chapter 3
Chapter 4 - Continuing Problem - MUSIC DEPOT
The unadjusted trail balance of Music Depot as of july 31, 2010, along with the adjustment data for the two months ended July 31, 2010, are shown in Chapter 3,
Based upon the adjustment data, the adjusted trial balance shown below was prepared
Music depot adjusted Trial Balance Jul 31, 2010
Debit Balances Credit balances
Cash 12,789 Accounts Receivable4,750 Supplies 175 Prepaid Insurance 2,475 Office Equipment 5,000 Accumulated Depreciation - Office Equipment 60 Accounts Payable 5,680 wages Payable 120 Unearned Revenue 3,600 lee chang, capital 10,500 Lee chang Drawing 1,700 fees earned 20,500 Wages Expense 2,520 Office Rent Expense 1,100 Utilities Expense 860 Music Expense 2,810 Advertising Expense 1,600 Supplies Expense 855 insurance Expense 225 Depreciation Expense 60 Miscellaneous Expense 800 40,460 40,460
Instructions
1. Optional. Using the data from Chapter 3, prepare an end-of-period spreadsheet(work sheet).
2. Prepare an income statement, a statement of owner’s equity, and a balance sheet. (Note: Lee Chang made investments in music depot on June 1 and July 1, 2010.)
3. Journalize and post the closing entries. The income summary account is #33 in the ledger of Music Depot. Indicate closed accounts by inserting a line in both Balance columns opposite the closing entry.
4. Prepare a post-closing trial balance.
2 net income$6,920
Please download Excel attachment for Solution
File name: Music-Depot.xls File type: application/vnd.ms-excel Price: $12
File name: Music-Depot.xls File type: application/vnd.ms-excel Price: $12
