Group Assignment - Questions - Revised

ACC201
PRINCIPLES OF ACCOUNTING
GROUP ASSIGNMENT
Question 1 1207.
1) Dana Bowen Company is completing its first year of operations on April
30. Reconstruct the entries for the year ended April 30 from the T accounts
below. Record them, assigning letters to each transaction, as follows:
a–l Transaction
m–r Adjusting journal entries
2) Balance and prepare the income statement, the statement of owner’s equity, and the
balance sheet from the T accounts.
3) Prepare the closing entries (s–t).
4) Prepare the post-closing trial balance.
Accounts Prepaid
Cash Receivable Supplies Insurance
6,500 1,250 870 1,940
900 385 540 725
400
420
1,940
2,500
50
350
930
Accumulated
Accounts
Equipment Depreciation Wages Payable
Payable
2,500 130 870 225
Unearned Dana Bowen, Dana Bowen,

Revenue Capital Drawing
930 6,500 350
590 2,500
Fees Earned Wages Expense Rent Expense Supplies Expense

900 420 400 540
1,250 225
2,500
385
590
Insurance Depreciation Miscellaneous

Expense Expense Expense
725 130 50
Question 22 208.
Kirk Enterprises offers rug cleaning services to business clients. Below is the trial balance for Kirk
Enterprises, which was prepared on the end-of-period spreadsheet (work sheet) for the year ended July
31.
Kirk Enterprises
End-of-Period Spreadsheet
For the Year Ended July 31
Unadjusted Adjusted Trial

Adjustments
Trial Balance Balance
Dr. Cr. Dr. Cr. Dr. Cr.
Cash 36
Prepaid Insurance 12
Fees Receivable 56
Supplies 12
Equipment 60
Accumulated 12
Depreciation
Unearned Revenue 20
Accounts Payable 32
Wages Payable
Ruben Ramon, Capital 84
Ruben Ramon, Drawing 4
Service Revenue 80
Advertising Expense 28
Wages Expense 20
Insurance Expense
Supplies Expense
Depreciation Expense
228 228
Required
Enter the adjustment data in the work sheet for the transactions shown below and place the balances in the
Adjusted Trial Balance columns.
Adjustments:
a) The equipment is estimated to last for five years with no salvage value. The asset will be depreciated
evenly over its useful life. Record one month’s depreciation.
b) Accrued wages, $2.
c) Unused supplies on hand, $8.
d) Of the unearned revenue, 75% has been earned.
e) Unexpired insurance remaining at the end of the month, $9.
Question 3 209.
Kirk Enterprises offers rug cleaning services to business clients. Below are the adjustments data for the
year ended July 31.
Adjustments:
(a) The equipment is estimated to last for five years with no salvage value. The asset will be depreciated
evenly over its useful life. Record one month’s depreciation.
(b) Accrued wages, $2.
(c) Unused supplies on hand, $8.
(d) Of the unearned revenue, 75% has been earned.
(e) Unexpired insurance remaining at the end of the month, $9.
Required
Using the information completed in worksheet above, record the adjusting entries in proper general
journal form.
Question 4 212.
Austin Enterprises was started by Daniel Austin. During the current year, Daniel Austin invested $8,000
in the business. Based on the following end-of-period worksheet, prepare an income statement, statement
of owner’s equity, and balance sheet for Austin Enterprises for the year ended December 31.
Austin Enterprises
End-of-Period Spreadsheet
For the Year Ended December 31
Adjusted Trial Balance Income Statement Balance Sheet
Account Title Dr. Cr. Dr. Cr. Dr. Cr.
Cash 26,500 26,500
Accounts Receivable 7,000 7,000
Supplies 1,000 1,000
Equipment 18,500 18,500
Accumulated Depr.—Equip. 5,000 5,000
Accounts Payable 11,000 11,000
Wages Payable 1,000 1,000
Daniel Austin, Capital 8,000 8,000
Daniel Austin, Drawing 2,000 2,000
Fees Earned 59,500 59,500
Wages Expense 19,000 19,000
Rent Expense 7,000 7,000
Depreciation Expense 3,500 3,500
84,500 84,500 29,500 59,500 55,000 25,000
Net income 30,000 30,000
59,500 59,500 55,000 55,000
Question 55 213.
The balances in the ledger of Good Landscape Services as of January 31 before adjustments are as
follows:
Cash $ 6,750 Dalton Good, Capital $29,775
Supplies 3,900 Dalton Good, Drawing 3,425
Prepaid Insurance 8,400 Service Revenue 56,300
Equipment 41,750 Salary Expense 24,300
Accumulated Rent Expense 6,000
Depreciation 9,950 Miscellaneous Expense 1,500
Adjustment data are as follows: supplies on hand, January 31, $900; insurance expired for January,
$1,100; depreciation on equipment for January, $1,600; salaries accrued, January 31, $1,650.
(a) Prepare a 10-column end-of-period spreadsheet for Good Landscape Services for January.
(b) On the basis of the work sheet in (a), present the following in good order: (1) income statement, (2)
statement of owner's equity (assume no additional owner investments were made during the month),
and (3) balance sheet.
(c) On the basis of the work sheet in (a) journalize the closing entries as of January 31.

Group Assignment - Questions - Revised

Uploaded by

Copyright:

Available Formats

Group Assignment - Questions - Revised

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Group Assignment - Questions - Revised

Uploaded by

Copyright:

Available Formats

ACC201

Unearned Dana Bowen, Dana Bowen,

Fees Earned Wages Expense Rent Expense Supplies Expense

Insurance Depreciation Miscellaneous

Unadjusted Adjusted Trial

You might also like