Accounting

Maritimedreamer
AccountingFinalProject.docx

Table of Contents

Assumption page……………………………………………………………………… ………………….00

Beginning Balances & Transactions……………………………………………………………………... 00

Chart of Accounts………………………………………………………………………………………... 00

Journal Entries…………………………………………………………………………………………......00

Ledger……………………………………………………………………………………………………..00

Unadjusted Trial Balance……………………………………………………………………………….....00

Adjusted Journal Entries…………………………………………………………………………………..00

Adjusted Trial Balance…………………………………………………………………………………….00

Income Statement………………………………………………………………………………………….00

Statement of Retained Earnings…………………………………………………………………………...00

Balance Sheet……………………………………………………………………………………………...00

Cash Flow Statement ……………………………………………………………………………………..00

Closing Journal Entries……………………………………………………………………………………00

Post-Closing Trial Balance………………………………………………………………………………..00

Assumption Page

Our Umbrella Corporation began with the cooperation of three entrepreneurial minds, who saw the benefit of combining each other’s skills and knowledge in different markets and merge it all to create the most renovating Corporation of the century.

“It is better to fail in originality than to succeed in imitation.”

Calculations for Accumulated Depreciation

Buildings

Interest on Loan

Interest = Principal × Rate × Time

$15,000 × 0.10 × 4/12 = $500

Vehicle:

The vehicle has a useful life of 10 year and it cost 10,000

Therefore using the straight line method

Annual depreciation = (Cost less Salvage ÷ Estimated useful life)

Annual Depreciation = ($10,000 ÷ 10 year) = $1000

Equipment’s:

Cost: $5000

Depreciation: $6000 ÷ 5 year = $1000

Beginning Balances & Transactions

Beginning Balances:

Cash:

$15,000

Loan:

$15,000 (10% APR)

Common Stock:

$10,000

Beg. Retained Earning:

$5,000

Accounting Period September 1, 2017 – December 17, 2017

Transactions:

September

September, 7, 2017

· Purchased St. James Place for $1,800

· Purchased New York Avenue for $1000

· Purchased Kentucky Avenue for $1800

· Cobra Corp owes rent amounting to $200 for St. James Place Avenue

· Received rent $180, from Team Seven for Kentucky avenue.

· Received rent $180, from the Note Corp for New York Avenue.

· Paid $100 for Salaries owed

· Interest payable for the loan borrowed of $15,000 at a rate of 10% per quarter.

September, 10, 2017

· Cobra paid rent owed of $200 for St James place Avenue

· Received $500 from Tea Corp from parking fee collected for St James place avenue

· Paid $ 100 for utilities bill owed for the office.

· Paid $30 for the rent in the Garden Avenue.

· Received $100 from James for household Transportation services.

October

October, 7, 2017

· Purchased Ventnor Avenue $2200

· Purchased Short line for$1000

· Purchased Pacific Avenue for$1500

· Received rent $260, from Alpha Corp for Pacific Avenue

· Received rent of $220, from MMBP for Ventnor Avenue

· Received rent of 200 for the month From TechHub Corp for Short Line Avenue.

· Cobra paid rent of $200 for St James place value.

· Received rent $180, from Team Seven for Kentucky avenue.

· Received rent $180, from the Note Corp for New York Avenue.

· Paid $150 for Salaries owed

October, 15, 2017

· Received $450 from Tea Corp from parking fee collected for St James place avenue

· Paid $ 90 for utilities bill owed for the office.

· Paid $30 for the rent in the Garden Avenue.

· Received $150 from James for household Transportation services.

November

November, 7, 2017

· Received rent $260, from Alpha Corp for Pacific Avenue

· Received rent of $220, from MMBP for Ventnor Avenue

· Received rent $180, from Team Seven for Kentucky avenue.

· Received rent $180, from the Note Corp for New York Avenue.

· Paid $140 for Salaries owed

· Cobra paid rent of $200 for St James place Avenue

November, 15, 2017

· Received rent of $200, From TechHub Corp for Short Line Avenue.

· Received $400 from Tea Corp from parking fee collected for St James place avenue

· Paid $ 110 for utilities bill owed for the office.

· Paid $30 for the rent in the Garden Avenue.

· Received $200 from James for household Transportation services.

December

December, 7, 2017

· Received rent $260, from Alpha Corp for Pacific Avenue

· Received rent of $220, from MMBP for Ventnor Avenue

· Received rent $180, from Team Seven for Kentucky avenue.

· Received rent $180, from the Note Corp for New York Avenue.

· Paid $150 for Salaries owed

· Received rent of $200, From TechHub Corp for Short Line Avenue.

· Received $600 from Tea Corp from parking fee collected for St James place avenue

· Paid $ 110 for utilities bill owed for the office.

· Paid $30 for the rent in the Garden Avenue.

· Received $100 from James for household Transportation services.

· dividend paid $1000

· received rent for from Cobra for St James

Chart of Accounts

Umbrella Corporation

Chart of Accounts

 

Assets

 

Liabilities

 

Equity

101

Cash

201

Interest payable

301

Common stock

102

Vehicle (Truck)

202

302

Retained Earning

103

Equipment

 

 

 

104

St James place

Income Statements Accounts (Equity)

105

New York Avenue

 

Revenues

Expenses

106

Kentucky Avenue

401

Rent Revenue

501

Rent Expense

107

Ventnor Avenue

402

Parking Revenue

502

Tax Expense

108

Shoreline Avenue

403

Service Revenue

503

Interest Expense

119

Pacific Avenue

504

Vehicle depreciation Expense

110

Prepaid rent

505

Equipment depreciation Expense

 111

 A/c receivable

506

Salary expense

 

 

507

Utility Expenses

 

 

508

Dividend expense

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Journal Entries

Date

Account

Debits(Dr.)

Credit (Cr)

Posting

7-Sep

St James Place

$1,800

 

104

 

Cash

$1,800

101

 

(Purchased James Place)

 

 

 

7-Sep

New York Avenue

$1,000

 

105

 

Cash

$,1000

101

 

(Purchased New York Avenue)

 

 

 

7-Sep

Kentucky Avenue

$1,800

 

106

 

Cash

1,800

101

 

(Purchased Kentucky Avenue

 

 

 

7-Sep

Account receivables

$200

 

501

 

Rent revenue

$200

202

 

(Rent outstanding)

 

 

 

7-Sep

Cash

$180

 

101

 

Rent Revenue

$180

401

 

(Team seven paid rent)

 

 

 

7-Sep

Cash

$180

 

101

 

Rent Expense

$180

401

 

(Note Corp paid Rent)

 

 

 

7-Sep

Salary Expenses

$100

 

506

 

Cash

$100

101

 

(Record salary paid)

 

 

 

7-Sep

Interest Expense

$500

 

201

 

Interest Payable

$500

503

 

(Interest paid on loan )

 

 

 

10-Sep

Cash

$200

 

202

 

Account receivables

$200

101

 

( Rent owed paid by Cobra)

 

 

 

10-Sep

Cash

$500

 

101

 

Parking revenue

$500

402

 

(Parking fee collected by team corps)

 

 

 

10-Sep

Utilities expense

$100

 

 

 

Cash

$100

101

 

(Paid utility expenses for the office)

 

 

 

10-Sep

Rent Expense

$30

 

401

 

Cash

$30

101

 

( Rent paid for the office)

 

 

 

10-Sep

Cash

$100

 

101

 

Service Revenue

$100

403

 

(James paid for transportation services)

 

 

 

7-Oct

Ventnor Avenue

$2,200

 

108

 

Cash

$2,200

101

 

(Purchased Ventnor avenue)

 

 

 

7-Oct

Short line

$1,000

 

109

 

Cash

$1,000

101

 

(Purchased shoreline)

 

 

 

7-Oct

Pacific Avenue

$1,500

 

110

 

Cash

$1,500

101

 

(Purchased pacific avenue)

 

 

 

7-Oct

Cash

$260

 

101

 

Rent Revenue

$260

401

 

(Rent received from Alpha Corp)

 

 

 

7-Oct

Cash

$220

 

101

 

Rent Revenue

$220

401

 

( Rent received from MMBP)

 

 

 

7-Oct

Cash

$100

 

101

 

Rent Revenue

$100

401

 

(Rent received from TechHub Corp)

 

 

 

7-Oct

Cash

$200

 

101

 

Rent revenue

$200

401

 

(Received half of the rent from TechHub)

 

 

 

7-Oct

Cash

$200

 

501

 

Rent Revenue

$200

101

 

(Rent paid by Cobra for St James avenue)

 

 

 

7-Oct

Cash

$200

 

112

 

Prepaid rent revenue

$200

101

 

( Rent paid in advance for St James)

 

 

 

7-Oct

Cash

$180

 

101

 

Rent Revenue

$180

401

 

( Rent paid by team seven)

 

 

 

7-Oct

Cash

$180

 

101

 

Rent Revenue

$180

401

 

(Rent paid by Note Corp)

 

 

 

7-Oct

Salary Expenses

$150

 

506

 

Cash

$150

101

 

(Salary paid to employees)

 

 

 

15-Oct

Cash

$450

 

101

 

Parking revenue

$450

502

 

(Rent received from tea corps)

 

 

 

15-Oct

Utilities expense

$90

 

507

 

Cash

$90

101

 

(Utilities expenses paid for the office)

 

 

 

15-Oct

Rent Expense

$30

 

501

 

Cash

$30

101

 

( Rent paid for the office)

 

 

 

15-Oct

Cash

$150

 

101

 

Service revenue

$150

503

 

(Services received from James)

 

 

 

7-Nov

Cash

$260

 

101

 

Rent revenue

$260

401

 

(Rent received from Alpha Corp)

 

 

 

7-Nov

Cash

$220

 

101

 

Rent Revenue

$220

401

 

(Rent received from MMBP)

 

 

 

7-Nov

Cash

$180

 

101

 

Rent Revenue

$180

401

 

(Rent received from Team Seven)

 

 

 

7-Nov

Cash

$180

 

101

 

Rent Revenue

$180

401

 

(Rent received from Note corps)

 

 

 

7-Nov

Salary Expenses

$140

 

506

 

Cash

$140

101

 

(Salary paid to employees)

 

 

 

15-Nov

Cash

$200

 

101

 

Rent revenue

$200

401

 

(Rent received from TechHub)

 

 

 

15-Nov

Cash

$400

 

101

 

Parking services

$400

502

 

(Parking fee collected by team corps)

 

 

 

15-Nov

Utilities expense

$110

 

507

 

Cash

$110

101

 

(Utilities expenses paid for the office)

 

 

 

15-Nov

Rent Expense

$30

 

501

 

Cash

$30

101

 

(Rent paid for to Garden Avenue)

 

 

 

15-Nov

Cash

$200

 

101

 

Service revenue

$200

503

 

(Services received from James)

 

 

 

7-Dec

Cash

$260

 

101

 

Rent Revenue

$260

401

 

(Rent received from Alpha Corp)

 

 

 

7-Dec

Cash

$220

 

101

 

Rent Revenue

$220

401

 

(Rent received from MMBP)

 

 

 

7-Dec

Cash

$180

 

101

 

Rent Revenue

$180

401

 

(Rent received from Team Seven)

 

 

 

7-Dec

Cash

$180

 

101

 

Rent Revenue

$180

401

 

(Rent received from Note corps)

 

 

 

7-Dec

Salaries expense

$150

 

501

 

Cash

$150

101

 

(Salaries expenses paid for the office)

 

 

 

7-Dec

Cash

$200

 

101

 

Rent Revenue

$200

401

 

(Received rent from TechHub)

 

 

 

7-Dec

Cash

$600

 

101

 

Parking revenue

$600

502

 

(Received parking fee from James)

 

 

 

7-Dec

Utilities expense

$110

 

501

 

Cash

$110

101

 

( Utilities expenses paid for the office)

 

 

 

7-Dec

Rent Expense

$30

 

501

 

Cash

$30

101

 

(Rent paid to garden avenue)

 

 

 

7-Dec

Cash

$100

 

101

 

Service revenue

$100

503

 

(Received collection of services revenue)

 

 

 

7-Dec

Dividend expense

$1,000

 

 

 

Cash

$1,000

101

 

(dividend paid for shareholders)

 

 

 

7-Dec

Cash

$200

 

508

 

Rent Revenue

$200

401

 

To record rent paid

 

 

 

Ledger

St James Place(104)

7-Sep

Cash

$1,800

31-Dec

Bal C/F

1,800

 

$1,800

1,800

31-Dec

Bal C/f

$1,800

 

 

 

New york Avenue (105)

7-Sep

Cash

$1,000

31-Dec

Bal C/F

1,000

 

$1,000

1,000

31-Dec

Bal C/f

$1,000

 

 

 

Kentucky Avenue (106)

7-Sep

Cash

$1,800

31-Dec

Bal C/F

1,800

 

$1,800

1,800

31-Dec

Bal C/f

$1,800

 

 

 

Shoreline (108)

7-Oct

Cash

$1,000

31-Dec

Bal C/F

1,000

 

$1,000

1,000

31-Dec

Bal C/f

$1,000

 

 

 

Ventnor Avenue (107)

7-Oct

Cash

$2,200

31-Dec

Bal C/F

2,200

 

$2,200

2,200

31-Dec

Bal C/f

$2,200

 

 

 

Pacific (109)

7-Oct

Cash

$1,500

31-Dec

Bal C/F

1,500

 

$1,500

1,500

31-Dec

Bal C/f

$1,500

 

 

 

Common stock (301)

31-Dec

Bal c/f

$10,000

7-Sep

Bal B/F

10,000

 

$10,000

10,000

 

 

 

 

 

$10,000

Retained earnings (301)

31-Dec

Bal c/f

$5,000

7-Sep

Bal B/F

5,000

 

$5,000

5,000

 

 

 

 

 

$5,000

Vehicle (102)

7-Oct

Bal b/f

$10,000

31-Dec

Bal C/F

10,000

 

$10,000

10,000

31-Dec

Bal C/f

$10,000

 

 

 

Equipment (102)

7-Oct

Bal b/f

$1,000

31-Dec

Bal C/F

1,000

 

$1,000

1,000

31-Dec

Bal C/f

$1,000

 

 

 

Note Payables (203)

17-Dec

Bal c/f

$15,000

7-Sep

Bal B/F

15,000

 

$15,000

15,000

 

 

 

31-Dec

 

$15,000

Cash (101)

 

Start Bal

$15,000

7-Sep

St James

$1,800

7-Sep

Rent revenue

$180

7-Sep

New york avenue

$1,000

7-Sep

Rent revenue

$180

7-Sep

Kentucky avenue

$1,800

10-Sep

A/c Receivables

$200

7-Sep

Salary expense

$100

10-Sep

Parking revenue

$500

10-Sep

Utilities expense

$100

10-Sep

Service revenue

$100

10-Sep

Rent Expense

$30

7-Oct

Rent revenue

$260

7-Oct

Ventnor

$2,200

7-Oct

Rent revenue

$220

7-Oct

Shoreline

$1,000

7-Oct

Rent revenue

$200

7-Oct

Pacific

$1,500

7-Oct

Prepaid Rent

$200

7-Oct

Salary expense

$150

7-Sep

Rent revenue

$180

15-Oct

Utilities expense

$90

7-Oct

Rent revenue

$180

15-Oct

Rent Expense

$30

15-Oct

Parking revenue

$450

7-Nov

Salary expense

$140

15-Oct

Service revenue

$150

15-Nov

Utilities expense

$110

7-Nov

Rent revenue

$260

15-Nov

Rent Expense

$30

7-Nov

Rent revenue

$220

7-Dec

Salaries expense

$150

7-Nov

Rent revenue

$180

7-Dec

Utilities expense

$110

7-Nov

Rent revenue

$180

7-Dec

Rent Expense

$30

15-Nov

Rent revenue

$200

7-Dec

Dividend expense

$1,000

15-Nov

Rent revenue

$200

31-Dec

Bal B/F

$10,410

15-Nov

Parking revenue

$400

 

 

 

15-Nov

Service revenue

$200

 

 

 

7-Dec

Rent revenue

$260

 

 

 

7-Dec

Rent revenue

$220

 

 

 

7-Dec

Rent revenue

$180

 

 

 

7-Dec

Rent revenue

$180

 

 

 

7-Dec

Rent revenue

$200

 

 

 

7-Dec

Parking revenue

$600

 

 

 

7-Dec

Rent revenue

$200

 

 

 

7-Dec

Service revenue

$100

 

 

 

 

 

$21,780

 

 

$21,780

31-Dec

Bal B/F

$10,410

 

 

 

Rent Revenue (401)

 

 

7-Sep

A/C receivable

$200

 

 

 

7-Sep

Cash

$180

 

 

 

7-Sep

Cash

$180

 

 

 

7-Oct

Cash

$260

 

 

 

7-Oct

Cash

$220

 

 

 

7-Oct

cash

$200

 

 

 

7-Oct

cash

$200

 

 

 

7-Oct

cash

$180

 

 

 

7-Oct

Cash

$180

 

 

 

7-Nov

Cash

$260

 

 

 

7-Nov

Cash

$220

 

 

 

7-Nov

Cash

$180

 

 

 

7-Nov

Cash

$180

 

 

 

15-Nov

cash

$200

 

 

 

15-Nov

Cash

$200

 

 

 

7-Dec

Cash

$260

 

 

 

7-Dec

Cash

$220

 

 

 

7-Dec

Cash

$180

 

 

 

7-Dec

Cash

$180

 

 

 

7-Dec

Cash

$200

31-Dec

Bal C/f

$4,280

7-Dec

Cash

$200

 

$4,280

$4,280

 

 

 

31-Dec

Bal c/f

$4,280

Rent Expense(501)

10-Sep

Cash

$30

31-Dec

Bal B/F

120

15-Oct

Cash

$30

 

 

 

15-Nov

Cash

$30

 

 

 

7-Dec

Cash

$30

 

 

 

 

 

$120

 

 

$120

31-Dec

Bal b/f

$120

 

 

 

Utilities Expense (507)

10-Sep

Cash

$100

31-Dec

Bal B/F

410

15-Oct

Cash

$90

 

 

 

15-Nov

Cash

$110

 

 

 

7-Dec

Cash

$110

 

 

 

 

 

$410

 

 

$410

31-Dec

Bal b/f

$410

 

 

 

Salaries Expense (507)

7-Sep

Cash

$100

31-Dec

Bal B/F

540

10-Oct

Cash

$150

 

 

 

7-Nov

Cash

$140

 

 

 

7-Dec

Cash

$150

 

 

 

 

 

$540

 

 

$540

31-Dec

Bal b/f

$540

 

 

 

Parking services (402))

 

 

 

7-Dec

Cash

500

 

 

15-Oct

Cash

450

 

 

15-Nov

Cash

$400

 

 

7-Dec

 

$600

 

 

$1,950

 

 

$1,950

 

 

 

31-Dec

Bal B/F

$1,950

Service services (402))

 

 

 

10-Dec

Cash

100

 

 

15-Oct

Cash

150

 

 

15-Nov

Cash

$200

 

 

7-Dec

Cash

$100

 

 

$550

 

 

$550

 

 

 

31-Dec

Bal B/F

$550

Interest Payable (301)

31-Dec

Bal c/f

$500

7-Sep

Interest Expense

500

 

$500

500

 

 

 

 

 

$500

A/c Receivable (111)

31-Dec

Bal c/f

$200

7-Sep

 

200

 

$200

200

 

 

 

 

 

Depreciation

31-Dec

Accumulated Depreciation

$1,000

7-Sep

 

 

 

Accumulated Depreciation

$1000

 

 

 

 

$2,000

 

 

$2,000

Accumulated depreciation

31-Dec

Depreciation

 

7-Sep

 

1,000

 

Depreciation

 

 

1,000

 

 

$2,000

 

 

$2,000

Unadjusted Trial Balance

Umbrella Corporation

Unadjusted Trial Balance

as from Dec 31, 2017

Accounts

Dr.

Cr.

Cash

$10,410

 

St James Place

$1,800

 

New york Avenue

$1,000

 

Kentucky Avenue

$1,800

 

Shoreline

$1,000

 

Ventnor Avenue

$2,200

 

Pacific

$1,500

 

Retained Earning

 

$5,000

Vehicle

$10,000

 

Equipment’s

$5,000

 

Notes payables

 

$15,000

Rent Revenue

 

$4,280

Rent Expense

$120

 

Utilities Expense

$410

 

Salaries Expense

$540

 

Parking revenue

 

$1,950

Service revenue

 

$550

Dividend expense

$1,000

 

Common stock

 

$10,000

 

$36,780

$36,780

Adjusted Journal Entries

Umbrella Corporation

Adjusting Journal entries

Date

Account

Debit

Credit

1-Dec

Service Revenue

$550

 

 

Parking Revenue

$1,950

 

 

Rent Revenue

$4,280

 

 

Income Summary

$6,780

 

(To Close Revenue)

 

 

1-Dec

Income summary

$4,570

 

 

Vehicle depreciation expense

$1,000

 

Equipment depreciation Expense

$1,000

 

Interest Expense

$500

 

Salary Expense

$540

 

Utilities Expense

$410

 

Rent Expense

$120

 

Dividend expense

$1,000

 

(To close Expense)

 

 

1-Dec

Retained Earning

$7,210

 

 

Income summary

$7,210

 

(To close Income summary)

 

 

Adjusted Trial Balance

Umbrella Corporation

Adjusted Trial Balance

as from Dec 31, 2017

Accounts

Dr.

Cr.

Cash

$10,410

 

St James Place

$1,800

 

New york Avenue

$1,000

 

Kentucky Avenue

$1,800

 

Shoreline

$1,000

 

Ventnor Avenue

$2,200

 

Pacific

$1,500

 

Retained Earning

 

$5,000

Vehicle

$10,000

 

Equipment’s

$5,000

 

Notes payables

 

$15,000

Rent Revenue

 

$4,280

Rent Expense

$120

 

Utilities Expense

$410

 

Salaries Expense

$540

 

Parking revenue

 

$1,950

Service revenue

 

$550

Common stock

 

$10,000

Interest Expense

$500

 

Interest Payables

 

$500

Vehicle depreciation Expense

$1,000

 

Vehicle Accumulated depreciation

 

$1,000

Equipment’s depreciation expense

$1,200

 

Equipment Accumulated depreciation

 

$1,200

Dividend expense

$1,000

 

 

$39,480

$39,480

Income Statement

Umbrella Corp

Income Statements

Month Ended Dec 31st ,2017

Revenues:

$

$

Service Revenue

$550

 

Rent Revenue

$1,950

 

Parking Revenue

$4,280

 

Total Revenue

 

$6,780

Less: Expenses:

 

 

Rent Expense

$120

 

Vehicle Depreciation expense

$1,000

 

Equipment Depreciation expense

$1,000

 

Interest Expense

$500

 

Salaries Expenses

$540

 

Utilities Expense

$410

 

Total Expense

 

$3,570

Net income

 

$3,210

Statement of Retained Earnings

Umbrella Corp

Statements of Retained Earnings

for the Month Ending Dec 31st , 2017

Retained Earnings, September 1st, 2017

$5,000

Add: Net Income

$3,210

Subtotal

$8,210

Less: Dividend

1000.00

Retained Earnings, December 31, 2017

$7,210

Balance Sheet

Umbrella Corporation

Balance sheet

for the month ended Dec 31st, 2017

Assets

 

Liabilities

 

Cash

$10,410

Note payables

$15,000

Vehicle

$10,000

 

Interest Payables

$500

Less: Depreciation

$1,000

$9,000

 

 

Equipment

$5,000

 

 

 

Less: Depreciation

$1,000

$4,000

Stockholder Equity

 

St James Avenue

$1,800

Retained Earning

$7,210

New york Avenue

$1,000

Common Stock

$10,000

Kentucky Avenue

$1,800

 

 

Shoreline

$1,000

 

 

Ventnor Avenue

$2,200

 

 

Pacific

$1,500

 

 

Total Assets

 

$32,710

Total Liabilities and stockholders’ Equity

$32,710

Statement of Cash Flow

Umbrella Corporation

Statements of Cash flows

Month Ended Dec 31st ,2017

Cash flows From operating activities

 

 

Income

 

$6,780

Depreciation Expense (Vehicle)

$1,000

 

Depreciation Expense (Equipment)

$1,000

 

Total

 

$4,780

Total cash provided by operating activities

 

$11,560

Cash flows From investing activities

 

 

Acquisition of St James place

$1,800

 

New york avenue

$1,000

 

Kentucky Avenue

$1,800

 

Shoreline

$1,000

 

Pacific

$1,500

 

Ventnor

$2,200

 

Total cash used for investing Activities

 

($9,300)

Cash from financing activities

 

 

Net Increase(Decrease in) Cash

 

$4,590

Cash balance September 1st ,2017

 

$15,000

Cash balance December 31st ,2017

 

$10,410

Closing Journal Entries

Umbrella Corporation

Closing Journal entries

Date

Account

Debit

Credit

1-Dec

Service Revenue

$550

 

closing (1)

Parking revenue

$1,950

 

 

Rent Revenue

$4,280

 

 

Income Summary

$6,780

 

(To Close Revenue)

 

 

1-Dec

Income summary

$4,570

 

closing (2)

Vehicle depreciation expense

$1,000

 

Equipment depreciation Expense

$1,000

 

Interest Expense

$500

 

Salary Expense

$540

 

Utilities Expense

$410

 

Rent Expense

$120

 

Dividend expense

$1,000

 

(To close Expense)

 

 

1-Dec

Retained Earning

$7,210

 

closing (3)

Income summary

$7,210

 

(To close Income summary)

 

 

Post-Closing Trial Balance

Umbrella Corporation

Post-Trial Balance

as from Dec 31, 2017

Accounts

 

Dr.

Cr.

Cash

 

$10,410

 

St James Place

 

$1,800

 

New york Avenue

 

$1,000

 

Kentucky Avenue

 

$1,800

 

Shoreline

 

$1,000

 

Ventnor Avenue

 

$2,200

 

Pacific

 

$1,500

 

Retained Earning

 

 

$7,210

Vehicle

$10,000

 

 

Less: Depreciation

$1,000

$9,000

 

Equipment’s

$5,000

 

 

Less: Depreciation

$1,000

$4,000

 

Notes payables

 

 

$15,000

Rent Revenue

 

 

$4,280

Parking revenue

 

 

$1,950

Service revenue

 

 

$550

Interest Payables

 

 

$500

 

 

$32,710

$29,490