acct
Cclegg00
problem_3-1a.docProblem 3-1A
Joey Cuono started his own consulting firm, Cuono Company, on June 1, 2014. The trial balance at June 30 is shown below.
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CUONO COMPANY Trial Balance June 30, 2014 |
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Account Number |
|
|
|
Debit |
|
Credit |
|
101 |
|
Cash |
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$ 6,200 |
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|
|
112 |
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Accounts Receivable |
|
6,000 |
|
|
|
126 |
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Supplies |
|
2,000 |
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|
|
130 |
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Prepaid Insurance |
|
3,000 |
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|
|
157 |
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Equipment |
|
14,400 |
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|
|
201 |
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Accounts Payable |
|
|
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$ 4,700 |
|
209 |
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Unearned Service Revenue |
|
|
|
4,000 |
|
311 |
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Common Stock |
|
|
|
20,000 |
|
400 |
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Service Revenue |
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|
|
7,900 |
|
726 |
|
Salaries and Wages Expense |
|
4,000 |
|
|
|
729 |
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Rent Expense |
|
1,000 |
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|
|
|
|
|
|
$36,600 |
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$36,600 |
In addition to those accounts listed on the trial balance, the chart of accounts for Cuono Company also contains the following accounts and account numbers: No. 158 Accumulated Depreciation—Equipment, No. 212 Salaries and Wages Payable, No. 631 Supplies Expense, No. 711 Depreciation Expense, No. 722 Insurance Expense, and No. 732 Utilities Expense. Other data:
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1. |
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Supplies on hand at June 30 are $1,100. |
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2. |
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A utility bill for $150 has not been recorded and will not be paid until next month. |
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3. |
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The insurance policy is for a year. |
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4. |
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$2,500 of unearned service revenue has been earned at the end of the month. |
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5. |
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Salaries of $1,600 are accrued at June 30. |
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6. |
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The equipment has a 5-year life with no salvage value. It is being depreciated at $300 per month for 48 months. |
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7. |
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Invoices representing $2,100 of services performed during the month have not been recorded as of June 30. |
Prepare the adjusting entries for the month of June. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.)
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No. |
Date |
Account Titles and Explanation |
Debit |
Credit |
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1. |
June 30 |
Supplies Expe |
900 |
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|
|
|
Supplies |
|
900 |
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2. |
June 30 |
Utilities Expens |
150 |
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Accounts Pay |
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150 |
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3. |
June 30 |
Insurance Exp |
250 |
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Prepaid Insura |
|
250 |
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4. |
June 30 |
Unearned Ser |
2500 |
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Service Reven |
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2500 |
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5. |
June 30 |
Salaries and W |
1600 |
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|
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Salaries and W |
|
1600 |
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6. |
June 30 |
Depreciation E |
300 |
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Accumulated D |
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300 |
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7. |
June 30 |
Accounts Rec |
2100 |
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|
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Service Reven |
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2100 |
Post the adjusting entries to the ledger accounts. Enter the totals from the trial balance as beginning account balances. (Post entries in the order of journal entries posted in the previous part of the question.)
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Cash |
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No. 101 |
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Date |
Explanation |
Ref |
Debit |
Credit |
Balance |
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June 30 |
Balance |
√ |
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Accounts Receivable |
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|
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No. 112 |
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Date |
Explanation |
Ref |
Debit |
Credit |
Balance |
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June 30 |
Balance |
√ |
|
|
|
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June 30 |
Adjusting |
J3 |
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|
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|
Supplies |
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|
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No. 126 |
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|
Date |
Explanation |
Ref |
Debit |
Credit |
Balance |
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June 30 |
Balance |
√ |
|
|
|
|
June 30 |
Adjusting |
J3 |
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|
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Prepaid Insurance |
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No. 130 |
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Date |
Explanation |
Ref |
Debit |
Credit |
Balance |
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June 30 |
Balance |
√ |
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|
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June 30 |
Adjusting |
J3 |
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Equipment |
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No. 157 |
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Date |
Explanation |
Ref |
Debit |
Credit |
Balance |
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June 30 |
Balance |
√ |
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Accumulated Depreciation—Equipment |
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No. 158 |
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|
Date |
Explanation |
Ref |
Debit |
Credit |
Balance |
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June 30 |
Adjusting |
J3 |
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|
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Accounts Payable |
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No. 201 |
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Date |
Explanation |
Ref |
Debit |
Credit |
Balance |
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June 30 |
Balance |
√ |
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|
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June 30 |
Adjusting |
J3 |
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|
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|
Unearned Service Revenue |
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No. 209 |
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Date |
Explanation |
Ref |
Debit |
Credit |
Balance |
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June 30 |
Balance |
√ |
|
|
|
|
June 30 |
Adjusting |
J3 |
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|
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Salaries and Wages Payable |
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No. 212 |
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Date |
Explanation |
Ref |
Debit |
Credit |
Balance |
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June 30 |
Adjusting |
J3 |
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|
|
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Common Stock |
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No. 311 |
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Date |
Explanation |
Ref |
Debit |
Credit |
Balance |
|
June 30 |
Balance |
√ |
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|
|
|
Service Revenue |
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No. 400 |
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|
Date |
Explanation |
Ref |
Debit |
Credit |
Balance |
|
June 30 |
Balance |
√ |
|
|
|
|
June 30 |
Adjusting |
J3 |
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|
|
|
June 30 |
Adjusting |
J3 |
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|
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|
Supplies Expense |
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No. 631 |
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|
Date |
Explanation |
Ref |
Debit |
Credit |
Balance |
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June 30 |
Adjusting |
J3 |
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|
Depreciation Expense |
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No. 711 |
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Date |
Explanation |
Ref |
Debit |
Credit |
Balance |
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June 30 |
Adjusting |
J3 |
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|
|
|
Insurance Expense |
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No. 722 |
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|
Date |
Explanation |
Ref |
Debit |
Credit |
Balance |
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June 30 |
Adjusting |
J3 |
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Salaries and Wages Expense |
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No. 726 |
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Date |
Explanation |
Ref |
Debit |
Credit |
Balance |
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June 30 |
Balance |
√ |
|
|
|
|
June 30 |
Adjusting |
J3 |
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|
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|
Rent Expense |
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No. 729 |
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Date |
Explanation |
Ref |
Debit |
Credit |
Balance |
|
June 30 |
Balance |
√ |
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Utilities Expense |
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No. 732 |
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Date |
Explanation |
Ref |
Debit |
Credit |
Balance |
|
June 30 |
Adjusting |
J3 |
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Prepare an adjusted trial balance at June 30, 2014.
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CUONO COMPANY Adjusted Trial Balance June 30, 2014 |
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Debit |
Credit |
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$
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$
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$
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$
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