Problem 3-6A (Continued)
Common Stock Acct. No. 307
Date Explanation PR Debit Credit Balance
April 1 50,000 50,000
Retained Earnings Acct. No. 318
30 Adjusting 1,750 9,750
30 Closing 9,750 0
Depreciation Expense–Computer Equipment Acct. No. 612
Date Explanation PR Debit Credit Balance
April 30 Adjusting 500 500
30 Closing 133 0
Problem 3-6A (Concluded)
Office Supplies Expense Acct. No. 650
Date Explanation PR Debit Credit Balance
April 30 Adjusting 400 400
Problem 3-7A (15 minutes)
1.
B
6.
C
11.
E
16.
C
2.
Z
7.
F
12.
C
17.
C
3.
A
8.
E
13.
A
18.
Z
4.
A
9.
A
14.
C
19.
A
5.
E
10.
G
15.
A
20.
E
Problem 3-8A (75 minutes)
Part 1
TYBALT CONSTRUCTION
Income Statement
For Year Ended December 31, 2015
Revenues
Professional fees earned …………………………….. $97,000
Supplies expense ……………………………………….. 7,400
Postage expense ………………………………………… 4,200
Property taxes expense ………………………………. 5,000
Repairs expense …………………………………………. 8,900
Telephone expense …………………………………….. 3,200
Problem 3-8A (Continued)
TYBALT CONSTRUCTION
Balance Sheet
December 31, 2015
Assets
Current assets
Land …………………………………………………………… 55,000
Total plant assets ……………………………………….. 175,000
Total assets ………………………………………………….. $218,100
Liabilities
Current liabilities
Problem 3-8A (Continued)
Part 2
(1) Professional Fees Earned ……………………… 97,000
Rent Earned ………………………………………….. 14,000
(2) Income Summary ………………………………….. 110,800
Depreciation Expense—Building …….. 11,000
Depreciation Expense—Equipment …. 6,000
Wages Expense…………………………..….. 32,000
(3) Income Summary ………………………………….. 4,300
(4) Retained Earnings …………………………………. 13,000
Dividends ……………………………………….. 13,000
Problem 3-1B (15 minutes)
1. H 5. B 9. I
2. G 6. F 10. A
3. C 7. I 11. B
4. D 8. F 12. E
Problem 3-2B (30 minutes)
Part 1
Adjustment (a)
Oct. 31 Office Supplies Expense ………………………………… 4,370
Office Supplies ………………………………………… 4,370
To record cost of supplies used
Problem 3-2B (Concluded)
Adjustment (d)
Oct. 31 Depreciation Expense—Building …………………….. 5,400
Accumulated Depreciation—Building ………. 5,400
To record annual depreciation
Problem 3-3B (90 minutes)
Parts 1 and 2
Cash
Accounts Payable
Bal.
60,000
Bal.
11,200
Accounts Receivable
Salaries Payable
Unadj. Bal.
0
Unadj. Bal.
0
(f)
5,750
(g)
450
Adj. Bal.
5,750
Adj. Bal.
450
Teaching Supplies
Unearned Training Fees
Unadj. Bal.
70,000
Unadj. Bal.
28,600
(b)
50,000
(e)
28,600
Adj. Bal.
20,000
Adj. Bal.
0
Prepaid Insurance
Common Stock
Unadj. Bal.
19,000
Bal.
11,000
(a)
9,500
Adj. Bal.
9,500
Retained Earnings
Prepaid Rent
Bal.
60,500
Unadj. Bal.
3,800
(h)
3,800
Adj. Bal.
0
Dividends
Professional Library
Bal.
20,000
Bal.
12,000
Accumulated Depreciation—
Professional Library
Unadj. Bal.
2,500
(d)
2,400
Adj. Bal.
4,900
Equipment
Bal.
40,000
Accumulated Depreciation—
Equipment
Unadj. Bal.
20,000
(c)
5,000
Adj. Bal.
25,000
Problem 3-3B (Continued)
Parts 1 and 2
Tuition Fees Earned
Advertising Expense
Unadj. Bal.
129,200
Bal.
19,000
(f)
5,750
Adj. Bal.
134,950
Training Fees Earned
Utilities Expense
Unadj. Bal.
68,000
Bal.
13,400
(e)
28,600
Adj. Bal.
96,600
Depreciation Expense—
Professional Library
Unadj. Bal.
0
(d)
2,400
Adj. Bal.
2,400
Depreciation Expense—
Equipment
Unadj. Bal.
0
(c)
5,000
Adj. Bal.
5,000
Salaries Expense
Unadj. Bal.
44,200
(g)
450
Adj. Bal.
44,650
Insurance Expense
Unadj. Bal.
0
(a)
9,500
Adj. Bal.
9,500
Rent Expense
Unadj. Bal.
29,600
(h)
3,800
Adj. Bal.
33,400
Teaching Supplies Expense
Unadj. Bal.
0
(b)
50,000
Adj. Bal.
50,000