CHAPTER 4 Completing the Accounting Cycle
Appendix Ex. 4–26 (Concluded)
Current assets: Current liabilities:
Cash $ 12 Accounts payable $36
ALERT SECURITY SERVICES CO.
Balance Sheet
October 31, 2014
Assets Liabilities
CHAPTER 4 Completing the Accounting Cycle
Appendix Ex. 4–27
2014
Oct. 31 Accounts Receivable 13
Fees Earned 13
Appendix Ex. 4–28
2014
Oct. 31 Fees Earned 213
Adjusting Entries
Closing Entries
CHAPTER 4 Completing the Accounting Cycle
Prob. 4–1A
1.
Fees earned $368,100
2.
Ted Hickman, capital, August 1, 2013 $203,100
PROBLEMS
WATCHDOG COMPANY
Statement of Owner’s Equity
For the Year Ended July 31, 2014
WATCHDOG COMPANY
Income Statement
For the Year Ended July 31, 2014
CHAPTER 4 Completing the Accounting Cycle
Prob. 4–1A (Continued)
3.
Current assets: Current liabilities:
Cash $ 10,800 Accounts payable $15,700
WATCHDOG COMPANY
Balance Sheet
July 31, 2014
Assets Liabilities
CHAPTER 4 Completing the Accounting Cycle
Prob. 4–1A (Concluded)
4. 2014
July 31 Fees Earned 368,100
Rent Revenue 1,000
Income Summary 369,100
5.
Debit Credit
Balances Balances
Cash 10,800
Accounts Receivable 43,300
WATCHDOG COMPANY
Post-Closing Trial Balance
July 31, 2014
Closing Entries
CHAPTER 4 Completing the Accounting Cycle
Prob. 4–2A
1.
Revenues:
Service fees $480,000
Rent revenue 25,000
Don Chadwell, capital, April 30, 2014 $242,300
IRONSIDE SECURITY SERVICES
Income Statement
For the Year Ended April 30, 2014
CHAPTER 4 Completing the Accounting Cycle
Prob. 4–2A (Continued)
Current assets: Current liabilities:
IRONSIDE SECURITY SERVICES
Balance Sheet
April 30, 2014
Assets Liabilities
CHAPTER 4 Completing the Accounting Cycle
Prob. 4–2A (Concluded)
2. 2014
Apr. 30 Service Fees 480,000
Rent Revenue 25,000
Income Summary 505,000
Closing Entries
CHAPTER 4 Completing the Accounting Cycle
Prob. 4–3A
1., 3., and 6.
June 30 Bal. 11,000
Cash
Laundry Supplies
CHAPTER 4 Completing the Accounting Cycle
Prob. 4–3A (Continued)
June 30 Clos. 221,500 June 30 Clos. 232,200
Income Summary
CHAPTER 4 Completing the Accounting Cycle
Prob. 4–3A (Continued)
2. Optional (Appendix)
Account Title Debit Credit Debit Credit Debit Credit Debit Credit
Cash 11,000 11,000 11,000
Laundry Supplies 21,500 (a) 17,900 3,600 3,600
SheetTrial Balance
Debit Credit
Trial Balance
Income
StatementAdjustments
EPICENTER LAUNDRY
End-of-Period Spreadsheet (Work Sheet)
For the Year Ended June 30, 2014
BalanceUnadjusted Adjusted
CHAPTER 4 Completing the Accounting Cycle
Prob. 4–3A (Continued)
3.
2014
June 30 Laundry Supplies Expense 17,900
Laundry Supplies 17,900
4.
Debit Credit
Balances Balances
Cash 11,000
Laundry Supplies 3,600
EPICENTER LAUNDRY
Adjusted Trial Balance
June 30, 2014
Adjusting Entries
CHAPTER 4 Completing the Accounting Cycle
Prob. 4–3A (Continued)
5.
Laundry revenue $232,200
Expenses:
Wages expense $126,300
EPICENTER LAUNDRY
Income Statement
For the Year Ended June 30, 2014
CHAPTER 4 Completing the Accounting Cycle
Prob. 4–3A (Continued)
Current assets: Current liabilities:
Cash $ 11,000 Accounts payable $11,800
EPICENTER LAUNDRY
Balance Sheet
June 30, 2014
Assets Liabilities
CHAPTER 4 Completing the Accounting Cycle
Prob. 4–3A (Concluded)
6.
2014
June 30 Laundry Revenue 232,200
7.
Debit Credit
Balances Balances
Cash 11,000
EPICENTER LAUNDRY
Post-Closing Trial Balance
June 30, 2014
Closing Entries
CHAPTER 4 Completing the Accounting Cycle
Prob. 4–4A
1., 3., and 6.
Account No. 11
Post.
Item Ref. Debit Credit Debit Credit
2014
Account No. 14
Post.
Item Ref. Debit Credit Debit Credit
2014
Account No. 16
Post.
Item Ref. Debit Credit Debit Credit
Account No. 18
Post.
Item Ref. Debit Credit Debit Credit
Account: Trucks
Balance
Date
Account: Equipment
Balance
Date
Balance
Date
Date
Balance
Account: Prepaid Insurance
Cash
Account:
CHAPTER 4 Completing the Accounting Cycle
Prob. 4–4A (Continued)
Account No. 19
Post.
Item Ref. Debit Credit Debit Credit
2014
Account No. 21
Post.
Item Ref. Debit Credit Debit Credit
2014
Account No. 22
Post.
Item Ref. Debit Credit Debit Credit
2014
Account No. 31
Post.
Item Ref. Debit Credit Debit Credit
2014
Account No. 32
Post.
Item Ref. Debit Credit Debit Credit
2014
Balance
Date
Account: Kaya Tarango, Capital
Balance
Date
Account: Kaya Tarango, Drawing
Balance
Date
Date
Balance
Balance
Date
Account: Wages Payable
Accumulated Depreciation—Trucks
Account:
Account: Accounts Payable
CHAPTER 4 Completing the Accounting Cycle
Prob. 4–4A (Continued)
Account No. 33
Post.
Item Ref. Debit Credit Debit Credit
2014
Account No. 41
Post.
Item Ref. Debit Credit Debit Credit
2014
Account No. 51
Post.
Item Ref. Debit Credit Debit Credit
2014
Account No. 52
Post.
Item Ref. Debit Credit Debit Credit
2014
Account No. 53
Post.
Item Ref. Debit Credit Debit Credit
2014
Date
Balance
Income Summary
Account:
Account: Wages Expense
Balance
Date
Account: Service Revenue
Balance
Date
Account: Rent Expense
Balance
Date
Account: Supplies Expense
Balance
Date
CHAPTER 4 Completing the Accounting Cycle
Prob. 4–4A (Continued)
Account No. 54
Post.
Item Ref. Debit Credit Debit Credit
2014
Account No. 55
Post.
Item Ref. Debit Credit Debit Credit
2014
Mar. 31 Adjusting 26 8,350 8,350
31 Closing 27 8,350 — —
Account No. 56
Post.
Item Ref. Debit Credit Debit Credit
2014
Mar. 31 Adjusting 26 6,200 6,200
Date
Balance
Balance
Balance
Date
Truck Expense
Account:
Account: Depreciation Expense—Trucks
Account: Depreciation Expense—Equipment
Date
CHAPTER 4 Completing the Accounting Cycle
Prob. 4–4A (Continued)
2. Optional (Appendix)
Account Title Debit Credit Debit Credit Debit Credit Debit Credit
Kaya Tarango, Drawing 15,000 15,000 15,000
Service Revenue 160,000 160,000 160,000
Wages Expense 45,000 (e) 600 45,600 45,600
SheetTrial Balance
Debit Credit
Trial Balance
Income
StatementAdjustments
LAKOTA FREIGHT CO.
End-of-Period Spreadsheet (Work Sheet)
For the Year Ended March 31, 2014
BalanceUnadjusted Adjusted