ACC111-CH03 HW - Brief Exercise 3-5 Page 128 Date 2017 July...

Brief Exercise 3-5, Page 128
Date Account Titles and Explanation Debit Credit
2017
July 1 Prepaid Insurance 15,120
Cash 15,120
31 Insurance Expense 2,520
Prepaid Insurance 2,520
Prepaid Insurance
Date Explanation Ref Debit Credit Balance
July 1 15,120 15,120
Dec 31 Adjusting 2,520 12,600
Isurance Expense
Date Explanation Ref Debit Credit Balance
Dec 31 Adjusting 2,520 2,520

Brief Exercise 3-6, Page 129
Date Account Titles and Explanation Debit Credit
2017
July 1 Cash 15,120
Unearned Service Revenue 15,120
31 Unearned Service Revenue 2,520
Service Revenue 2,520
Unearned Service Revenue
Date Explanation Ref Debit Credit Balance
July 1 15,120 15,120
Dec 31 Adjusting 2,520 12,600
Service Revenue
Date Explanation Ref Debit Credit Balance
Dec 31 Adjusting 2,520 2,520

Problem 3-1A, Page138
The following adjustments need to made to Krause Consulting for May.
1 $900 of supplies have been used during the month.
2
Utilities expense incurred but not paid on May 31, 2017, $250.
3
The insurance policiy is for 2 years, costing $3,600.
4 $400 of the balance in the unearned service revenue account ($2,000) remains unearned at th
5
May 31 is a Wednesday, and employees are paid on Fridays. Krause consulting has two employ
6 The office furniture has a 5-year life with no salvage value. It is being depreciated at $190 per
7 Invoices representing $1,700 of services performed during the month have not been recorded
Instructions:
(a) Prepare the adjusting entries and journalize for the month of May. Use J1 as the page number
(b)
(c )
Prepare an adjusted trial balance at May 31, 2017.
Service Revenue 1,700 2017
Post the adjusting entries to the ledger accounts. Enter the totals from the trial balance as beg
reference column.
(a) J4
Date Account Titles and Explanation Ref. Debit Credit
2017 Adjusting Entries
May 31 Supplies Exp 1,500 Date
Supplies 1,500 2017
31 Utilities Exp 250
Accounts Payable 250 Date
2017
31 Insurance Exp 150
Prepaid Insurance 150
Date
2017
31 Unearned Service Revenue 1,600
Service Revenue 1,600
Date
31 Salaries & Wages Exp 1,104 2017
Salaries & Wages Payable 1,104
31 Depreciation Exp 190 Date
Accum Depreciation-Equip 190 2017
31 Accounts Receivable 1,700 Date

Krause Consulting Date
Adjusted Trial Balance 2017
May 31, 2017
Debit Credit
Cash $ 4,500 Date
Accounts Receivable 7,700 2017
Supplies 400
Prepaid Insurance 3,450
Equipment 11,400
Accum Dep -Equipment 190 Date
Accounts Payable 4,750 2017
Unearned Service Revenue 400
Salaries & Wages Payable 1,104
Owner's Capital 18,700 Date
Service Revenue 12,800 2017
Salaries & Wages Expense 7,504
Rent Expense 900
Depreciation Expense 190 Date
Insurance Expense 150 2017
Utilities Expense 250
Supplies Expense 1,500
37,944 37,944
Date
2017
Date
2017
Date
2017
Date
2017
Date
2017
Date
2017

he end of the month.
yees who are paid $920 each for a 5-day work week.
month for 60 months.
d as of May 31.
r for your journal.
Cash 101
Explanation Ref Debit Credit Balance
May 31 Balance √ 4,500
Accounts Receivable 112
Explanation Ref Debit Credit Balance
May 31 Balance √ 6,000
31 Adjusting J4 1,700 7,700
Supplies 126
Explanation Ref Debit Credit Balance
May 31 Balance √ 1,900
31 Adjusting J4 1,500 400
Prepaid Insurance 130
Explanation Ref Debit Credit Balance
May 31 Balance √ 3,600
31 Adjusting J4 150 3,450
Equipment 149
Explanation Ref Debit Credit Balance
May 31 Balance √ 11,400
Accumulated Depreciation - Equipment 150
Explanation Ref Debit Credit