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4.How will Canton Air Purification System use the adjusted trial balance?
a.Supplies used during the month, $500.a.Depreciation for the month, $1,000.a.Accrued salary expense, $300.
a.Unearned service revenue still unearned, $1,500.Requirements1.Journalize the adjusting entries.2.The unadjusted balances have been entered for you in the general ledger accounts. Post the adjusting entries to the ledger accounts.3.Prepare the adjusted trial balance.4.Prepare the income statement, statement of owner's equity, and balance sheet for the business for the month ended December 31, 2012.P3-46BPrepare an adjusted trial balance and financial statements [45–60 min]Consider the unadjusted trial balance of Star Limo Service Company at September 30, 2012, and the related month-end adjustment data.
Adjustment data at September 30 follow:a.Accrued service revenue at September 30, $1,800.b.One-fifth of the prepaid rent expired during the month.c.Supplies on hand at September 30, $800.d.Depreciation on automobile for the month, $1,000.e.Accrued salary expense at September 30 for one day only. The five-day weekly payroll is $1,200.Requirements1.Write the trial balance on a worksheet, using Exhibit 3-8as an example, and prepare the adjusted trial balance of Star Limo Service at September 30, 2012. Key each adjusting entry by letter.2.Prepare the income statement and the statement of owner's equity for the month ended September 30, 2012, and the balance sheet at that date.P3-47BPreparing financial statements from an adjusted trial balance [20–30 min]The adjusted trial balance of A Plus Events Piano Tuning Service at fiscal year end October 31, 2012, follows.
Requirements1.Prepare A Plus's 2012 income statement.2.Prepare the statement of owner's equity for the year.3.Prepare the year-end balance sheet.
4.Which financial statement reports A Plus's results of operations? Were 2012 operations successful? Cite specifics from the financial statements to support your evaluation.5.Which statement reports the company's financial position?Requirements1.Open these additional T-accounts: Accumulated depreciation—equipment; Depreciation expense—equipment; Supplies expense.2.Mindy Lawlor determines there are $40 in Lawn supplies left at May 31, 2012. Depreciation on the equipment was $30 for the month. Journalize any required adjusting journal entries.