Requirement 4 Prepare adjusting entries using the following information in the

Requirement 4 prepare adjusting entries using the

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Requirement #4: Prepare adjusting entries using the following information in the General Journalbelow. Show your calculations!a) One month's insurance has expired.b) The remaining inventory of supplies is $375.c) The estimated depreciation on equipment is $175.d) The estimated income taxes are $3,200. General Journal Date Description (Account Name) Debit Credit Insurance Expense 400 Prepaid Insurance 400 Supplies Expense 525 Supplies 525 Depreciation Expense 175 Accumulated Depreciation 175 Income Tax Expense 3,200 Income Tax Payable 3,200 Requirement #5: Post the adjusting entries to the General Ledger T-accounts and compute adjusted balances. Just add to the balances that are already listed.
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Requirement #6: Prepare an adjusted trial balance in the space below. Melvin Plumbing Corporation Adjusted Trial Balance July 31 Account Name Debit Credit Cash 90005 Insurance 5325 Supplies 375 Equipment 11500 Accts Payable 10400 Common Stock 90000 Rent Expense 5500 Salary Expense 3300 Dividends 600 Service Revenue 16205 Accumulated Depreciation on Equip 175 Depreciation Expense 175 Income Tax Payable 3200 Income Tax Expense 3200 119980 119980
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Requirement #7: Prepare the financial statements for the Melvin Plumbing Corporation as of July 31 in the space You will only be preparing the income statement, statement of retained earnings, and the balanc The statement of cash flows is a required financial statement, but is not required for this case s Melvin Plumbing Corporation Melvin Plumbing Corporation Income Statement Statement of Retained Earnings For the Month Ending July 31 For the Month Ending July 31 Revenues: Retained Earnings, July 1 Revenue 16,205 Add: Net Income 3,105 Subtotal Expenses: Less: Dividends 600 Rent Expense 5,500 Retained Earnings, July 31 $ 2,505 Salaries Expense 3,300 Insurance Expense 400 Supplies Expense 525 Depreciation Expense 175 Income Tax Expense 3,200 Total Expenses 13,100 Net Income $ 3,105
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e below. ce sheet. study. Melvin Plumbing Corporation Balance Sheet July 31 Assets: Cash $ 90,005 Supplies 375 Prepaid Insurance 4,400 Equipment 11,500 Less: Accum. Depr. 175 Total Assets 106,455 Liabilities: Accounts Payable 10,400 Income Tax Payable 3,200 Total Liabilities 13,600 Stockholders' Equity: Common Stock 90,000 Retained Earnings 2,505 Total Stockholders' Equity 92,505 Total Liabilities and Stockholders' Equity $ 106,105
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