Question

ncorporated in answers. Then determine whether owners equity will increase or decrease. Prepaid 6,000 for 3 months rent on 1 May. Adjustment was done for May. 2 Earned 4,000 of Subscriptions Revenue which had already being paid for by the client. 3 Work in Progress (for Services) is calculated to be 1,000. (Use accrued revenue). 4 Office Supplies totatled 3,000. 5 Accrue 8000 in Salaries Worksheet for the month ended 30 June Unadjusted TB Adjustments Dr Adjusted T Dr Account Dr Cr 290 Ref Cr Cash At Bank Office Supplies Prepaid Rent Accrued Revenue Salaries Payable Unearned Revenue Owners Capital Owners Capital Introduced Service Revenue Subscriptions Revenue Interest Expense Rent Expense 6000 4000 0 0 6000 18000 5000 24000 38000 1000 22000

Answer 1

	Unadjusted TB			Adjustments		Adjusted TB
	Dr	Cr	Ref	Dr	Cr	Dr	Cr
Cash at Bank	29000					29000
Office Supplies	6000		4		3000	3000
Prepaid Rent	4000		1		2000	2000
Accrued Revenue	0		3	1000		1000
Salaries Payable		0	5		8000		8000
Unearned Revenue		6000	2	4000			2000
Owners Capital		18000					18000
Owners Capital introduced		5000					5000
Service Revenue		24000	3		1000		25000
Subscriptions Revenue		38000	2		4000		42000
Interest expense	1000					1000
Rent expense	22000		1	2000		24000
Salaries expense	25000		5	8000		33000
Supplies expense	4000		4	3000		7000
Total	91000	91000		18000	18000	100000	100000
Owner's Equity will decrease