Question

Prepare a trial balance at January 31, 2020, in the trial balance columns of the worksheet. Complete the worksheet using the following additional information. 1. Office supplies at January 31 total $900. 2. Insurance coverage expires on October 31, 2020. 3. Annual depreciation on the equipment is $1,500. 4. Interest of $50 has accrued on the note payable. SUNLAND COMPANY Worksheet For the Month Ended January 31, 2020 Adjustments Adjusted Trial Balance Trial Balance Income Statement Balance Sheet Dr. Cr. Account Titles Dr. Dr. Dr. Cash 46908 46908 - Accounts Receivable 24100 24100 Notes Receivable 41000 9-9-3-3- - Inventory PEPPEPPE - Supplies - - - Prepaid Insurance 133 . கர்மலை 9:25 PM

a) Prepare Closing entries

b) Post adjusting and closing entries (just need help with owner's capital & Income Summary)

c) Prepare a post-closing trial balance

d) Determine whether the subsidiary ledgers agree with the control accounts in the general ledger

Answer 1

1	Date	Account Titles and Explanation		Debit	Credit
	Jan 31	Sales Revenue		81,700
		Income Summary			81,700
		(To close revenue account)
	Jan 31	Income Summary		59,481
		Sales Return and Allowances			300
		Sales Discount			116
		Cost of Goods Sold			48,840
		Salaries and Wages Expense			7,400
		Rent Expense			1,400
		Supplies Expense			1,100
		Insurance Expense			150
		Depreciation Expense			125
		Interest Expense			50
		(To close expense account)
	Jan 31	Income Summary		22,219
		Owner's Capital			22,219
		(To close net income)
	Jan 31	Owner's Capital		800
		Owner's Drawings			800
		(To close drawings)
2	Owner's Capital					No. 301
	Date	Explanation	Ref.	Debit	Credit	Balance
	Jan 1	Balance				76,300
	Jan 31	Close entry	G1		22,219	98,519
	Jan 31	Close entry	G1	800		97,719
	Owner's Drawing					No. 306
	Date	Explanation	Ref.	Debit	Credit	Balance
	Jan 15		CP1	800		800
	Jan 31	Close entry	G1		800	-
	Income Summary					No. 350
	Date	Explanation	Ref.	Debit	Credit	Balance
	Jan 31	Close entry	G1		81,700	81,700
	Jan 31	Close entry	G1	59,481		22,219
	Jan 31	Close entry	G1	22,219		-
3		SUNLAND CO.
		Post-Closing Trial Balance
		January 31, 2020
				Debit	Credit
		Cash		46,908
		Accounts Receivable		24,100
		Notes Receivable		41,000
		Inventory		26,586
		Supplies		900
		Prepaid Insurance		1,350
		Equipment		7,350
		Accum. Depreciation - Equipment			1,725
		Notes Payable			17,000
		Accounts Payable			31,700
		Interest Payable			50
		Owner's Capital			97,719
		Total		148,194	148,194