Question

A completed worksheet for The King Group is given below. The King Group Worksheet Month Ended December 31, 2019 Trial Balance Adjustments Adjusted Trial Balance Income Statement Balance Sheet Account Name Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit Cash 93,300 93,300 93,300 Accounts Receivable 12,900 12,900 12,900 Supplies 7,800 ( a) 3,300 4,500 4,500 Prepaid Advertising 31,200 ( b) 3,900 27,300 27,300 Equipment 82,500 82,500 82,500 Accumulated Depreciation —Equipment ( c) 3,300 3,300 3,300 Accounts Payable 12,900 12,900 12,900 Delva King, Capital 141,000 141,000 141,000 Delva King, Drawing 9,300 9,300 9,300 Fees Income 100,650 100,650 100,650 Supplies Expense ( a) 3,300 3,300 3,300 Advertising Expense ( b) 3,900 3,900 3,900 Depreciation Expense—Equipment ( c) 3,300 3,300 3,300 Salaries Expense 15,300 15,300 15,300 Utilities Expense 2,250 2,250 2,250 Totals 254,550 254,550 10,500 10,500 257,850 257,850 28,050 100,650 229,800 157,200 Net Income 72,600 72,600 100,650 100,650 229,800 229,800 Required: Record the adjusting entries in the general journal (transactions 1-3). Record the closing entries in the general journal (transactions 4-7). Post the adjusting entries and the closing entries to the general ledger accounts. Hint: Be sure to enter beginning balances. Prepare a post-closing trial balance. Analyze: How many accounts are listed in the adjusted and post-closing trial balance section?

Answer 1

King Group Adjusting Enteries Date Particulars 31.12.2019 Supplies Expense a/c To Supplies (Supplies expensed) Dr. Debit in $ Credit in $ 3300 3300 Post Closing Trial Balance For the period ending 31.12.2019 Particulars Cash Accounts Receivable Supplies Prepaid Advertising Equipment Accumulated Depreciation - Equipment Accounts Payable Delva King, Capital Totals Dr. 3900 31.12.2019 Advertising Expense a/c To Prepaid Advertising (Advertising expensed) Debit in $ Credit in $ 93300 12900 4500 27300 82500 3300 12900 204300 220500 220500 3900 3300 31.12.2019 Depreciation Expense-Equipment a/c Dr. To Accumulated Depreciation - Equipment (To record depreciation) 3300 Closing Enteries Date Particulars 31.12.2019 Fees Income a/c To Income Summary (Revenue accounts closed) Dr. Debit in $ Credit in $ 100650 100650 28050 31.12.2019 Income Summary a/c To Supplies Expense To Advertising Expense To Depreciation Expense-Equipment To Salaries Expense To Utilities Expense (Expense accounts closed) 3300 3900 3300 15300 2250 Dr. 72600 31.12.2019 Income Summary a/c To Delva King, Capital (Profits transferred) 72600 9300 31.12.2019 Delva King, Capital a/c Dr. To Delva King, Drawing (Drawings charged) 9300

Supplies Date 31.12.2019 31.12.2019 Debit in $ Credit in $ Balance 7800 3300 4500 Salaries Expense Date Debit in $ Credit in $ Balance 31.12.2019 15300 31.12.2019 15300 Prepaid Advertising Date Debit in $ Credit in $ Balance 31.12.2019 31200 31.12.2019 3900 27300 Utilities Expense Debit in $ Credit in $ Balance 31.12.2019 2250 31.12.2019 22500 Accumulated Depreciation - Equipment Date Debit in $ Credit in $ Balance 31.12.2019 3300 3300 Supplies Expense Date Debit in $ Credit in $ Balance 31.12.2019 3300 31.12.2019 33000 Delva King, Capital Date Debit in $ Credit in $ Balance 31.12.2019 141000 31.12.2019 72600 213600 31.12.2019 9300 204300 Depreciation Expense-Equipment Date Debit in $ Credit in $ Balance 31.12.2019 3300 3300 31.12.2019 33000 Delva King, Drawing Date Debit in $ Credit in $ Balance 31.12.2019 9300 31.12.2019 9300 Advertising Expense Date Debit in $ Credit in $ Balance 31.12.2019 3900 3900 31.12.2019 39000 Income Summary Date Debit in $ Credit in $ Balance 31.12.2019 100650 100650 31.12.2019 28050 72600 31.12.2019 72600 O Fees Income Date Debit in $ Credit in $ Balance 31.12.2019 100650 31.12.2019 100650