Question

The trial balance before adjustment of Heis Delivery Services at the end of its first month of operations follows:

Heis Delivery Services Trial Balance June 30, 2021
		Debit		Credit
Cash		$4,400
Prepaid Insurance		12,000
Supplies		1,800
Equipment		112,000
Notes Payable				$69,000
Accounts Payable				2,500
Unearned Revenue				18,000
A. Heis, Capital				41,800
A. Heis, Drawings		3,600
Service Revenue				25,000
Salaries Expense		18,000
Advertising Expense		1,600
Repairs Expense		900
Rent Expense		2,000
		$156,300		$156,300

Additional Information:

1.		The note payable was issued on June 1 to purchase the equipment. The note is due in two years, on June 1, 2023, and carries interest at the rate of 6%. The principal is due at maturity and the interest is payable at the beginning of each month.
2.		Additional advertising costs of $100 have been incurred during the month of June, but the invoices were not received until July 10.
3.		Customers having received delivery services in June but for whom invoices had not yet been issued amounted to $4,000. Invoices were issued on July 5.
4.		Employees are paid a combined total of $200 per day for a five-day work week from Monday to Friday. As at June 30, a Monday, one day of salaries are unpaid. The next payday is Friday, July 4.

Prepare the adjusting entry at June 30 and subsequent entry (if required) in July for each of the above transactions. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

No.		Date	Account Titles and Explanation	Debit	Credit
1.		June 30
		July 1
2.		June 30
		July 10
3.		June 30
		July 5
4.		June 30
		July 4

Answer 1

The answer has been presented in the supporting sheet. All the parts has been solved with detailed explanation and calculation. For detailed answer refer to the supporting sheet.

No. Credit Debit $ 345 $ 345 345 $ 100 $ 100 Answer Date Account Title and Explanation 1 June 30. Interest expense (69000*6%/12) Interest Payable July 1. Interest Payable Cash 2 June 30. Advertising expense accrued expense July 10. Accrued expense advertising expense payable 3 June 30. Accrued revenue Service revenue July 5. Account receivable accrued revenue 4 June. 30 Salaries expense Salaries Payable July 4. Salaries expense (200*4) Salary Payable Cash $ 100 $ 4,000 $ 4,000 $ 4,000 $ 4,000 $ 200 $ 200 $ $ 800 200 $ 1,000 For any help please comment in the comment box Thank You