Question

Len John started his own consulting firm, John Consulting, on June 1,2022. The trial balance at June 30 is as follows. JOHN CPrepare the adjusting entries for the month of June. (If no entry is required, select No Entry for the account titles and en

Cash Accounts Receivable Supplies Prepaid Insurance 6/30 Bal 6/30BL 2640 Equipment Accumulated Depreciation-Equipment Account

Salaries and Wages Payable Uneared Service Revenue Common Stock Service Revenue Salaries and Wages Expense 4.000 Rent Expense

Utilities Expense Supplies Expense

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Answer #1
No Account Title and Explanation Debit Credit
1) Supplies expense (1997-720) $ 1,277
           Supplies $ 1,277
(To record supplies expenses during the year)
2) Utilities expense $ 270
       Accounts payable $ 270
( To record utility bill expenses is not paid )
3) Insurance expense ($2,880/12 months) $ 240
              Prepaid Insurance $ 240
(To record insurance policy is for a year )
4) Unearned service revenue $ 4,120
                              Service Revenue $ 4,120
(To record service performed of unearned service )
5) Salaries and wages expense $ 1,400
                    Salaries and wages payable $ 1,400
(To record accrued salaries )
6) Depreciation Expense $ 250
     Accumulated Depreciation -Equipment $ 250
(To record Depreciation Expense for 1 month)
7) Accounts receivable $ 4,250
                              Service Revenue $ 4,250
(To record service performed but not recorded )

.

                                               CASH                           Accounts Receivable
Beg.Bal. $ 6,850 Beg.Bal. $ 7,000
7) $ 4,250
End Bal. $ 6,850 End Bal. $ 11,250
                                              Supplies                              Prepaid Insurance
Beg.Bal. $ 1,997 Beg.Bal. $ 2,880
1) $ 1,277 3) $ 2,40
End Bal. $ 720 End Bal. $ 2,640
                                        Equipment Accumulated Depreciation-Equipment
Beg.Bal. $ 15,000 Beg.Bal. $ 0
6) $ 250
End Bal. $ 15,000 End Bal. $ 250
                            Accounts Payable             Salaries and wages Payable    
Beg.Bal. $ 4,255 Beg.Bal. $ 0
2) $ 270 5) $ 1,400
End Bal. $ 4,525 End Bal. $ 1,400
          Unearned service revenue                                  Common stock
Beg.Bal. $ 5,200 Beg.Bal. $ 21,997
4) $ 4,120
End Bal. $ 1,080 End Bal. $ 21,997
                     Service Revenue             Salaries and wages expense
Beg.Bal. $ 8,300 Beg.Bal. $ 4,000
4) $ 4,120 5) $ 1,400
7) $ 4,250
End Bal. $ 16,670 End Bal. $ 5,400
                                   Rent Expense                   Depreciation Expense
Beg.Bal. $ 2,025 Beg.Bal. $ 0
6) $ 250
End Bal. $ 2,025 End Bal. $ 250
                          Insurance Expense                              Utilities Expense
Beg.Bal. $ 0 Beg.Bal. $ 0
3) $ 240 2) $ 270
End Bal. $ 240 End Bal. $ 270
                           Supplies Expense
Beg.Bal. $ 0
1) $ 1,277
End Bal. $ 1,277
                                                       JOHN CONSULTING
                                                    Adjusted Trial balance
                                                                   June 30, 2022
Accounts Debit Credit
Cash $ 6,850
Accounts receivable $ 11,250
Supplies $ 720
Prepaid Insurance $ 2,640
Equipment $ 15,000
Accumulated Depreciation -Equipment $ 250
Accounts Payable $ 4,525
Salaries and wages payable $ 1,400
Unearned service revenue $ 1,080
Common stock $ 21,997
Service Revenue $ 16,670
Salaries and wages Expense $ 5,400
Rent Expense $ 2,025
Depreciation Expense $ 250
Insurance Expense $ 240
Utilities Expense $ 270
Supplies Expense $ 1,277
Totals $ 45,922 $ 45,922
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