Question

The trial balances before and after adjustment for Marigold Corp. at the end of its fiscal year are presented below. Marigold Corp. Trial Balance August 31, 2020 Before Adjustment Dr. Cr. Cash $10,100 8,700 2,500 3,900 After Adjustment Dr. Cr. $10,100 10,000 600 2,700 14,400 $4,600 5,800 1,300 700 14,400 $3,500 5,800 0 1,500 Accounts Receivable Supplies Prepaid Insurance Equipment Accumulated Depreciation Equipment Accounts Payable Salaries and Wages Payable Unearned Rent Revenue Common Stock Retained Earnings Service Revenue Rent Revenue Salaries and Wages Expense Supplies Expense Rent Expense Insurance Expense Depreciation Expense 12,500 3,600 33,900 10,900 12,500 3,600 35,200 11,700 16,900 0 18,200 1,900 15,200 1,200 15,200 0 0 1,100 $71,700 $71,700 $75,400 $75,400

Answer 1

Adjustuing Entries: Date Account Titles and Explanation Debit Credit Aug 31 Accounts receivable $1,300 Service revenue $1,300 (To record accrued revenue) $1,900 Aug.31 Supplies expense Supplies (To record supplies used) $1,900 Aug 31 Insurance expense Prepaid insurance (To record expired insurance) $1,200 $1,200 $1,100 Aug 31 Depreciation expense Accumulated depreciation (To record depreciation) $1,100 $1,300 Aug 31 Salaries and wages expense Salaries and wages payable (To record accrued salaries) $1,300 $800 Aug 31 Unearned Revenue Rent Revenue (To record rent earned) $800