Question

Ime Saved Help Required Information Problem 3-8B Complete the full accounting cycle (LO3-3, 3-4, 3-5, 3-6, 3-7) [The following information applies to the questions displayed below.) The general ledger of Pipers Plumbing at January 1, 2021, includes the following account balances: Credits Debits $ 4,000 9,000 3,000 26,000 Accounts Cash Accounts Receivable Supplies Equipment Accumulated Depreciation Accounts Payable Utilities Payable Deferred Revenue Common Stock Retained Earnings Totals $ 6,000 4,000 5,000 D 18,000 9,000 $42,000 $42,000 The following is a summary of the transactions for the year: 1. January 24 Provide plumbing services for cash, $15,000, and on account, $60,000. 2. March 13 Collect on accounts receivable, $48,000. 3. May 6 Issue shares of common stock in exchange for $10,000 cash. 4. June 30 Pay salaries for the current year, $32,000. 5. September 15 Pay utilities of $5,000 from 2020 (prior year). 6. November 24 Receive cash in advance from customers, $8,000. 7. December 30 Pay $2,000 cash dividends to stockholders. The following information is available for the adjusting entries.

Answer 1

Solution:

PIPERS PLUMMING
Unadjusted Trial Balance
December. 31, 2021
Accounts	Debit	Credit
Cash	$        46,000	$                 -
Accounts Receivable	$        21,000	$                 -
Supplies	$          3,000	$                 -
Equipment	26000	$                 -
Accumulated Deprication	$                 -	$          6,000
Accounts Payable	$                 -	$          4,000
Utilities Payable	$                 -	$          5,000
Deferred Revenue	$                 -	$          8,000
Common stock	$                 -	$        28,000
Retained Earnings	$                 -	$          9,000
Dividend	$          2,000	$                 -
Service Revenue	$                 -	$        75,000
Salaries Expense	$        32,000	$                 -
Utility Expense	$          5,000	$                 -
Supplies Expense	$                 -	$                 -
Depreciation Expense	$                 -	$                 -
Totals	$      135,000	$      135,000

Working:

PIPERS PLUMMING
Unadjusted Trial Balance
December. 31, 2021
Accounts	Debit	Credit
Cash	$        46,000	$                 -
Accounts Receivable	9000+60000-48000	$                 -
Supplies	$          3,000	$                 -
Equipment	26000	$                 -
Accumulated Depreication	$                 -	$          6,000
Accounts Payable	$                 -	$          4,000
Utilities Payable	$                 -	$          5,000
Deferred Revenue	$                 -	$          8,000
Common stock	$                 -	18000+10000
Retained Earnings	$                 -	$          9,000
Dividend	$          2,000	$                 -
Service Revenue	$                 -	15000+60000
Salaries Expense	$        32,000	$                 -
Utility Expense	$          5,000	$                 -
Supplies Expense	$                 -	$                 -
Depreciation Expense	$                 -	$                 -
Totals	$      135,000	$      135,000