Question

Only for Requirement 2B, what am i missing and do wrong?

Serial Problem Business Solutions LO P1, P2, P3, P4, P5 After the success of the company's first two months, Santana Rey continues to operate Business Solutions. The November 30, 2017, unadjusted trial balance of Business Solutions (reflecting its transactions for October and November of 2017) follows. Credit Debit $ 38, 264 12,618 2,545 2,220 3,300 8,000 $ 0 20,000 0 No. 101 106 10 126 128 192 131 163 164 167 168 20 201 25 210 236 307 318 20 319 403 - 612 613 623 637 640 652 655 Account Title Cash Accounts receivable Computer supplies Prepaid insurance Prepaid rent office equipment Accumulated depreciation-office equipment Computer equipment Accumulated depreciation-Computer equipment counts payable Wages payable Unearned computer services revenue Common stock Retained earnings Dividends Computer services revenue Depreciation expense-office equipment Depreciation expense-Computer equipment Wages expense Insurance expense Rent expense Computer supplies expense Advertising expense Mileage expense Miscellaneous expenses Repairs expense-Computer Totals 0 73,000 0 5,600 25, 659 0 0 2,625 0 1,728 676 704 677 684 250 805 $ 98,659 $98,659 $98, 659

Answer 1

The accounts which need to be updated are:

Depreciation Expense - Office Equipment Date Debit Credit Balance Dec 1 $ Dec 31 $ 400 $ 400 Dec 31 $ 400 $ - Computer Service Revenue Date Debit Credit Balance Dec 1 $ 25,659 Dec 20 $ 5,625 $ 31,284 Dec 31 $ 31,284 $ Depreciation Expense - Computer Equipment Date Debit Credit Balance Dec 1 $ Dec 31 $ 1,250 $ 1,250 Dec 31 $ 1,250 $ Income Summary Account Date Debit Credit Balance Dec 31 $ 31,284 $ 31,284 Dec 31 $ 400 $ 30,884 Dec 31 $ 1,250 $ 29,634 Dec 31 $ 3,875 $ 25,759 Dec 31 $ 555 $ 25,204 Dec 31 $ 2,475 $ 22,729 Dec 31 $ 3,065 $ 19,664 Dec 31 $ 2,753 $ 16,911 Dec 31 $ 896 $ 16,015 Dec 31 $ 1,305 $ 14,710 Dec 31 $ 250 $ 14,460 Dec 31 $ 14,460 $ Wages Expense Debit Credit Balance $ 2,625 $ 750 $ 3,375 $ 500 $ 3,875 $ 3,875$ Date Dec 1 Dec 10 Dec 31 Dec 31 Date Dec 1 Insurance Expense Debit Credit Balance $ $ 555 $ 555 $ 555$ Dec 31 Dec 31 Retained Earnings Date Debit Credit Balance Dec 1 $ . Dec 31 $ 14,460 $ 14,460 Dec 31 $ 7,100 $ 7,360 Date Dec 1 Dec 31 Rent Expense Debit Credit Balance $ $- $ $ 2,475 $ 2,475 $ 2,475 $ Dec 31 Date Dec 1 Computer Supplies Expense Debit Credit Balance $ - $ 3,065 $ 3,065 $ 3,065 $ Dec 31 Dec 31 Date Dec 1 Dec 2 Advertising Expense Debit Credit Balance $ 1,728 $ 1,025 $ 2,753 $ 2,753 $ Dec 31 Date Dec 1 Dec 29 Dec 31 Mileage Expense Debit Credit Balance $ 704 $ 192 $ 896 $ 896 $ Date Dec 1 Dec 03 Dec 31 Repairs Expense Debit Credit Balance $ 805 $ 500 $ 1,305 $ 1,305 $ Date Dec 1 Dividends Debit Credit Balance $ 5,600 $ 1,500 $ 7,100 $ 7,100 $ Dec 03 Dec 31

Workings

The following changes need to be made:

Close all the expense accounts into Income Summary by crediting these account will the complete balance.

Close the revenue account into Income Summary by debiting this account will the complete balance.

Close the income summary account into retained earnings.

Close the dividends account into retained earnings.

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