Question

SPARKLE CLEANING SERVICE

Problem Data

For the Month Ended July 31, 2016

Fred Severini opened SPARKLE Cleaning Service on July 1, 2016. During July, the company completed the following transactions.

The chart of accounts for SPARKLE Cleaning Service contains the following accounts:

No. 101 Cash, No. 112 Accounts Receivable, No. 128 Supplies, No. 130 Prepaid Insurance, No. 157 Equipment, No. 158 Accumulated Depreciation - Equipment,

No. 201 Accounts Payable, No. 212 Salaries and Wages Payable, No. 311 Common Stock, No. 320 Retained Earnings, No. 332 Dividends, No. 350 Income Summary, No. 400 Service Revenue,

No. 633 Gasoline Expense, No. 634 Supplies Expense, No. 711 Depreciation Expense, No. 722 Insurance Expense, and No. 726 Salaries and Wages Expense.

Requirements

(a) Journalize and post the July transactions. Transactions should be posted to both the general journal and the respective ledger account.

(b) Prepare a trial balance at July 31 on a worksheet. Trial balance should total $ 31,400

(c) Enter the following adjustments on the worksheet, and complete the worksheet.

(d) Prepare the income statement and retained earnings statement for July, and a classified balance sheet at July 31,20 ×. N (e) Journalize and post the adjusting entries. Use page J 2 of the general journal. Do not forget to post these entries to the resp

(e) Journalize and post the adjusting entries. Use page J 2 of the general journal. Do not forget to post these entrie (f) Journalize and post the closing entries, and complete the closing process. Use page-13 of the general internal,

(f) Journalize and post the closing entries, and complete the closing process. Use (g) Prepare a post-closing trial balance at July 31 . Final balance will be $ 27,925

Answer 1