Question

PART 6: WORKSHEET 15 POINTS From the following data, make the following adjustments, and complete the worksheet for the month. a. Depreciation Expense is $500. b. Supplies remaining at end of period $75. c. Prepaid Insurance balance $400, $100 has expired. d. Wages for the 5-day work-week are $1,000, the month ended on a Wednesday. CR Account Trial Balance Adjustments Adj. Trial Bal. Income Stmt Balance Sheet DR CR DR CR DR CR DR CR DR Cash 750 Accts, Receivable 400 Supplies 250 Prepaid Ins. 400 Equipment 7,000 Accumulated Depreciation d Accts. Payable 900 Wages Payable a Capital 7.100 Fees Earned 900 Wages Expense 100 Depreciation Expense Supplies Expense Insurance Expense Totals 8.900 8.900

there is no format for this question. We need to make it by ourselves

Answer 1

Solution:

Part A: Worksheet

Account Titles Cash Account Receivable Supplies Prepaid Insurance Equipment Accumulated Depreciation Accounts Payable Wages Payable Capital Fees Earned Wages Expense Depreciation Expense Supplies Expense Insurance Expense Totals Trial Balance Adjustments Adjusted Trial Balance Income Statement Dr. (S) Cr. (S) Dr. (S) Cr. (S) Dr. (S) Cr. (S) Dr. (S) Cr. (S) 750.00 750.00 400.00 400.00 250.00 175.00 75.00 400.00 100.00 300.00 7,000.00 7,000.00 500.00 500.00 900.00 900.00 600.00 600.00 7,100.00 7,100.00 900.00 900.00 900.00 100.00 600.00 700.00 700.00 500.00 500.00 500.00 175.00 175.00 175.00 100.00 100.00 100.00 8,900.00 8,900.00 1,375.00 1,375.00 10,000.00 10,000.00 1,475.00 900.00 Balance Sheet Dr. (S) Cr. (S) 750.00 400.00 75.00 300.00 7,000.00 500.00 900.00 600.00 7,100.00 8,525.00 9.100.00 Net Income Totals (575.00) (575.00) 900.00 900.00 8,525.00 8,525.00

Part B: Classified Balance Sheet

LAWRENCE SERVICE COMPANY Classified Balance Sheet As on date September 30, 2018 $ $ ASSETS Current Assets Cash Accounts Receivable Prepaid Rent Office Supplies Non-Current Assets Equipment Less: Accumulated Depreciation 14,500 2.800 4.800 1,500 $ 40,000 (1,500) 38,500 Total S 62,100 S $ S LIABILITIES AND OWNER'S EQUITY Current Liabilities Accounts payable Unearned Revenue (Short-term) Non-Current Liabilities Notes Payable 9,000 1,000 20.000 Owner's Equity Owner's Capital 32.100 Total S 62,100

Working Notes:

LAWRENCE SERVICE COMPANY Statement of Changes in Owner's Capital For the month ended September 30, 2018 S Particulars Lawrence Capital Capital . September 01 Less: Withdrawals Profit for the period $ 18.100 (1,500) S 16.600 15,500 Capital as on September 30 S 32,100

LAWRENCE SERVICE COMPANY Statement of Profit & Loss Account For the month ended September 30, 2018 S Particulars Revenues Service Revenue S 27,500.00 Expenses Salaries Expense Rent Expense Supplies Expense Utilities Expense Depreciation Expense Total expenses Net Income $ 9,000.00 1.200.00 500.00 700.00 600.00 S 12,000.00 S 15,500.00