LO1
The totals of T accounts are called footings. To figure out the account balance, subtract the total of the smaller side from the total of the larger side. Record the account balance on the larger side.
|
LO5
A trial balance is a list of all account balances in two columns—one labeled “Debit” and one labeled “Credit.” The trial balance shows that both sides of the accounting equation are equal. The heading consists of the company name, the title of the form (trial balance), and the date.
Using the following account balances, prepare a trial balance for Pat Martin’s Music Entertainment as of May 31, 20__.
|
|
List all the accounts in the proper order as described in the textbook. If an amount box does not require an entry, leave it blank or enter "0".
Pat Martin's Music Entertainment | ||
Trial Balance | ||
May 31, 20-- | ||
Account | Debit Balance | Credit Balance |
$ | $ | |
Totals | $ | $ |
LO6
Financial Statements include: (a) An income statement shows the results of operations of a business for a period of time. It includes revenue and expense accounts and reports either a net income or a net loss. (b) A statement of owner's equity shows the activity in the owner's equity, or Capital account, for a period of time. It includes the balance in the Capital account at the beginning of the period plus any additional investments and any increase or decrease in capital as the result of a net income (or a net loss) minus any withdrawals. (c) A balance sheet shows the financial condition of a business at a particular date in time. It summarizes the balances of the asset, liability, and owner's equity accounts on a given date.
|
|
Using the above account balances, prepare an Income Statement for Pat Martin's Music Entertainment as of May 31, 20__.
Pat Martin's Music Entertainment | ||
Income Statement | ||
May 31, 20-- | ||
Revenues | ||
$ | ||
Expenses | ||
$ | ||
Total Expenses | ||
$ |
Using the above account balances, prepare a Statement of Owner’s Equity for Pat Martin’s Music Entertainment as of May 31, 20__. If an amount is zero, enter "0".
Pat Martin's Music Entertainment | ||
Statement of Owner's Equity | ||
May 31, 20-- | ||
$ | ||
$ | ||
Subtotal | $ | |
$ |
Using the above account balances, prepare a Balance Sheet for Pat Martin’s Music Entertainment as of May 31, 20__.
Pat Martin's Music Entertainment | ||
Balance Sheet | ||
May 31, 20-- | ||
Assets | ||
$ | ||
Total Assets | $ | |
Liabilities | ||
$ | ||
Owner's Equity | ||
Total Liabilities and Owner's Equity | $ |
LO 6 :
a.
Pat Martin's
Music Entertainment Income Statement For the period ended May 31, 20... |
||
$ | $ | |
Revenues | ||
Music Fees | 5,925 | |
Expenses | ||
Advertising Expense | 750 | |
Rent Expense | 1,250 | |
Wages Expense | 525 | |
Utilities Expense | 135 | |
Total Expenses | 2,660 | |
Net Income | $ 3,265 |
b.
Pat Martin's
Music Entertainment Statement of Owner's Equity For the period ended May 31, 20.... |
|
P. Martin, Capital, Beginning | $ 22,230 |
Add: Net Income | 3,265 |
Sub-total | 25,495 |
Less: P. Martin, Drawing | (1,000) |
P. Martin, Capital, May 31 | $ 24,495 |
c.
Pat Martin's
Music Entertainment Balance Sheet May 31, 20... |
|
Assets | $ |
Cash | 22,035 |
Accounts Receivable | 325 |
Supplies | 500 |
Music Equipment | 2,685 |
Total Assets | $ 25,545 |
Liabilities | |
Accounts Payable | $ 1,050 |
Owner's Equity | |
P. Martin, Capital | $ 24,495 |
Total Liabilities and Owner's Equity | $ 25,545 |
LO1 The totals of T accounts are called footings. To figure out the account balance, subtract...
Post the adjusting entries to the ledger accounts. Enter the totals from the trial balance as beginning account balances. (Post entries in the order of journal entries presented in the previous part.) arance as beginni Cash Date Explanation Ref. Debit No. 101 Balance Credit May 31 Balance Accounts Receivable Date Explanation No. 112 Debit Credit May 31 Balance > May 31 Adjusting I Supplies Date Explanation Balance May 31 - = > May 31 Adjusting Prepaid Insurance Date Explanation May...
The consulting firm of Martin and Associates uses the accounts listed below. Record the opening balances as of December 1, 2019 on the normal balance side of the following T-Accounts. List of accounts with their opening balances: -0- -O- Cash $ 5,900 Fees Income Accounts Receivable 8,900 Rent Expense Utilities Office Equipment 8,400 Expense Accounts Payable 7,000 Salaries Expense Joan Martin, Capital 16,200 Joan Martin, Drawing -0- The firm has the following transactions during the month of December 2019. Record...
Kohl's Home Repair Trial Balance May 31, 20-- Debit Credit Account Balance Balance Cash 21,805 Accounts Receivable 2,700 < Office Supplies 160 Prepaid Insurance 1,100 Equipment 8,200 Van 6,000 Accounts Payable Wilhelm Kohl, Capital Wilhelm Kohl, Drawing 4,400 25,000 2,900 Service Fees 15,500 Rent Expense 850 Wilhelm Kohl, Capital 25,000 Wilhelm Kohl, Drawing 2,900 Service Fees 15,500 850 Rent Expense Wages Expense 800 Phone Expense 230 Gas and Oil Expense 155 Totals 44,900 44,900 Change in owner's equity: $25,000 Wilhelm...
The entry to close the revenue accounts includes a * Debit to income summary $32,300 Debit to Revenues for $37,100 Credit to income summary $35,300 Credit to Revenues for $28,300 The entry to close the expenses accounts includes a * Debit to income summary $12,900 Credit to income summary $12,900 Debit to income summary for $24,000 Credit to total expenses for $16,000 After the revenue and expense accounts have been closed, the balance of Income Summary will be * Credit...
Which of the following accounts is an owner's equity account? Cash Accounts Payable Prepaid Insurance Ross Morris, Capital 2. The gross increases in owner's equity attributable to business activities are called a. assets b. liabilities c. revenues d. expenses 3. The debit side of an account a. depends on whether the account is an asset, liability, or owner's equity b. can be either side of the account depending on how the accountant set up the system c. is the right...
For the accounts listed below, identify the type of account (asset, liability, owner’s capital, owner’s drawing, revenue, or expense), the normal balance (debit or credit), and which financial statement you would find the account on (income statement, owner’s equity statement, or balance sheet). Type of Account Normal Balance Financial Statement A Cash B Accounts Payable C Rent Expense D Accumulated Depreciation E Interest Revenue F Notes Payable G Advertising Expense H Owner's Drawings I Equipment J Owner's Capital K Sales...
Post the adjusting entries to the ledger accounts. Enter the totals from the trial balance as beginning account balances. (Post entries in the order of journal entries presented in the previous part.) Sharon Lee started her own consulting firm, Lee Consulting, on May 1, 2020. The trial balance at May 31 is as follows. LEE CONSULTING Trial Balance May 31, 2020 Credit Debit $4,600 5.900 2.000 4.800 10.200 Account Number 101 112 126 130 149 201 209 301 400 726...
T Accounts, Adjusting Entries, Financial Statements, and Closing Entries; optional end-of-period spreadsheet The unadjusted trial balance of La Mesa Laundry at August 31, 20Y5, the end of the fiscal year, follows: La Mesa Laundry Unadjusted Trial Balance August 31, 20Y5 Debit Balances Credit Balances Cash 3,800 Laundry Supplies 9,000 Prepaid Insurance 6,000 Laundry Equipment 180,800 Accumulated Depreciation 49,200 Accounts Payable 7,800 Common Stock 15,000 Retained Earnings 80,000 Dividends 2,400 Laundry Revenue 248,000 Wages Expense 135,800 Rent Expense 43,200 Utilities Expense...
T Accounts, Adjusting Entries, Financial Statements, and Closing Entries; optional end-of-period spreadsheet The unadjusted trial balance of La Mesa Laundry at August 31, 20Y5, the end of the fiscal year, follows: La Mesa Laundry Unadjusted Trial Balance August 31, 20Y5 Debit Balances Credit Balances Cash 3,800 Laundry Supplies 9,000 Prepaid Insurance 6,000 Laundry Equipment 180,800 Accumulated Depreciation 49,200 Accounts Payable 7,800 Common Stock 15,000 Retained Earnings 80,000 Dividends 2,400 Laundry Revenue 248,000 Wages Expense 135,800 Rent Expense 43,200 Utilities Expense...
Debit Credit Balance Balance Account Cash 21,805 Accounts Receivable 2,700 Office Supplies 160 Prepaid Insurance 1,100 Equipment 8,200 Van 6,000 Accounts Payable 4,400 Wilhelm Kohl, Capital 25,000 Wilhelm Kohl, Drawing 2,900 Service Fees 15,500 Rent Expense 850 Wages Expense 800 Phone Expense 230 Gas and Oil Expense 155 Totals 44,900 44,900 Change in owner's equity: Check My Work All work saved. Rent Expense 850 Wages Expense 800 230 Phone Expense I Gas and Oil Expense 155 Totals 44,900 44,900 Change...