Question

trial balance

Honors Accounting~Case 7.2 Part 1 JournalEntries 1 Cash 25,000 Briggs, capital Prepaid rent Cash Office supplies Cash Office furniture 25,000 5,400 5,400 900 900 8 4,800 4,800 Accounts payable Advertising expense Cash Accounts receivable Fees earned 10 250 250 12 850 850 15 Cash 350 350 Fees earned Insurance expense Cash 18 300 300 20 Cash 5,000 Unearned fees 5,000 21 Cash 200 200 Accounts receivable 25 Accounts payable Cash 1,000 1,000 2,000 27 Briggs, drawing Cash 2,000 1,200 31 Salary expense Cash 1,200 Part 2 Trial Balance Cash ccounts receivable Office supplies Prepaid rent Office furniture Accounts payable Unearned fees Briggs, capital Briggs, drawing Fees earned Advertising expense Insurance expense Salary expense Total Module 3- Chapter7-Page 23 of 38

adjusting entries

income

owners equity

cash flows

balance sheet

solve each page (Part 3)

Answer 1

Trial Balance Debit ($ ) Credit ($)

Cash 19,500

Accounts Receivable 650

Office supplies 900

Prepaid rent   5,400

Office Furniture    4,800

Accounts Payable 3,800

Unearned fees 5,000

Briggs, capital 25,000

Briggs, drawing 2,000

Fees earned 1,200

Advertising expense 250

Insurance expense 300

Salary expense 1,200        

TOTAL 35,000 35,000

Adjusting Entries

a. Rent expense 5,400

Prepaid rent 5,400

b. Supplies expense 900

Office supplies 900

c. Depreciation expense(see note) 480

Accumulated depreciation 480

Income Statement

Fees earned $1,200

Less: Expenses

Prepaid rent $5,400

Advertising expense $250

Insurance $300

Salaries expense $1,200

Depreciation expense $480 $7,630

Net Loss From Operation $6,430

Statement of Owner's Equity

Briggs, Capital opening balance $-0-

Add: Contribution by owner $25,000

Less: Net loss $7,630

Less: Drawings by owner $2,000  

Briggs, Capital ending balance $15,730

Balance sheet

Cash $19,500    Accounts payable $3,800

Accounts Receivable $650 Unearned fees $5,000

Office utilities $900    Utilities payable $6,240

Prepaid rent $5,400      Briggs, capital     $15,730

Office furniture $4,800   

Accumulated Depreciation (480)   

Total Assets $30,770 Total Liabilities & Owner's Equity $30,770

Statement of Cash flows $

Operating Cash:

Cash received from customers 5,550

Cash paid for rent (5,400)

Cash paid for supplies (900)

Cash paid for advertising (250)

Cash paid for insurance (300)

Cash paid for salaries (1200)

Net Cash Flow from Operations (2,500)

Investing Cash flows:

Cash paid for office furniture 1,000

Financing Cash Flows:

Cash received from owner 25,000

Cash paid to owner    (2,000)

Net Cash Flow from Financing 23,000

Net change in Cash 19,500

NOTE:

• Please give Full information about Question( Case 7.2), Therefore, Adjusting entries required is incomplete. Income statement, statement owners equity, balance sheet, these are prepared on the basis of information you given. These may be incorrect because of incorrect information about depreciation, unearned revenues earned during the year, utilities payable, etc.
• Trial balance and Statement of Cash flow is correct.
• If you give needed info. i can help you.