Preparing a post-closing trial balance [10-15 min]Review your answers from Exercises.Requi...

Preparing a post-closing trial balance [10-15 min]

Review your answers from Exercises.

Requirements

1. Complete Telegraphic Link’s worksheet for the month ended November 30, 2012.

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2. How much was net income for November?

Exercise 1

Preparing a worksheet and using it to calculate net income

The trial balance of Telegraphic Link at November 30, follows:

Additional information at November 30, 2012:

a. Accrued service revenue, $600.

b. Depreciation, $300.

c. Accrued salary expense, $800.

d. Prepaid rent expired, $500.

e. Supplies used, $100.

Requirements

1. Complete Telegraphic Link’s worksheet for the month ended November 30, 2012.

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2. How much was net income for November?

Exercise 2

Using the worksheet, and posting adjusting and closing entries [20-30 min]

Consider the entries prepared in Exercise.

Exercise

Journalizing adjusting and closing entries [15-20 min]

Use your answer from Exercise 1.

Requirement

1. Journalize Telegraphic Link’s adjusting and closing entries at November 30, 2012.

Requirements

1. Set up T-accounts for those accounts affected by the adjusting and closing entries in Exercise 2.

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2. Post the adjusting and closing entries to the accounts; denote adjustment

amounts by Adj, closing amounts by Clo, and balances by Bal. Double underline

the accounts with zero balances after you close them, and show the ending balance

in each account.

Requirement

1. Prepare the post-closing trial balance of Telegraphic Link at November 30, 2012.

Exercise 1

Preparing a worksheet and using it to calculate net income

The trial balance of Telegraphic Link at November 30, follows:

Additional information at November 30, 2012:

a. Accrued service revenue, $600.

b. Depreciation, $300.

c. Accrued salary expense, $800.

d. Prepaid rent expired, $500.

e. Supplies used, $100.

Requirements

1. Complete Telegraphic Link’s worksheet for the month ended November 30, 2012.

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2. How much was net income for November?

Exercise 2

Journalizing adjusting and closing entries

Use your answer from Exercise.

Requirement

1. Journalize Telegraphic Link’s adjusting and closing entries at November 30, 2012.

Exericse

Preparing a worksheet and using it to calculate net income

The trial balance of Telegraphic Link at November 30, follows:

Additional information at November 30, 2012:

a. Accrued service revenue, $600.

b. Depreciation, $300.

c. Accrued salary expense, $800.

d. Prepaid rent expired, $500.

e. Supplies used, $100.