Problem 2-9 (Algo) Accounting cycle; unadjusted trial balance through closing [LO2-4, 2-6, 2-8]The unadjusted trial balance as of December 31, 2021, for the Bagley Consulting Company appears below. December 31 is the company’s reporting year-end. Account TitleDebits Credits Cash12,500 Accounts receivable9,750 Prepaid insurance3,900 Land250,000 Buildings77,500 Accumulated depreciation—buildings 31,000 Office equipment114,000 Accumulated depreciation—office equipment 45,600 Accounts payable 31,300 Salaries payable 0 Deferred rent revenue 0 Common stock 290,000 Retained earnings 50,100 Service revenue 92,500 Interest revenue 5,600 Rent revenue 7,200 Salaries expense40,000 Depreciation expense0 Insurance expense0 Utilities expense24,700 Maintenance expense20,950 Totals553,300 553,300 Information necessary to prepare the year-end adjusting entries appears below.The buildings have an estimated useful life of 50 years with no salvage value. The company uses the straight-line depreciation method.The office equipment is depreciated at 10 percent of original cost per year.Prepaid insurance expired during the year, $1,950.Accrued salaries at year-end, $1,650.Deferred rent revenue at year-end should be $1,150. Required:1. From the trial balance and information given, prepare adjusting entries.2. Post the beginning balances and adjusting entries into the appropriate T-accounts.3. Prepare an adjusted trial balance.4. Prepare closing entries.5. Prepare a post-closing trial balance.Prepare a post-closing trial balance. BAGLEY CONSULTING COMPANYPost-Closing Trial BalanceAccount TitleDebitsCreditsCash$ Accounts receivable Prepaid insurance Land Buildings Accumulated depreciation—buildings $Office equipment Accumulated depreciation—office equipment Accounts payable Salaries payable Deferred rent revenue Common stock Retained earnings Totals$$ Close the revenue accounts using Retained Earnings.Close the expense accounts using Retained Earnings. DateGeneral JournalDebitCreditDecember 31, 2021 IVE COMPLETED REQUIREMENTS 1-3. I JUST NEED HELP WITH THESE TWO!

DEBIT or CREDIT BALANCE: Assets & Expenses – Debit increases whereas credit decreases their…

Answered: 4. Prepare closing entries. 5. Prepare…

Century 21 Accounting General Journal

11th Edition

ISBN:9781337680059

Author:Gilbertson

Publisher:Gilbertson

Chapter16: Financial Statements And Closing Entries For A Corporation

Section16.5: Preparing A Post-closing Trial Balance

Problem 1OYO

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Problem 2-9 (Algo) Accounting cycle; unadjusted trial balance through closing [LO2-4, 2-6, 2-8]

The unadjusted trial balance as of December 31, 2021, for the Bagley Consulting Company appears below. December 31 is the company’s reporting year-end.

Account Title	Debits	Credits
Cash	12,500
Accounts receivable	9,750
Prepaid insurance	3,900
Land	250,000
Buildings	77,500
Accumulated depreciation—buildings		31,000
Office equipment	114,000
Accumulated depreciation—office equipment		45,600
Accounts payable		31,300
Salaries payable		0
Deferred rent revenue		0
Common stock		290,000
Retained earnings		50,100
Service revenue		92,500
Interest revenue		5,600
Rent revenue		7,200
Salaries expense	40,000
Depreciation expense	0
Insurance expense	0
Utilities expense	24,700
Maintenance expense	20,950
Totals	553,300	553,300

Information necessary to prepare the year-end adjusting entries appears below.

The buildings have an estimated useful life of 50 years with no salvage value. The company uses the straight-line depreciation method.
The office equipment is depreciated at 10 percent of original cost per year.
Prepaid insurance expired during the year, $1,950.
Accrued salaries at year-end, $1,650.
Deferred rent revenue at year-end should be $1,150.

Required:
1. From the trial balance and information given, prepare adjusting entries.
2. Post the beginning balances and adjusting entries into the appropriate T-accounts.
3. Prepare an adjusted trial balance.
4. Prepare closing entries.
5. Prepare a post-closing trial balance.

Prepare a post-closing trial balance.

BAGLEY CONSULTING COMPANY
Post-Closing Trial Balance
Account Title	Debits	Credits
Cash	$
Accounts receivable
Prepaid insurance
Land
Buildings
Accumulated depreciation—buildings		$
Office equipment
Accumulated depreciation—office equipment
Accounts payable
Salaries payable
Deferred rent revenue
Common stock
Retained earnings
Totals	$	$

Close the revenue accounts using Retained Earnings.

Close the expense accounts using Retained Earnings.

Date	General Journal	Debit	Credit
December 31, 2021

IVE COMPLETED REQUIREMENTS 1-3. I JUST NEED HELP WITH THESE TWO!

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