The following are the trial balance and the other information related to Edward Consulting Engineer. EDWARD CONSULTING ENGINEER TRIAL BALANCE DECEMBER 31, 2020 Debit Credit Cash $29,500 Accounts Receivable 52,300 Allowance for Doubtful Accounts $799 Supplies 2,290 Prepaid Insurance 1,170 Equipment 27,800 Accumulated Depreciation-Equipment 6,614 Notes Payable 7,200 Common Stock 10,000 Retained Earnings 25,863 Service Revenue 106,761 Rent Expense 10,387 Salaries and Wages Expense 31,170 Utilities Expenses 1,850 Office Expense 770 $157,237 $157,237 1. Fees received in advance from clients $6,120, which were recorded as revenue. 2. Services performed for clients that were not recorded by December 31, $5,125. 3. Bad debt expense for the year is $1,536. 4. Insurance expired during the year $475. 5. Equipment is being depreciated at 10% per year. 6. Edward gave the bank a 90-day, 10% note for $7,200 on December 1, 2020. 7. Rent of the building is $799 per month. The rent for 2020 has been paid, as has that for January 2021, and recorded as Rent Expense. 8. Office salaries and wages earned but unpaid December 31, 2020, $2,643. Part 1 From the trial balance and other information given, prepare annual adjusting entries as of December 31, 2020. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts.) Part 2 Prepare an income statement for 2020. (Enter loss using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Part 3 Prepare a retained earnings statement for 2020. Edward paid a $17,850 cash dividend during the year. (recorded in Retained Earnings.) (List items that increase owner's capital first.) Part 4 Prepare a classified balance sheet for 2020. (List current assets in the order of liquidity.) List of Accounts Accounts Payable Accounts Receivable Accumulated Depreciation-Building Accumulated Depreciation-Equipment Administrative Expenses Admissions Revenue Advertising Expense Allowance for Doubtful Accounts Bad Debt Expense Buildings Cash Common Stock Cost of Goods Sold Current Maturity of Long-Term Debt Delivery Expense Depreciation Expense Dividends Dues Revenue Equipment Green Fees Revenue Income Summary Income Tax Expense Insurance Expense Interest Expense Interest Payable Interest Receivable Interest Revenue Inventory Land Maintenance and Repairs Expense Mortgage Payable No Entry Notes Payable Notes Receivable Office Expense Owner's Capital Owner's Drawings Prepaid Advertising Prepaid Insurance Prepaid Rent Property Tax Expense Property Tax Payable Rent Expense Rent Receivable Rent Revenue Retained Earnings Salaries and Wages Expense Salaries and Wages Payable Sales Discounts Sales Returns and Allowances Sales Revenue Selling Expenses Service Revenue Subscription Revenue Supplies Supplies Expense Telephone and Internet Expense Utilities Expenses Unearned Admissions Revenue Unearned Dues Revenue Unearned Service Revenue Unearned Rent Revenue Unearned Subscriptions Revenue

The following are the trial balance and the other information related to Edward Consulting Engineer. EDWARD CONSULTING ENGINEER TRIAL BALANCE DECEMBER 31, 2020 Debit Credit Cash $29,500 Accounts Receivable 52,300 Allowance for Doubtful Accounts $799 Supplies 2,290 Prepaid Insurance 1,170 Equipment 27,800 Accumulated Depreciation-Equipment 6,614 Notes Payable 7,200 Common Stock 10,000 Retained Earnings 25,863 Service Revenue 106,761 Rent Expense 10,387 Salaries and Wages Expense 31,170 Utilities Expenses 1,850 Office Expense 770 $157,237 $157,237 1. Fees received in advance from clients $6,120, which were recorded as revenue. 2. Services performed for clients that were not recorded by December 31, $5,125. 3. Bad debt expense for the year is $1,536. 4. Insurance expired during the year $475. 5. Equipment is being depreciated at 10% per year. 6. Edward gave the bank a 90-day, 10% note for $7,200 on December 1, 2020. 7. Rent of the building is $799 per month. The rent for 2020 has been paid, as has that for January 2021, and recorded as Rent Expense. 8. Office salaries and wages earned but unpaid December 31, 2020, $2,643. Part 1 From the trial balance and other information given, prepare annual adjusting entries as of December 31, 2020. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts.) Part 2 Prepare an income statement for 2020. (Enter loss using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Part 3 Prepare a retained earnings statement for 2020. Edward paid a $17,850 cash dividend during the year. (recorded in Retained Earnings.) (List items that increase owner's capital first.) Part 4 Prepare a classified balance sheet for 2020. (List current assets in the order of liquidity.) List of Accounts Accounts Payable Accounts Receivable Accumulated Depreciation-Building Accumulated Depreciation-Equipment Administrative Expenses Admissions Revenue Advertising Expense Allowance for Doubtful Accounts Bad Debt Expense Buildings Cash Common Stock Cost of Goods Sold Current Maturity of Long-Term Debt Delivery Expense Depreciation Expense Dividends Dues Revenue Equipment Green Fees Revenue Income Summary Income Tax Expense Insurance Expense Interest Expense Interest Payable Interest Receivable Interest Revenue Inventory Land Maintenance and Repairs Expense Mortgage Payable No Entry Notes Payable Notes Receivable Office Expense Owner's Capital Owner's Drawings Prepaid Advertising Prepaid Insurance Prepaid Rent Property Tax Expense Property Tax Payable Rent Expense Rent Receivable Rent Revenue Retained Earnings Salaries and Wages Expense Salaries and Wages Payable Sales Discounts Sales Returns and Allowances Sales Revenue Selling Expenses Service Revenue Subscription Revenue Supplies Supplies Expense Telephone and Internet Expense Utilities Expenses Unearned Admissions Revenue Unearned Dues Revenue Unearned Service Revenue Unearned Rent Revenue Unearned Subscriptions Revenue

Century 21 Accounting General Journal

11th Edition

ISBN:9781337680059

Author:Gilbertson

Publisher:Gilbertson

Chapter22: End-of-fiscal-period Work For A Corporation

Section: Chapter Questions

Problem 1AP

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The following are the trial balance and the other information related to Edward Consulting Engineer.

EDWARD CONSULTING ENGINEER TRIAL BALANCE DECEMBER 31, 2020
	Debit	Credit
Cash	$29,500
Accounts Receivable	52,300
Allowance for Doubtful Accounts			$799
Supplies	2,290
Prepaid Insurance	1,170
Equipment	27,800
Accumulated Depreciation-Equipment			6,614
Notes Payable			7,200
Common Stock			10,000
Retained Earnings			25,863
Service Revenue			106,761
Rent Expense	10,387
Salaries and Wages Expense	31,170
Utilities Expenses	1,850
Office Expense	770
	$157,237		$157,237

1.		Fees received in advance from clients $6,120, which were recorded as revenue.
2.		Services performed for clients that were not recorded by December 31, $5,125.
3.		Bad debt expense for the year is $1,536.
4.		Insurance expired during the year $475.
5.		Equipment is being depreciated at 10% per year.
6.		Edward gave the bank a 90-day, 10% note for $7,200 on December 1, 2020.
7.		Rent of the building is $799 per month. The rent for 2020 has been paid, as has that for January 2021, and recorded as Rent Expense.
8.		Office salaries and wages earned but unpaid December 31, 2020, $2,643.

Part 1

From the trial balance and other information given, prepare annual adjusting entries as of December 31, 2020. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts.)

Part 2 Prepare an income statement for 2020. (Enter loss using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)

Part 3 Prepare a retained earnings statement for 2020. Edward paid a $17,850 cash dividend during the year. (recorded in Retained Earnings.) (List items that increase owner's capital first.)

Part 4

Prepare a classified balance sheet for 2020. (List current assets in the order of liquidity.)

List of Accounts

Accounts Payable
Accounts Receivable
Accumulated Depreciation-Building
Accumulated Depreciation-Equipment
Administrative Expenses
Admissions Revenue
Advertising Expense
Allowance for Doubtful Accounts
Bad Debt Expense
Buildings
Cash
Common Stock
Cost of Goods Sold
Current Maturity of Long-Term Debt
Delivery Expense
Depreciation Expense
Dividends
Dues Revenue
Equipment
Green Fees Revenue
Income Summary
Income Tax Expense
Insurance Expense
Interest Expense
Interest Payable
Interest Receivable
Interest Revenue
Inventory
Land
Maintenance and Repairs Expense
Mortgage Payable
No Entry
Notes Payable
Notes Receivable
Office Expense
Owner's Capital
Owner's Drawings
Prepaid Advertising
Prepaid Insurance
Prepaid Rent
Property Tax Expense
Property Tax Payable
Rent Expense
Rent Receivable
Rent Revenue
Retained Earnings
Salaries and Wages Expense
Salaries and Wages Payable
Sales Discounts
Sales Returns and Allowances
Sales Revenue
Selling Expenses
Service Revenue
Subscription Revenue
Supplies
Supplies Expense
Telephone and Internet Expense
Utilities Expenses
Unearned Admissions Revenue
Unearned Dues Revenue
Unearned Service Revenue
Unearned Rent Revenue
Unearned Subscriptions Revenue

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