Find the unearned revenue

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Reference no: EM13509050

Hakik Enterprises offers rug cleaning services to business clients. Below is the trial balance for Hakik Enterprises, which was prepared on the end of period spreadsheet (work sheet) for the year ended July 31, 2010.

Hakik Enterprises
End of Period Spreadsheet (Work Sheet)
For the Year Ended July 31, 2010


Trial Balance

Adjustments

Adjusted Trial Balance


Debit

Credit

Debit

Credit

Debit

Credit

Cash

36






Prepaid Insurance

12






Fees Receivable

56






Supplies

12






Equipment

60






Accum. Depreciation


12





Unearned Revenue


20





Accounts Payable


32





Wages Payable







Ramon Hakik, Capital


84





Ramon Hakik, Drawings

4






Service Revenue


80





Advertising Expense

28






Wage Expense

20






Insurance Expense







Supplies Expense







Depreciation Expense







Totals

228

228













REQUIRED: Enter the adjustment data in the work sheet for the transactions shown below and place the balances in the Adjusted Trial Balance columns.

a) The equipment is estimated to last for 5 years with no salvage value. The asset will be depreciated evenly over its useful life. Record one months depreciation.
b) Accrued Wages $2.
c) Unused supplies on hand $8.
d) Of the unearned revenue, 75% has been earned.
e) Unexpired insurance remaining at the end of the month, $9.

Reference no: EM13509050

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