Reference no: EM132670166
Journalize the ABC Work Services adjusting entries and make an Unadjusted Trial Balance
Cash Dr P60,000
Accounts receivable Dr P50,000
Supplies Dr P40,000
Furniture Dr P100,000
Accumulated Dep. - Furniture Cr P40,000
Building Dr P500,000
Accumulated Dep- Building Cr P300,000
Accounts Payable Cr P20,0000
Salary Payable Cr -
Unearned Revenue Cr P80,000
Mac Capital Cr P120,000
Mac Drawing Dr P100,000
Service Revenue Cr P500,000
Salary expense Dr P160,000
Supplies expense Dr -
Depreciation expense - Furniture Dr -
Depreciation expense - Building Dr-
Advertising expense Dr P50,000
Total of P1,060,000 Debit and credit
Data needed for the adjusting entries include the following:
a. Supplies on hand at year-end P2,000
b. Depreciation on furniture P20,000
c. Depreciation on building P10,000
d. Salaries owed but not yet paid P5,000
e. Accrued service revenue P13,000
f. P30,000 of the unearned service revenue has been earned.
Requirements:
Problem 1. Journalize ABC's adjusting entries on December 31, 2020. Key entries by letter.
Problem 2. Write the trial balance, enter the adjusting entries and adjusted trial balance.