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May 8 May 1 Issued Check Number 3410 to S&P Management Company in payment of the May rent for $3,730. Charge $2,972 to Rent Expense-Selling Space, and charge $758 to Rent Expense-Office Space. (Use two lines to record the transaction. ) May 2 (a) Sold merchandise on credit to Hensel Company, Invoice Number 8785, for $6,300 (cost is $4,300). May 2 (b) Issued an allowance (price reduction) of $185 to Knox Company for merchandise sold on April 28. The total selling price (gross) was $4,735. May 3 Issued a refund of $802 to Peyton Products for the return of merchandise purchased on April 29. Colo's accounts payable was reduced by that amount. May 4 Purchased the following on credit from Gear Supply Company: merchandise, $37,076; store supplies, $578; and office supplies, $85. Invoice dated May 4, terns n/30. May 5 Received payment from Knox Company for the balance from the April 28 (54,550) sale less the May 2 return and the $91 discount. Issued Check Number 3411 to Peyton Products to pay for the $7,108 of merchandise purchased on April 29 less the May 3 return and the $130 discount. May 9 Sold store supplies (noninventory) to the business next door at their cost of $356 cash. Bint: Enter Store Supplies" only in the Account Credited column. May 10 Purchased $4,086 of office equipment on credit from Gear Supply Company, terms n/30. May 11 (a) Received payment from Hensel Company for the May 2 sale less the discount of $126. May 11 (b) Purchased $9,000 of merchandise from Garcia, Incorporated, terms 2/10, n/30. May 12 Received a(n) $866 price reduction from Gear Supply Company for the return of office equipment received on May 10. Colo debited accounts payable by that amount. May 15 (a) Issued Check Number 3412, payable to Payroll, in payment of sales salaries, $5,340, and office salaries, $3,170. May 15 (b) Cash sales for the first half of the month are $59.260 (cost is $38,240). These cash sales are recorded in the cash receipts journal on May 15. May 15 (c) Post to the customer and creditor accounts. Also post individual items that are not included in column totals at the end of the month to the general ledger accounts. May 16 Sold merchandise on credit to Hensel Company, Invoice Number 8786, for $4,010 (cost is $1,910). May 17 Purchased $13,670 of merchandise from Pink Corporation, terms 2/10, n/60. May 19 Issued Check Number 3413 to Garcia, Incorporated, in payment of its May 11 purchase less the discount of $186 Sold merchandise to Lee Services, Invoice Number 8787, for $6,870 (cost is $5,010), tema 2/10, 1/60. May 23 Issued Check Number 3414 to Pink Corporation in payment of its May 17 purchase less the discount of $277. May 24 Purchased the following on credit from Gear Supply Company: merchandise, 58,160) store supplies, $650; and office supplies, $320. Terms n/30. May 25 Purchased $3,120 of merchandise from Peyton Products, terns 2/10, n/30. May 26 (a) sold merchandise on credit to Crane Corporation, Invoice Number 8788, for $14,230 (cost is $8,270). May 26 (b) Issued Check Number 3415 to Perennial Power in payment of the May electric bill, $1,287. May 29 The owner of Colo Company, Jenny Colo, used Check Number 3416 to withdraw $7,000 cash from the business for personal use. May 30 (a) Received payment from Lee Services for the May 22 sale less the discount of $139. May 30 (b) Issued check Number 3417, payable to Payroll, in payment of sales salaries. $5,340, and office salaries, $3,170. May 31 (a) Cash wales for the last half of the month are $66,068 (cost is $42,510). These cash sales are recorded in the May 22 Seved 2-a. Complete the work sheet using the following information for accounting adjustments. Prepare and post adjusting and closing entries a. Expired insurance, $555, b. Ending store supplies inventory. $2,634. c. Ending office supplies inventory, $506. d. Depreciation of store equipment, $569. e. Depreciation of office equipment, $331. 2-b. Prepare all necessary ledgers for accounting adjustments. 2-c. Prepare a work sheet for the month ended May 31 3-a. Prepare a May multiple-step income statement. 3-b. Prepare a May statement of owner's equity. 3-c. Prepare a May 31 classified balance sheet. 4-a. Prepare a post-closing trial balance. 4-b1. Prove the accuracy of subsidiary ledgers by preparing schedules of accounts receivable. 4-b2. Prove the accuracy of subsidiary ledgers by preparing schedules of accounts payable. Help Serve & Sub GENERAL LEDGER Cash Date Dobit Credit Accounts Receivable Debit Date April 30 May 15 May 31 Cerda Balan 59.2601 86.06 Balance 50.291 April 30 109.551 May 05 43.483 May 11 May 12 May 30 Merchandise Inventory Debit Date Credit Office Supp De Balance 220.100 April 30 Che Bala April 30 May 02 (a) May 04 May 08 May 11 May 16 May 17 Store Supplies Debit Pradinance Debat Credit Data C Date Ba Blace 2453 Apr 30 April 30 Help Save & Ext Subt Date Office Equipment Debit April 30 Credit Balance 22.490 April 30 Accumulated Depreciation Office Equipment Date Dobit Credit Balanc Store Equipment Debit Date Credit Accumulated Depreciation Store Equipment Dato Detit Credit Balance 38,900 April 30 April 30 Balan Accounts Payable Debit Date Jenny Colo, Capital Debin Credit Date Credit April 30 Balance 7.108 April 30 Jenny Colo, Withdrawals Debit Salus Dobrt Credit Date Balanc Date Credit Balance Help Save & Exit Submit Sales Returns and Allowances Debit Date Credit Balance Date Sales Discounts Debit Credit Cost of Goods Sold Debit Date Credit Balance Depreciation Expense-omice Equipment Dell Credit Date Baland Depreciation Expense-Store Equipment Debit Credit Orice Sales Expense Debit Date Balance Date Credit Sales salaries Expense Debit Insurance Expense Debit Credit Halang Credit Balance Date Date Rent Expense, Seng Space Rent Expense, Omice Space Help Save & Ent Submit Rent Expense, Office Space Debit Date Credit Balance Rent Expense, Selling Space Dubit Dato Credit Batang Office Supplies Expense Debit Date Credit Balance Store Supplies Expense Debit Date Credit Balang Utilities Expense Income Summary Debit Date Debit falan Credit Balance Date Credit ACCOUNTS RECEIVABLE LEDGER Hent Company Debit Creat Balang Date Crane Corporation Debit Credit Balance Date May 26 May 02 (a) May 11 May to Lee Services Knox, Incorporated Knox, Incorporated Debit Date Credit Date Lee Services Debit Credit April 28 May 02 (a) May 05 Balance 4.735 May 22 May 30 ACCOUNTS PAYABLE LEDGER Fink Corporation Debit Garcia, Incorporated Date Credit Balance Date Debit Credit Batang May 17 May 23 May 11 May 19 Gear Supply Company Debit Peyton Products Debit Credit Date Balance Date Credit May 04 May 10 May 12 May 24 April 29 May 03 May 08 May 25 SAR COLO COMPANY Work Sheet for Month Ended May 31 Account Title Unadjusted Trial Balance Adjustments Adjusted Trial Balance Income Statement Debit Credit Balance Sheet Statement of Equity Debit Credit Debit Credit Debit Credit Debit Credit Cash Accounts receivable Merchandise Inventory Office supplies Store supplies Prepaid insurance Office equipment Accumulated depreciation - Omice equipment Store equipment Accumulated depreciation - Store equipment Accounts payable Jenny Colo, Capital Jenny Colo, Withdrawals Sales Sales discounts Sales returns and allowances Cost of goods sold Depreciation Expense Office equipment Depreciation Expense-Store equipment Office salaries expense Sales salaries expense Help Save & Exit Suomi Store Supplies Prepaid insurance Office equipment Accumulated depreciation - Office equipment Store equipment Accumulated depreciation - Store equipment Accounts payable Jenny Colo, Capital Jenny Colo Withdrawals Salos Sales discounts Sales returns and allowances Cost of goods sold Depreciation Expense-Office equipment Depreciation Exponse Store equipment Office salaries exponse Sales salaries expense Insurance expense Rant expense, office space Rent expense, selling space Office supplies expense Store supplies expenso Utilities expense Totals $ 05 $ 05 05 OS $ $ os 0 $ 05 0 03 05 Net income Totals Prey 1 of 1 Next For Month Ended May 31 Revenues 0 0 Sales Less: Sales discounts Less: Sales returns and allowances Net sales Cost of goods sold Gross profit Operating expenses Selling expenses Depreciation expense-Store equipment Sales salaries expense Rent expense, Selling space Store supplies expense 0 Total selling expenses General and administrative expenses Depreciation expense-Office equipment Office salaries expense Insurance expense Rent expense, Office space Office supplies expense Utilities expense 0 Total general and administrative expenses Total operating expenses INet income 0 4-a. Prepare a post-closing trial balance. 4-61. Prove the accuracy of subsidiary ledgers by preparing schedules of accoun 4-b2. Prove the accuracy of subsidiary ledgers by preparing schedules of accoun 1 Complete this question by entering your answers in the tabs below. Req 2A Req 2B Req 2c Req Req 3B Req 3C Req 4A Prepare a May statement of owner's equity. COLO COMPANY Statement of Owner's Equity For Month Ended May 31 Jenny Colo, Capital, April 30 Add: Net income 0 Less: Withdrawals by owner Jenny Colo, Capital, May 31 $ May 37 Assets Current assets: Cash Accounts receivable Merchandise inventory Office supplies Store supplies Prepaid insurance Total current assets 0 Plant assets 0 Office equipment Accumulated depreciation-Office equipment Store equipment Accumulated depreciation Store equipment Total plant assets 0 0 Total assets $ 0 Liabilities Current liabilities: Accounts payable Total liabilities $ 0 Equity J. Colo, Capital Total liabilities and equity COLO COMPANY Post-Closing Trial Balance May 31 Debit Credit Cash Accounts receivable Merchandise inventory Office supplies Store supplies paid insurance Office equipment Accumulated depreciation - Office equipment Store equipment Accumulated depreciation-Store equipment Accounts payable J. Colo, Capital Totals $ 0 $ 0

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