60.1K

Verified Solution

Link Copied!

Peyton Approved Adjusting Journal Entries 2017 Date Accounts Debit Credit 31-Dec Depreciation Expense Accumulated depreciation 31-Dec Amortization Expense Accumulated Amortization 31-Dec Interest Expense Interest Payable 31-Dec Insurance Expense Prepaid Insurance 31-Dec Baking Cost of Goods Sold Baking Supplies 31-Dec Office Supplies Expense Office Supplies 31-Dec Wages Expense Wages Payable - - Peyton Approved
Trial Balance
2017
	Unadjusted trial balance		Adjusting entries		Adjusted trial balance
Account	Debit	Credit	Debit	Credit	Debit	Credit
Cash	55,428.00				55,428.00
Baking Supplies	165,250.00				165,250.00
Merchandise Inventory (FIFO)	25,750.00				25,750.00
Prepaid Rent	7,500.00				7,500.00
Prepaid Insurance	2,400.00				2,400.00
Baking Equipment	26,000.00				26,000.00
Accumulated Depreciation		3,000.00				3,000.00
Leasehold Improvements	10,000.00				10,000.00
Accumulated Amortization		2,000.00				2,000.00
Trademark	2,300.00				2,300.00
Office Supplies	1,600.00				1,600.00
Accounts Receivable	30,401.00				30,401.00
Notes Payable		10,000.00				10,000.00
Interest Payable						-
Accounts Payable		27,325.00				27,325.00
Wages Payable						-
Loans Payable		21,000.00				21,000.00
Common Stock		30,000.00				30,000.00
Dividends	20,000.00				20,000.00
Bakery Sales		335,675.00				335,675.00
Merchandise Sales		35,200.00				35,200.00
Baking Cost of Goods Sold					-
Rent Expense	90,000.00				90,000.00
Interest Expense					-
Insurance Expense					-
Depreciation Expense					-
Amortization Expense					-
Misc. Expense	2,780.00				2,780.00
Office Supplies Expense					-
Business License Expense	375.00				375.00
Advertising Expense	5,200.00				5,200.00
Wages Expense					-
Telephone Expense	3,456.00				3,456.00
Merchandise COGS (FIFO)	15,760.00				15,760.00
Total: (FIFO)	464,200.00	464,200.00	-	-	464,200.00	464,200.00

Demonstrate the year-end adjustment process. A. Prepare the adjusting journal assignments in the Adjusting Entries tab in the provided workbook. B. Transfer the values from the Adjusting Entries tab to the proper cells of the Adjusting Entries columns in the Worksheet tab. C. Create the adjusted trial balance by completing the Adjusted Trial Balance columns using the Worksheets tab. D. Close temporary accounts by completing the Closing Entries tab. II. Prepare an income statement for your company by completing the Income Statement tab in the provided workbook.

Answer & Explanation Solved by verified expert

See Answer