of. WIN Ballada “EBL Basic Financial Accounting and Reporting 2022 Edition by Pr ae NAME: Dhan Leather Tacuyoq SCORE: | SECTION: BSA -1b PROFESSOR: J 10. 11. 12: 13. 14. 15. in the Blanks : \ The balance of Withdrawals is closed by.a eedt and the amour, transferred to owner's Capital by a credit At the end of the closing process, all temporary accounts in the’ ledger will have, _2€Y0 balance. The _ Balance Sheet contains a list of permanent accounts after the adjusting and closing entries have been posted to the ledger ae a journal. Closing entries can be prepared froma_ Journal. _ After closing entries are posted; Income Summary will have a_22¥0 balance. After closing entries are posted, owner's Capital in, the, ledger will contain the Balances Revenue is closed to Income Summary by a debit to each revenue account anda__evedit to Income Summary. Expenses is closed to’ Income ‘summary by _-Ced eg the individual expenses and debiiting Income Summary. If the balance of Withdrawals is a credit, it will be closed by Gaal iting Income Summary and Jehitivig owner's capital. Journalizing adjustments can be done from the » Workshert (Cash, Equipment, and Supplies are not part of the —clesing lass Income Summary isa_temporary account. i income summaryis Closed bythe end of the period Revenue, Expenses, and Withdrawals are examples of Temporayy: Accounts Balances in temporary accounts will not be carried over to the a accounting pettod. Scanned with CamScanneran Leal SECTION: Re Nacuyog SCORE: True or False 4 10. 1. R 8 4 1. 16, 1, 18, 19, 2, a aw Completing the Accounting Cycle | PROFESSOR: se accounts. False The final trial balance is called a post-closing trial balarice. True i Areversing entry is a journal entry which is the exact opposite of a related adjusting entry made at the end of the period. \rue Closing entries clear income and expense accou Trial balances are prepared Inthe accounting cycle, In the accounting cycle, the journal, False Nominal account balances are reduced to zero by closing entries. Itye The adjusting entries involving Rent Receivable and Salaries Payable could be reversed. “{yve. . The adjusting entries involving Depreciation Expense-Building and Supplies Expense could be reversed. False : All nominal accounts must be closed before the Income Summary account can bé closed. False, The post-closing trial balance will have fewer accounts than the adjusted trial balance... Tyve The balances of all the accounts that appear on a balance sheet are the same on the adjusted trial balance as they are on a post-closing trial balance. False Closing entries deal primarily with the balances of real accounts. False The only accounts that are closed are income statement accounts. False ° Closing entries result in thé transfer of profit or loss into the owner's Capital fie ie entries have been entered and posted, the balance of the income Summary account will be zero. True Bayedtion Expense-Building is a permanent account, Tie — An expense account is closed with a debit to the expense account and a credit to nts at the end of the period, Ive. Primarily to ensure that no entries have been omitted. False 4 closing entries are prepared before adjusting entries. False information from source documents is initially recorded in " . False hen account. False When m Sie : exactly zero, one of the usual closing entries will be avoided. True prol The Income Summary account appears in the income statement. False Temporary accounts are also known as real accounts. False Scanned with CamScannerFalse 26. there is sufficient information on a post-closing tral win Ballada ro} 10 | Basic Financial Accounting and Reporting 2022. edition by Pr a Hs tlt alance to PrePAre an incom, bi ext accounting period, 3 False 27. To simplify the recording of regular transactions in the 1 adjusting journal entries are reversed. s after the adjustment, False 28. Post-closing trial balance tests the equality of the deine True 29. Supplies Expense is a temporary account. False 30. A revenue account is closed with a credit to the revel True 31. During the closing process, revenues are transferred to the Tre True 33. reversing entry will include either a debit to-a revenue’ accoun Tye False “35, Reversing entries can be made for deferrals but not for accruals. and the closing entries are posted. nue: account, and a debit tp * Income Summat . ni credit side of the Income Summary account. 32. During the closing process, expenses are transferred to the cre Summary account. dit side of the Income it or a credit to an expense account. of 34. Reversing entries are never required. sain False 36. Reversing entries are made to correct errors in the accounts... ‘alse 37. Closing entries can’ be prepared by referring solely to the ‘Income Statement columns of the worksheet. False 38. ‘After the adjusting and closing entries have been record ‘ded er posted, the general ledger accounts that appear on the balance sheet have fo Bal lances. False 39. General ledger account balances agree with those in the financial statements even Odile before adjusting and closing entries are recorded and posted. True 40. The income summary account is used to close the income and expense accounts. Fre 41 The balance of the owner's capital account represents the cumulatil e net result of income, expense and withdrawal transactions. Vue 42. The purpose of reversing entries is to simplify the bookkeeping process. Fel ping p NSC 43, Adjusting entries are all dated as atthe first day of the new accounting pared True 44. There is sufficient information on a post-closing trial balance to prepare a balance sheet. False: 45. There is suficent information on a post-éosing tral balance to prebbte a statement of changes in equity. True 46, if the post-closing trial balance does not! balance, then the error(s) defintl occurred at some point during the closing process. ie Sela’) Scanned with CamScannerwame: Dhan Lesther 1, “SECTION: Bane Tacayeq SCORE: Completing the Accounting Cycle | PROFESSOR: Multiple Choice . Closing entries reduce the followin, . The closing entry for Salaries Expense, with a balance of P240,000 is For these firms, worksheets may be prepared on an interim basis. worksheets are not needed, “ a b. © worksheets are prepared only on an annual basis: 4d. worksheets are not prepared. i type of accounts to a zero balance at the end of the period. income and expenses income summary withdrawals all of the above @ree a. Salaries Expense 240,000 ; Income Summary 240,000 b. Salaries Expense 240,000 : Salaries Payable 240,000 © _ income summary 240,000 Salaries Expense 240,000 Salaries Payable 240,000 Salaries Expense / 240,000 .. The purpose of the post-closing trial balance is to a. provide the account balances for the preparation of the balance sheet. b. ensure that the ledger is in balance for completion of the worksheet. © aid the journalizing and posting of the closing entries. / d. ensure that the ledger is in balance for the start of the next period. Which of the following accounts will appear on the post-closing trial balance? ® Building : b. Depreciation Expense-Building © Owner's Withdrawals 4. Service Revenues Scanned with CamScanner‘ Ballad : 2_| Basic Financial Accounting and Reporting 2022 ditlon by Prof. WIN Balloda_ 6. tinal check on the adjusting and closing process i provided BY "Re a. worksheet. post-closing trial balance. b. financial statements d._ adjusted trial balance. 7. Ifthe last item on a trial balance reads “Owner's Equity” this must Be the @® post-closing trial balance. ¢. adjusted trial balance. b. unadjusted trial balance. G. reversed trial balance. 8. If a trial balance were to be prepared on the first day of the new year, and th. account Salaries Expense had a credit balance, you would know that . a, * the trial balance is.a post-closing trial balance. b. the adjusting entries have been recorded. ¢. the trial balance is an adjusted trial balance. ' a reversing entry has been made. st 9. Reversing entries are > @ optional. ee b. made to record a change in corporate objectives. c. required by generally accepted accounting principles. d. made prior to preparing a post-closing trial balance. 10. Which of the following comes last in the accounting process? @ preparation of a post-closing trial balance . preparation of an adjusted trial balance c.. worksheet preparation d. journalizing external transactions Scanned with CamScannerCompleting the Accounting Cycle | wame: Dhan Lesther Tacuyo, q__ | SCORE: secTion: BSK- 1G ee PROFESSOR: 7 Multiple Choice 1, Animportant purpose of closing entries is to a. adjust the accounts in the ledger. © set nominal account balances to zero at the start of the next period. ¢._ set real account balances to zero at the start of the next period. 4. help in preparing financial statements, 2. Which of the following sequences of docu i ments or records describes the proper sequence in the accounting cycle? a, Source documents, ledger, journal, financial statements b. Journal, source documents, ledger, financial statements © Source documents, journal, ledger, financial statements 4. Ledger, source documents, journal, financial statements 3. Closing entries will ; a. increase the Owner's Capital balance. b. decrease the Owner’s Capital balance. - not affect the Owner's Capital balance. © either increase or decrease the Owner’s Capital balance. 4. Which of the following accounting cycle steps comes before the others? “a. The financial statements are prepared. b. Closing entries are recorded and posted. Source documents are analyzed. ‘ d. Adjusting entries are recorded and posted. 5.. Closing entries ultimately will affect a. total liabilities. b.. the Cash account. ©. total assets. ® the owner's Capital account. 6 Ifno adjustments are needed for a particular entity, its 2. post-closing trial balance will be identical to its trial balance. b. adjusted trial balance will be identical to its post-closing trial balance. © trial balance will be identical to its adjusted trial balance. 4. trial balance, adjusted trial balance, and post-closing trial balance will be identical. Scanned with CamScanneration by Prof. WIN Ballade 4 | Basic Financial Accounting and Reporting 2022 ECON TI “the closihe process?* 7. Which ofthe following accounts isnot closet ring the clos !n6 P’ as a. Income Summary © owner's capital , c. Commissions Revenues d. Owner's Withdrawals 2 8. Which of the following could not possibly be a closing entry? a. Debit Income Summary and credit Owner's Capital Debit Owner's Capital and credit Owner's Withdrawals + ©. Debit Income Summary and credit Owner's Withdrawals. 2 d. Debit Owner's Capital and credit Income Summary = <9. In preparing closing entries, which of the following columns of the work sheet are x3 the most helpful? fi a. Adjustments columns. i 1 b. Adjusted Trial Balance columns \ : © income statement columns d.. Balance Sheet columns eee 1 10. The primary objective of reversing entries is to correct errors. — ‘ Ue simplify the bookkeeping associated with accruals from the prior period. transfer the balance of the expense accounts to the Owner’s,Capital.account i and set the accounts equal to zero. | A i d. place the expenses for the current period in the proper accounts. 11. Which of the following accounts ‘could appear in an adjusting entry, closing entry and reversing entry? ts a. Interest Income , ® Salaries Payable c. Depreciation Expense-Buildings ‘ d. Accumulated Depreciation-Buildings 12. When an entity has earned a profit, the profit amount is entered on the work sheet on the , debit side of the Income Statement colurins and the credit sid@ of the Balance Sheet columns. b. credit side of the Income Statement columns and the debit Sheet columns. c. debit side of both the Income Statement and the Balance Sh 4. credit side of both the Income Statement and the Balance Sk sae side of the Balance Scanned with CamScanner~Completing the Accounting Cycle | 6-15 B a. Salaries Payable, _ b, Salaries Expense, © Owner's Capital d. Income Summary, : f. probably the last a Pro! SCOUNt to be listed ona Post-closing trial balance would be n there i Wher is a loss, the Entry to close the Income Summary account is debit Loss and credit Income ‘Summary. © debit Owner's capital and credit income Summary. G, debit Income Summary and credit Lose, 4d. debit Income Summary and credit Owner’s Capital. “Onthe completed work sheet, whi Iw ich set of columns usually should be out of » balance after the initial footing? e "a: Balance Sheet columns only x b. Adjusted Trial Balance columns only ¢.. Income Statement columns only : -@ Both income Statement and Balance Sheet columns 2 16. The post-closing trial balance contains @): real accounts only. nominal accounts only. ~ ¢, both real accounts and nominal accounts. 4, neither real accounts nor nominal accounts. 17. Inwhich financial statement does Income Summary appear? -a. Income statement ‘ b. Statement of changes in equity, os Balance sheet Itdoes not appear in any financial statement. ©), 18. When an entity has suffered a loss, the loss amount is entered on the work sheet on the . debit side of the Income Statement columns and the credit side of the Balance Sheet columns. © credit side of the income Statement colurans and the debit sie ofthe Balance Sheet columns. : c. debit side of both the Income Statement and the Balance Sheet columns. 4. credit side of both the Income Statement and the Balance Sheet columns. Scanned with CamScanner(hapler G Dhow, Lesther Tacuyoq OSA -1G DATE Problem Wt Ndiusting Entries Required 41 Dole Account Titles ond Explanations PR| Debit Credit 2021 Dec a1 |Vnearmed Service Revenve 10, 000 Service Revenue 40,000 To record earned degerved yevenve 31__|Advertising Expense | 45,000. Prepaid “Advertising 4S, 000 To vecord incurred prepaid advertisement a1 [Salaries Expense 230,000 Salaries Payable 2.40,000 To vecord accrued expense 022 Tan. of [Salaries foyable 230,000 Salaries Expense 340 000 Cash 20,000 To record payyient of Salaries. Ed Scanned with CamScannerWoblem WA Cheaper ¢ Dhan Ledher Tacuyoq OSN-te DATE Required mw 4 : Date Recount Titles and Explanations PR] Debit Gedit 2011 Dec 21{ Sewice Revenve 18.0, 000 Vnearned Service Revenve : 180,000 To record unearned depreced revenuead yeateend an Prepaid Advertising 10,000 Advertising Expense 3 90,000 To vecord ynased advertising al year-end, a\| Salaries Expense 180,000 Salaries Payable 230,000 To record accrued expense’ during the period. | {| Dal e Jon ot “To record yeversing enly.tor unearned revenve. Reversing Enlvies , | PR. Account Tiles ond Explanations Debil Credit an oi] Uneamed Service Revenue 190,000 Gervice Revenve 1810, 000 ~ Prepaid Advertising To record reversing entry (or Unimcurred ads. To recard reversing erly {oy accrued salaries dvertising. Expense. 90,000. Salaries Payalsle Salories tp ence, Scanned with CamScannerDhan Lesther Tacuyoa, BOA. 1 Dele_|__Necont Titles and Explonations PR} Debit Cedit 201 |. forolty y Yon |Solaries Expense 610,000 ~ Lash 620,000 “To reco) payment of salaries Scanned with CamScanner| Ohaplec 6 Dhan Lesther Trewyoq Qsh-1b DATE Problem Ha Adjusting Enbvigs i oe ek ‘ Required Ht en Date Account Titles and Explanations PR| Debit Credit 2021 Dec. a1 [Rent Expense : 21,000 Prepaid Rewt v 27,000 To record incurred prepaid rent. 2 |Unearned Service Revenue ' 1, 000 Sewice Revenve |? 18, 000, To yecord earned decened revenue. * t Required W2 Date. Account Tiles and Explanations [PR] Debit Codi 202 “ Dec. 31 [Prepaid Rent 4.000 Ren} Expense 4.000 To vecord unincorred ven expense 2) [Service Revenue 54 000 Unearned Service Revenue 54,000 To vecord_vnearned service revenue. Scanned with CamScannerDhan Lesther Tocsyoq, QSI\-16 a Lon 1,101 Reversing Entries vil 2b susidert Date | Necooat Tiles ond Exglanations PQ] Debit Credit 2002 _ Jon of Rent Expense i 000 Prepaid Rent \ 9,000 Jo record reversing entry for ren} expense eee et a1Vneamed Service Revenve: | $4,000 Service Revenve Su,000 To Yeword yeversing enti for unearned < divice_Yevenve. i Scanned with CamScannerChagler 6 Yhon Lesther Tacuyog BSN -tb DATE Prololew 43 Prepoving the Cloding Enbvios vadoen alin Oi Required: Dole Recount Tiles and Explanations PR| Debit Ced:t 2091 Wo Dec. 21} Prinling Revenues 4,130, 000 Tncome Summary $, 130,000 To xecord losing entries for tevenve accoumls. x Dale Account Tiles ond Explanations Tea. Debit Credit 2021 Dec 21 |Sucome Summary 3,790,000 Supfilies Expense 110,000 Salaries Expense 1,210,000 Depreciation Expense 150,000 Repairs Expense 10,000 Telephone Eapence 20,000 Ulililies Expense 90,000 Tulerest Expense 400,000 Miscellaneous Expense 90,000 To vecord losing entries for expense accounts} Scanned with CamScannerDhan Lesther Tacvyoq sN-1b Dale | "Account Tilles ond Explanations [PR] Debit [ss Credit 2021 Dec 3i| Income Summary 4, 400,000. : Labalan Capita 4,400,000." To record closing entries for incom summayy. - Dale. Account Tiles oud Explanations PR Debt [Gea 1011 Dec.2i| Labalav, Capital 1,500,000 Lobalan, Withdrawals 1,509, 000 To record closing entries or withdrawal account Scanned with CamScanner| Chopler © Dhan Lesther Tacvyoq SA tle Ya. el Problemy HY Wentiying ‘ond Journalizing Cosing Ewlvies YS + DATE Date Recount Titles ond Explanations PR] Debi} > Cedi, 202) Dec | Service Revenves 1,068,000 Tncome Summary 1,065,000 To vecord dlosivig enlries For Yevenve accounts Dale, Recoont Titles ond Explanations PAT Debit Credit 4012) 4] Dec a1 [Income Summary 40S, 000 Salaries Expense 298,000 Supplies Expense 20,000 Depreciation Expense ~ Furniture 30,000 Depreciation Expense- Building 60,000 To record dlosing enlvies gor expense accounls ‘Dale Account Tiles ond Explanations PRL Dedit Cede 4021 Dec. 31 | Income Summary 60,000 Pascual, Capila) 660,000 To record closing enlries cor mone summary ~. Account - : > Scanned with CamScannerChapler Voblem C Hu (Page 2) Dhan Leather Towwyoq_ QSN-Au Dote Recount Titles _ond Explanations PR. IER. DATE Debit [Creat Yon Dec. 24 Paseval, Capital 524,000 Paseval, Withdrawals 14,000 To vecord closing enlries tor withdrawal account. Scanned with CamScanner1022 Eajtlon by Prof. WIN Ballad 6-20 | Basic Financial Accounting and Reporting 2 I. NAME: Dhay Lesther Tacvyoq SCORE: __ | SECTION: ASK eeye8 PROFESSOR: Problem #5 Analysis of the Income Summary Account rie Espafiol Services on Dec, 3; The following is the incor account of Rosemal i nae the account. 2021, after all revenue and expenses have been closed to Income Summary. 197,000 190,000 Required: 1. What do the figures in the account represent? < 5 2, Whatis the profit or loss? 3. Close the income summary account. 1 The piquies iw the account represents Ye fetal balance of oxgensss(oiti side) and revenves ( credit (side). 1. The ‘loss is: 7,000. ts Account Tillés ond Explanations | PRT Debit | Credit Treome Summary, J 7,000_ Esparel, Copital To record the Hsing thie» for imcome summary court: 7,000 Scanned with CamScanner ©Chapher ¢ Dhan lathe Tawyog ea 4b Pectlew Ab Date DATE Debit Credit 2012. Recount Titles and Explanations Ton. 1 Insurance Expense 25,000 Prepaid Insurance 25,000 To record reversing, entries tor unexpired prepaid ren. interes} Income 17,000 ‘Tnterest Receivable 17,000 To vecord reversing entries por accrued inlerest. $0,000 Oreice Supplies Ogeice Supplies Expense 50,000 “Yo record reversing entries cor oftice supplies f Accumulated Depreciation 12$,000 Depreciation Expense 115,000 “lo record reversing entries for depreciation. Salaries Payalale 35,000, Galaries Expense 98,000 To record reversing enlies por accrued salaries Uneamed Rent Revenues 30,000 Rent Revenves 30,000 To record reversing elries tor deperred rent yevenves, x : Scanned with CamScannerQottlem WT (Required 2) Vhon Lesther Taevyoq BSN-16 Bagg a = eS | SS? = Dale Recount Tiles, and Explanations PR) Debit Cred 1 100) L iz 2 Dec. {1 || Cash " ft oll |ils{ofo/oloy [2 3 Deloua, Capital im a) Wslodod || 3 a To Yecord owner’ investmendidl. 3) vs hs, Hee 5 Is 6 2 || Rent Expense $20) s z Loh oer cn nol [LT afololol || 7 8 To record payment of rent. Is 9 ~ o 7 i a 4 3 10 2 ||Suppties rm aloo [9 a Resour Payable lao {doo z 2 To record porchose of supplies on account. x 13 pa t pe 7 13 i 3 [[Opgice Equipment is0_| [rlglololo Ips 1 Uash wo lololal || 25 16 Recounts Payable Ln9| als|olo) 16 7 “To record purchase of office equipment by. 7 iB cash and on account. 18 19 1 20 $|| Recounts Payotble 0] ado 20 21 Cash No [nlalog || 22 e To record 'selllement of account made on Dec.2| mE B 3 4 V4] Salaries Expense svol|_| | lela 35 Cosh wo ‘eld 26 To record payment of assiglants salaries. 7 S ‘ 28 20||Cash nol] | [aloldo) 29 Consulting Revenves hmio) ‘ojo 30 To record perpormed consuthng services gor cash | ET x 28|| Salavies Expense bio 33 Cash No} cioo.g To record payrmenl of assislanlé salaries Scanned with CamScannerDhan Lesther Taco yoo Wsh-te Poge-2 hea Tes and Exglalatiohs | «PRI Debit | Credi c Il THT > Dec. 40) Accounts Receivable noll_| [ulslolo] ea 2 5 (|: Consulting Revenves bol ELL PT palofold > < “To record billed clients gor consulting services: A ya 5 | made. | Is 6 100 HEEERS [6 7 vay Tila Wihdeuds wo | fiplojofo_ || 7 = Cash 7 [onal | 8 9 To vecord owners withdrawals. fe : Ls 0 mi TALE 70 T 7 a 1 a 2 j i 2 B |e 7 cobain. at TT 4 = tS 5 te oho i 7 16 7 i I 7 78 ; 8 9 9 w ooet out i t , 20 7 : a ap Ta 2 AAD Te 2 23 iE 24 Doo f Fak [2 : i Tall [L3s 26 | a gite in im [26 37 a7 2 I a i= 28 I 7 iE 30 ) dove pil ! I [20 1 I | [1 2 I | Tl ES 8 oll fi i | [33 34 7 7 i cen [D4 a | Ti [25 36 T cI be as Scanned with CamScannerProblem w 7 (Required 2) Dhan Lesthey Tacuyoq BSA- 1b Cosh 7 ate Dale Explanations Explonotions |IR]} Credit 1200] — 102)) 1 2 Dec! |[Investment [all ifeloll Decl 2 [[Payment of vent [|| [[ sled || 2 3 |20/]Consulling vevenves [|| | |r{olo} 3 |[Porchase of orgie equpt.|S-) jololo| || 3 ree 4 2/9} 4 [Settlement of account. Sx ifalolol || 2 Wf [[Payment of salaries [5-1 ofall _& 93 [Rayment of selaries [T4 eloolol ‘|| Z 3) [Withdrawals eal | halo) || s 7 laafo|__ || 8 9 9 Recaonts | Qdkeioble TT ajo_ [fio Dale! || Explanations TRI] Debi Dale || Explanations [SR. h no) 12 2021 5 We he 13 Dec] 40||Acerved revenves —_[-2||_| [lao 13 4 ha 5 is Su pplie: 1H fhe Dat Exglanotions [URI | Deli Date || Explanations TRL [Great 7 18 201) 18 19 Decl” [[Porchase of supplies [S- a is 20 be a ba Ocpiee Eaviprrent Bb le “2Ded Explanations (0A || {eb Date || Explanations — [ORI] [Cedi bs 24 ont) Tet % Dec| 9 [[Purchase of equigrtent An | ialelo [es 26 E 7 Ci Regiuats Payable i I 2 Dale || “Explanations TRI [Deby Dal Explanckons MQ. {i » ain , on Ck 51 Dec! 4|/SeWement of accoval ala} ec! 2 [|Rerchase of supplies 1 || | qalolo) [fst % 3 [[Porchase of equiprrenl [3.1 | Joolol [fs 3 i 1 i =a _ al |_| I 4 6 | z Ay TL [bs » || AW 7 = { bs Scanned with CamScannerVhan besther Tacvyoq BSN-1b Detoya,_ pital ee, _ » 20 Dele | Explanations AR Debit Date Explanations |VR Cedi 1 102) 1 2 Dec! 1 [Investment 1 |) hislolood fe 3 | 3 4 tT 4 Deliga, Withdrawals TH T3205 Date Explanations «(Rl | Devi Date || Explanations [SR dul is 74D 7 8 Dec | 21 Drawings 1 - 9 9 10 i a a ~ - 2 j fio Consulting [Revenves. Te : | ‘|e Date | *l| Explanations [URI | abi’ Dale || Explanations [SRI IC it 2 B ‘1011 i alps 4 Dec} 20 |[Revenve for cash. _[S1 ‘alojolofo) [ps 15 i __ [0 [|Revenve on account _|J-a| | [4sfololol [his 16 ie 7 he 18 hs Sakavies| Expense \ i Date | | Explanations Ml | Dole || Explanations fi. © 22Dec|4 [Payment of salaries [V1 colo} = 2 |8|[Paymen of salaries Noll [| felold bia 26 Wen? Expense _ [ os Date |" |" Explanation, [NR i Dele || Explanalions - TL. 29 9m) ( : 0 Yee! Raynenl of vent | EJ r a : : I s ue l [Ts 35 5 36 PT ll POTTTTbs S S is Scanned with CamScanner| Pater 17 (Required 2) Dhan Lesther Teewyoq @SR-Ib “Edgar Deloya, Tax Consullant Trial Galance Tajated Teal Balance] Income Stalewient | Galance Sheet Debit | Credit Debt | Ged [ Debit [Creat [Debit Credif Cash 93,800 93, $00 [93,400 ~ Aecounls Receivable 149,000 48,000 [ug,2001 Fees Receivable 10,000 19,000 39,000 Supplies 7790 7,500 4,700 4,700 HA 2 Bu ot 75,000 75,000 [35,600 unuloted Depreciodion ‘300 300 t Recounts Payable. 39,000 3000 | igs Pailable 7,800 1,800 | Capital 120,005 720,000 [Peloys Wihdrawals 12,000 x 12,000 17,000. Tncothe Summary = = 000, 75000) 7,006 78,000 72008 7,300 3,500 3,900) 3,200 2,500 = 2500 $000 3,000 9,000 $00, 900 $00 Tahoe TS | | Te.100| [1s WO | Tee LOO TELS | 95,100 | 79,000 | 445,300 | 780,600. - 31,900 52,900 fae : 74,000 | 78,000 | 243,¢00 | 243,500. | Scanned with CamScannerPoblew 17 C Requived a) hom Lesther Tacvyog ByMeIe OE Edgar Delayo, Tax Consultant “Tneome. Slalemert For the Month Ended Dec. 1,202) Revenues Consulting Revenues 78,000 Total 73,000 Expenses Salaries Expense 13,906 Supplies Expense 4,500 ; Rent Expense $000 ; Depreciation Expense 300 . Total 26,100 Progit $1,900 Scanned with CamScannerProblem #7 (Mequired 4) hay Lesther Tacuyos Edgar Delayo, tax Consultant Glotement of Changes in Equily For the Moth Ended Dec. 31,2021. Detayo, Owners Equity, 12/1/2021 180,000 Additional Investments by Delayo 0 Progit . * $2,900 Total 202,900 _ Wilhdrowals 12, 000 Delayo, Quiner’s Equit tala bow 190, 400 Scanned with CamScannerBoblem #7 (Required y) QsA- 1b DATE Dhan Lesther Tawyo Edgar Detayo, Tax Consul ant Balance Sheet for the Month Ended Dec. 21,2021 Assels Corrent_Nesels Cash 93,300 Recounts Receivable 4g, 000 Fees Receivable 10, 000 Supplies 4,700 Total Current Assets 156,500 Property and Equipment (Net) Orsice Equipment 74,000 Returvlated Depreciction = 300 74,200 Total Assets 730,700 Liabilities Current Liabilities \ Accounts Payable 38,000 Salaries Payable 1,900 Total Liabililies 39,900 Owners Eauly Delayo, Capital, 12/3112021 10,900 230, 100 Tolal Lialailities and Quners Equity ay Scanned with CamScannerProblem B7 (Requived uy) Dion Lesther Tawyog Whe t_ DATE Edgar Detayo, Tax Consultant Stalements of Cash Flous For the Molh Ended Dec. 31,2021 Cash Flows rom Operating Activities (4,000) Payments gor rent Payments for accounts payable (7,200) Payments to employees (6,000) Cash veceived prom customers 20,000 Payments to employees (000) Nel'cash provided by Lused in) operating activities (#7100) Cash Flows prom Invesing Activities. C Pouments to acquire ofrice equipment 41,000), = Nel cash provided by tte) in) investing acliviies 7,000) Cash Flows prom Financing Ackvilies Cash veceived as investments by oumer 150,000 Paumenls cor withdrawals by owner (1,000) Nel cash provided \oy Cused int) financing activities 138,000 Ne} Increase (Decrease) in Cash ~ F 9,400 Cash balance at the beqinning of the peri od _ Cash balance al the end of the period. a3, 500 Scanned with CamScannerDob leo thy (Required 5) Touralizing, adjvsting enries nan Lesther Tawyou Osi -1b Account Tiles and Explanations e 1 i ~ 2 2 Dec. |31||Supplies Expense E a\slo| 2 3 Ercole hwo aslo] 3 ‘ To record supplies vsed during the period: “ 5 5 6 2} ||Solaries Expense 610 ’ e 7. Salaries. Thualle hnvoll s/o] 7 si “Te xevord Salaries accrued during the period. $ 9 10 2) |[Depreciotion Expense Et ‘alolol 10 H ccurnulaed Deprecialion - Ss] 30) n 2 lo record depreciation tor Yhe month. a2 3 3 za 4) |/Fees Receivable v20l|_| [tlolofolo ui 153 Consulting Revenues lato y 6 Torecord-becrved vevenive or the month. 16 7 7 18 18 19 7 20 | 20 a 2 22 2 B | 2 a [= 25 L fes 26 || 26 27 i Y 27 2 I ie e | i E 30 | [30 a | I Bt 32 | Y | I 2 as | tT IPs x | im [34 35 im [3s 36 I P36 Scanned with CamScannerProblem 47 (Requived 5) Jron_Lesther Tacoyor Fees Receivalble ay Explanations [SA - | _| 1 2 1 Revenue on account _[Sal| | |ilololojo Sime sia ial 3 aa 4 | 4d] ie Explanations (SR | Debl Dele Explanations IR red 7 8X 00 a Mec [2 [Purchase of supplies (Sal || rblole! [Dec 9) [ncored eupplies [S| | | pspbol_f» wo [ar ||Ending balance lulr]o| 10 u é in 2B he Recsiwuldtel) Depreciation 34 |_[e Dale Explanations SAIL] Debi Dale || Explanations IR dit | [ls 6 | 20 hs ze Dec.| 2 [Depreciation othe monh] 1 Islojol [his a Iv 16 is » 2 Galaties! Payable 4 po Dale Explanations [SRI i Dale || Explanations [IR edi et 2 12011] J22 2 Dec.| 1 [[Acctved salaries [Jet Vslold 4 | 25 I Td Coxéuiling || Revenues HLT [Yio! | Je) Explanations [all | Debi Dae | Explanations (SRI [Credit | oT a hhow LTT Cl (Vee! 1 | Recrved vevenve |S) [hloooa | 31 | Erding balance | Thisol [| Date Evplenations _ + | —_ Reewved salaries mae Ending halonce Scanned with CamScannerSupplies Expense : 520 Date Explanations Debi} Date || Explanations [3R)) Cred:t 1 20n 2 Dec.|3) ||Trcveved supplies a\s/o} 3 4 en se te Explanations [Sl i Explanations [UU 8 2001 f 9 Dec.| 41] [Depreciation gor the mronlh 1 Scanned with CamScannerProblem H7 (Reqvived 5) Dhan Lesther Tacoyoa SN-te Paget = ~ See — —— Dale Account Ties and Explanations PQ) Debit Credit ii10711 fas) Osea =a TI L 2 Dec. 91, Consulling Revenves laia|_| frlgololo Tl | Z Tncome “Summary Inno] oo 4 (To record closing entry por revenve accounts. 3 i | | 6 31 Income Summary ‘na 7 Salaries Ex pendt rol i[aisolo 8 Supplies Expense sao] islolo 9 Rent Espen 20) fo, i. || Depreciation expense. 64 too 30 u | To record dosing entry gor expense accourts. | Lia 2 ne 8 21|Tucome Summary bso IIT is M4 Detoya, Capital” av | Tlalalolo! 15 To Yecord closing enlry cor income summary i [ps 16 account. : as 7 lav is 31 Deloya, Capital lan [as 9 TL Deloya, Withdrawals holo! | 3 20 | Te'Yecord closing enbry gor withdrawal account: I 20 CI Ee | Scanned with CamScannerPaddle 7 (Required Dhar Lesther os Bs Velogs, Capital ; 2 : Date Explonations [SR Debit Date | Explanations ton] | | (ann non | ~2 [Gosngoy wilhdeawal er] [flsfolel —||Dec| 2. [lasing of meone laccounl. suamary account: € drowals, 7 Explanations (IR A je || Explanations |S ed a 9 0 . lls a0} Dec! 21 [Closing of withdrawal] S-1 {ho 2 account. jn R 2 8 B Tncoine [Sulamary 3 4 Dale Explanations [IW i Dele_|| Explanations [SRI [Cited | is 16 on i lis 17 Decl 31 Qasing entry gor M4 2{5| fo] Vec| 9) [Closing entry gor [3-1 alsloldo ar 16 lexpense accounts. Yevenve accounts. lis 19 | Closing entey gor [Sal | |slaiafo 20 ‘income summary accaint Fl Toa Revenues Explanations [SQ [DEAT [[ Date | Explanations 52, De 3)| Closing enlry gor (34||_ | hielolo | revenve account. | Salies! Ei ence aie ti ma Dale] I Explanations —_|3R Dale] Explanations 2 I roi | | a 31 Clasin ealiy ¢o¢ Repent ot ae. Scanned with CamScannerSerle Bence Date Explanations [IR] Debit Date |] Explanations uaa Serene 02 7 2 Dec 91|[Closing entry gor 3 expenie accdunt 4 Rent Expenbe : d Bate |||: Explanations [SRI] |e Dalp || “Explanations |U-R|| [dvedit 8 i 1a) : | 2 ([[[Dec} a1 [Closing ely for _[J-1 doll ilo 10 { lexpense accovas. “hh m I 2 Ro 2 Depteciedionl| Expense | a BHO! |e Dale _ Explanations We i Date || Explanations URI a 1 Bf lao ( is a Dec] 2) [Closing envy gor [Sx lolol v7 expense accounts. it 18 ‘ 9 20 21 | 2 j 3 | Ey | Te B [ks 26 LOTT Ts Scanned with CamScannerYoblem Ww (Required 6) ox Lesther Tarynn Osh Edgar Deloya, Tax Consultan} Post Closing Trial Balance Dec. 31, 2021 Cosh 93,800 Accounts Receivable 4g, 000 Fees Receivable 10,000 Supplies 4,700 Oreice Equipment 15,000 Necumvlated Depreciation $00 Recounts Payolsle 48,000 Salaries Pagable 1, 300 Detous, Capital 140, 100) 131,500°. 23), $00 Scanned with CamScanner4 a Ncérvals and Dererrals thal are inital Poblens 7 (Required 7) recoded in income 4 Jalevaent are reverts ih Supplies is an example 0% prepaid e Dhaa Lether Tawyoa Qs shence, veversabble ge Recount Titles and Explanations PR | | 2 Yon 01|| Supplies ny his\o) 3 Supphes Expense sno sid : rend 4 reversing ene. gor supple used | 5 {i during he period 6 7 01||Sclaries Payable eal! | | Islslol 8 Salaries Expense 3 usta) 2 To record reversing enlry For salaries accived is during The period. tT i aa 01] Consulking Revenues tuo | hildloldo _| 2 5 Fees Receivable 10] sldolofd | 4 To record reversing entry cor accrued a 15 yevenve during the periods Ips 16 pe 7 [az 18 18 19 [ae 20 T [20 21 la 2 22 a | rie 7 | ae 35 = Tes 26 | mE a I I LT % | (ELTON Ey | cl liza 30 T _ TTT u I a [i Zz l T| | 2 3 T Toh (as En I TI [i 7 TTT Ths 36 eee I Cpe Scanned with CamScannerProblemy 7 (Requited 1) Yhon Lesther Tacuyog OSI. 1b Fees Receivable _ : Dake Explanations R]) Debit Dale | Explanations .R) : tw | : Merlo | Reversing entry [Sa gor accrued revenue fi mts Date! Explanations |30 Vale || Explanations /1® 82 v 9 Yan |01|/ Reversing entyy torlSa ABD : 10 | Tincorred pps m u [u 12 hz alates! Payable 44 2B Dade Explanations [IR i dle Explanations IR. el uM 15011 5 16Jan|oy || Reversing entry tor S41 h gol [he 7 accrued salaries. lhe 18 Ths Corgultinal] Revenues: MOLT The Date ns Explanations [SQ i | Explonahions [SAI [Ged 20 21.00 a 22 Van] 01 [[Reversing enlry gor |Sl|_| [t/0lo090 2 a awed Fevende. ae 4 | a 23 | [23 Galdvies! Expense. UT E afte! ||“ Explanations [SR Dei e_||_ Explanations 28 B 2 on] 04 [Reversing entry for 30 accrued salaries a | id ory ies| Expense inn L = = _ Wale! |" Explanations VR) _| | Explanations. uh | _ | { % LL iin Reversing ent § eT _|__llincunved? supphes. Scanned with CamScanner