Comprehensive Problem 4-1 (Page 202)

Accounting Cycle Worksheet

Accounts
Cash
Accounts Receivable
Supplies
Prepaid Rent
Prepaid Insurance
Office Equipment
Accumulated Depreciation
Accounts Payable
Salaries Payable
Unearned Fees
Kelly Pitney, Capital
Kelly Pitney, Draws
Fees Earned
Salary Expense
Rent Expense
Supplies Expense
Depreciation Expense
Insurance Expense
Miscellaneous Expense

Net Income
Total Balance

Unadjusted Trial Balance

Adjusting Entries
Debits
Credits
Debits
Credits
$
32,915
$
5,475
$
1,950
$
1,200
$
3,200
$
1,600
$
1,500
$
300
$
14,500
$
330
###
$
1,000
$
$
300
$
5,500 $
4,000
$
42,300
$
15,000
$
27,500
$
4,000
$
1,380
$
300
$
1,600
$
1,200
$
330
$
300
$
710

76,630 $

76,630 $

7,730 $

Adjusted Trial Balance

Debits
Credits
$
32,915
$
5,475
$
750
$
1,600
$
1,200
$
14,500
$
660
###
###
$
1,500
###
$
15,000
$ 31,500
$
1,680
$
1,600
$
1,200
$
330
$
300
$
710

7,730 $

77,260 $

$
77,260 $

Income Statement
Debits
Credits

Balance Sheet
Debits
Credits
###
###
###
###
###
###
$
660
$
1,000
$
300
$
1,500
$
42,300
###

31,500

###
###
###
###
###
###

25,680
31,500 $

31,500 $

$
71,440 $

25,680
71,440

Company General Ledger

Account - Cash
Date
May
May
May
May
May
May
May
May
May
May
May
May
May
May

Item
1 Beginning Balance
3 Unearned Fees
5 Accts Payable
9 Advertising
13 Paid Account
16 Paid Receptionist
17 Fees Earned
25 Cash from Clients
27 Cash From Account
28 Paid Receptionist
31 Phone Bill
31 Electricity Bill
31 Fees Earned
31 Kelly Draws

Post.
Ref.

Account No. 11
Balance
Debit
22,100
3,000
2,100

Credit

300
400
750
6,150
3,125
11,250
750
120
290
2,800
15,000
50,525

17,610

Account - Accounts Receivable

Date
May
May
May
May
May

Item
1 Beginning Balance
15 Services on Account
20 Services on Account
27 Cash From Account
31 Fees Earned

Post.
Ref.

Debit
22,100
25,100
27,200
26,900
26,500
25,750
31,900
35,025
46,275
45,525
45,405
45,115
47,915
32,915

Account No. 12
Balance
Debit
3,400

Credit
2,100

8,350
6,175
1,900

11,250

Debit
3,400
1,300
8,650
14,825
3,575
5,475

19,825

Account - Supplies
Date
Item
May
1 Beginning Balance
May
20 Purchased Supplies
31 Adjust Supplies

Post.
Ref.

Account No. 14
Balance
Debit
1,350
600

Credit
1,200

Account - Prepaid Rent

Date
May

Item
1 Beginning Balance
Ajdjust

Post.
Ref.

Debit
1,350
1,950
750

Account No. 15
Balance
Debit
3,200

Credit
1,600

Debit
3,200
1,600

Account - Prepaid Insurance

Date
May

Item
1 Beginning Balance
Ajjust

Post.
Ref.

Account No. 16
Balance
Debit
1,500

Credit
300

Debit
1,500
1,200

Account - Office Equipment

Date
May

Item
1 Beginning Balance

Post.
Ref.

Account No. 18
Balance
Debit
14,500

Credit

Debit
14,500

Account - Accumulated Depreciation

Date
May

Item
1 Beginning Balance
May Depreciation

Post.
Ref.

Account No. 19
Balance
Debit

Credit
330
330

Debit

Account - Accounts Payable

Date
Item
May
1 Beginning Balance
May
5 Cash
May
13 Paid Account
May
20 Supplies

Post.
Ref.

Account No. 21
Balance
Debit

Credit
800

Debit

400
600

1,400

Account - Salaries Payable

Date
Item
May
1 Beginning Balance
May
16 Paid Receptionist
ajust

Post.
Ref.

Account No. 22
Balance
Debit

Credit
120

Debit

120
300

Account - Unearned Fees

Date
May
May

Item
1 Beginning Balance
3 Cash
adjust

Post.
Ref.

Account No. 23
Balance
Debit
4,000

Credit
2,500
3,000

Debit

Account - Kelly Pitney, Capital

Date
May

Item
1 Beginning Balance
Closing Entry
Closing Draws

Post.
Ref.

Account No. 31
Balance
Debit

Credit
42,300
25,680

Debit

15,000

Account - Kelly Pitney, Draws

Date
Item
May
1 Beginning Balance
May
31 Kelly Draws

Post.
Ref.

Account No. 32
Balance
Debit

Credit

15,000

Debit
15,000

Account - Income Summary

Date
May

Item
1 Beginning Balance
Closing Entry
Closing Entry

Post.
Ref.

Account No. 33
Balance
Debit

Credit

Debit

31,500

Account - Fees Earned

Date
May
May
May
May
May
May
May

Item
1 Beginning Balance
15 Fees Earned
17 Cash
20 Services on Account
25 Cash from Clients
31 Fees Earned
31 Fees Earned
Adjust

Post.
Ref.

Account No. 41
Balance
Debit

Credit

Debit

7,350
6,150
6,175
3,125
2,800
1,900
4,000
31,500

Account - Salary Expense

Date
Item
May
1 Beginning Balance
May
16 Paid Receptionist
May
28 Pai Recpetionist
ajhyst

Post.
Ref.

Account No. 51
Balance
Debit

Credit

630
750

Debit
630
1,380

1,680

Account - Rent Expense

Date
May

Item
1 Beginning Balance
Adjust
Closing Entry

Post.
Ref.

Account No. 52
Balance
Debit

Credit

Debit

1,600
1,600

Account - Supplies Expense

Date
May

Item
1 Beginning Balance
Adjust
Closing

Post.
Ref.

Account No. 53
Balance
Debit

Credit

Debit

1,200
1,200

Account - Depreciation
Date
May

Item
1 Beginning Balance
May
Closing

Post.
Ref.

Account No. 54
Balance
Debit

Credit

Debit
300
-

300

Account - Insurance Expense

Date
May

Item
1 Beginning Balance
Adjust

Post.
Ref.

Account No. 55
Balance
Debit

Credit

Debit

300
300

Account - Misc. Expense

Date
Item
May
1 Beginning Balance
May
9 Advertising
May
31 Phone Bill
May
31 Electricity Bill
Closing Entry

Post.
Ref.

Account No. 59
Balance
Debit

Credit

300
120
290
710

Debit
320
420
710
-

Account No. 11
Balance
Credit

Account No. 12
Balance
Credit

Account No. 14
Balance
Credit

Account No. 15
Balance
Credit

Account No. 16
Balance
Credit

Account No. 18
Balance
Credit

Account No. 19
Balance
Credit
330
660

Account No. 21
Balance
Credit
800
400
1,000

Account No. 22
Balance
Credit
120
300

Account No. 23
Balance
Credit
2,500
5,500
1,500

Account No. 31
Balance
Credit
42,300
67,980
52,980

Account No. 32
Balance
Credit

Account No. 33
Balance
Credit
31,500
25,680

Account No. 41
Balance
Credit
7,350
13,500
19,675
22,800
25,600
27,500
31,500

Account No. 51
Balance
Credit

Account No. 52
Balance
Credit

Account No. 53
Balance
Credit

Account No. 54
Balance
Credit

Account No. 55
Balance
Credit

Account No. 59
Balance
Credit

May Journal Entries (Page 5)

Date

Account

Ref

Debit

3-May Cash

Credit
3,000

Unearned Fees

3,000
Received Cash for Unearned Fees

5-May Cash

2,100

Accounts Receivable

2,100

Received Cash on Account

9-May Misc Exp

300

Cash

300
Cash for Advertising

13-May Account Payable

400

Cash

400
Paid Debt to Office Station Co

15-May Accounts Receivable

7,350

Fees Earned

7,350
Services Listed on Account

16-May Salaries Exp

630

Salaries Payable

120

Cash

750
Paid Salary to Receptionist

May Journal Entries (Page 6)

Date

Account

Ref

17-May Cash

Debit

Credit
6,150

Fees Earned

6,150
Cash Earned

20-May Supplies

600

Accounts Pay

600
Supplies on Account

21-May Accounts Receivable

6,175

Fees Earned

6,175
Services on Account

25-May Cash

3,125

Fees Earned

3,125
Cash from Cash Clients

27-May Cash

11,250

Accounts Receivable

11,250

Received Cash from Account

28-May Salaries Exp

750

Cash

750
Paid Receptionist

30-May Misc Exp

120

Cash

120
Telephone Bill

31-May Misc Exp

290

Cash

290
Electricity Bill

31-May Cash

2,800

Fees Earned

2,800
Recorded Cash from Clients

31-May Accounts Receivable

1,900

Fees Earned

1,900
Recorded Services Rendered

31-May Kelly Draws

15,000

Cash

15,000
Kelly Draws

Kelly Consulting Post Closing Trial Balance

Accounts
Debits
Cash
Accounts Receivable
Supplies
Prepaid Rent
Prepaid Insurance
Office Equipment
Accumulated Depreciation
Accounts Payable
Salaries Payable
Unearned Fees
Kelly Pitney, Capital
Kelly Pitney, Draws
Fees Earned
Salary Expense
Rent Expense
Supplies Expense
Depreciation Expense
Insurance Expense
Miscellaneous Expense

Total Balance

Credits

32,915
5,475
750
1,600
1,200
14,500
660
1,000
300
1,500
52,980

56,440 $

56,440

Kelly Consulting
Balance Sheet
As of 5 /31/2012
Current Assets:
Cash

Total Current Assets

$ 32,915
$ 5,475
$
750
$ 1,600
$ 1,200
$ 14,500
$ 56,440

Less Accumulated De $
(660)
Total Assets
$ 55,780

Current Liabilities:
$
$
$
Total Liabilities

Revenue:
$ 31,500
Expenses:

Total Expense

Net Income

1,680
1,600
1,200
330
300
710

Fees Earned
$
31,500

5,820
$

25,680

Kelly Consulting
Statement of Owner's Equity
For the Perion Ended 5/31/2012
Owner's Capital 5/1/12
Net Income (May)
Less Owner's Draws
Owner's Capital 5/31/12

2,800

Owner's Capital
$ 52,980
Total Liab & Capital $ 55,780

Kelly Consulting
Income Statement
For the Period Ended 5/31/2012

$
$
$
$
$
$

1,000
300
1,500

$
$
$
$

42,300
25,680
(15,000)
52,980

Kelly Consulting Unadjusted Trial Balance

Accounts
Debits
Cash
Accounts Receivable
Supplies
Prepaid Rent
Prepaid Insurance
Office Equipment
Accumulated Depreciation
Accounts Payable
Salaries Payable
Unearned Fees
Kelly Pitney, Capital
Kelly Pitney, Draws
Fees Earned
Salary Expense
Rent Expense
Supplies Expense
Depreciation Expense
Insurance Expense
Miscellaneous Expense

Total Balance

Credits

32,915
5,475
1,950
3,200
1,500
14,500

330
1,000
5,500
42,300
15,000
27,500
1,380

710

76,630 $

76,630

May Adjusting Journal Entries (Page 7)

Date

Account

Ref

Debit

30-May Insurance Expense

Credit
300

Prepaid Insurance

300
Insurance Expired

30-May Supplies Expense

1,200

Supplies

1,200
Supplies on Hand

30-May Depreciation Expense

330

Accumulated Depreciation-Equip

330

Depreciation on Office Equipment

30-May Salary Expense

300

Salaries Payable

300
Accrued Receptionist Salary

30-May Rent Expense

1,600

Prepaid Rent

1,600
Rent Expired

30-May Unearned Fees

Fees Earned

4,000
4,000

Kelly Consulting Adjusted Trial Balance

Accounts
Debits
Cash
Accounts Receivable
Supplies
Prepaid Rent
Prepaid Insurance
Office Equipment
Accumulated Depreciation
Accounts Payable
Salaries Payable
Unearned Fees
Kelly Pitney, Capital
Kelly Pitney, Draws
Fees Earned
Salary Expense
Rent Expense
Supplies Expense
Depreciation Expense
Insurance Expense
Miscellaneous Expense

Total Balance

Credits

32,915
5,475
750
1,600
1,200
14,500
660
1,000
300
1,500
42,300

15,000
31,500
1,680
1,600
1,200
330
300
710

77,260 $

77,260

May Closing Journal Entries (Page 8)

Date

Account

30-May Fees Earned

Ref

Debit

Credit
31,500

Income Summary

30-May Income Summary

31,500

5,820

Salary Expense

1,680

Rent Expense

1,600

Supplies Expense

1,200

Depreciation Expense

330

Insurance Expense

300

Misc Expense

710

30-May Income Summary

25,680

Capital

30-May Kelly Capital

Kelly Draws

25,680

15,000
15,000