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Question
Based on the following information, prepare the adjusting journal entries for Bella's Beauty Salon. Bellas Beauty Salon's unadjusted trial balance for the current year follows:| BELLAS BEAUTY SALON Trial Balance December 31 | ||
| Cash | $ 4,200 | |
| Prepaid insurance | 1,480 | |
| Shop supplies | 990 | |
| Shop equipment | 3,860 | |
| Accumulated depreciation shop equipment | $ 770 | |
| Building | 57,500 | |
| Accumulated depreciation building | 3,840 | |
| Land | 55,000 | |
| Unearned rent | 1,600 | |
| Long-term notes payable | 50,000 | |
| Common stock | 10,000 | |
| Retained earnings | 39,860 | |
| Rent earned | 2,400 | |
| Fees earned | 23,400 | |
| Wages expense | 3,200 | |
| Utilities expense | 690 | |
| Property taxes expense | 600 | |
| Interest expense | 4,350 | |
| Totals | $131,870 | $131,870 |
Additional information:
a. An insurance policy examination showed $1,240 of expired insurance
b. An inventory count showed $210 of unused shop supplies still available
c. Depreciation expense on shop equipment, $350
d. Depreciation expense on the building, $2,220
e. A beautician is behind on space rental payments and this $200 of accrued revenue was unrecorded at the time the trial balance was prepared.
f. $800 of the Unearned Rent account balance was earned by year-end.
g. The one employee, a receptionist, works a five-day workweek at $50 per day. The employee was paid last week but has worked four days this week for which she has not been paid.
h. Three months' property taxes, totaling $450, have accrued. This additional amount of property taxes expense has not been recorded.
i. One month's interest on the note payable, $600, has accrued but is unrecorded.
Answer
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Related questions
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Periods
12 Percent 1
8929 2
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Q:
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C. A quarterly period separated into weekly budgets.
D. An annual period separated into weekly budgets.
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E. After the accounting period has begun.
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