e3 10 adjusting entries uhura resort opened for business on june 1 with eight air co 264288

Prepare adjusted trial balance

E3 10 (adjusting entries) Uhura resort opened for business on June 1 with eight air conditioned units. Its trial balance on august 31 as follows.

Don't use plagiarized sources. Get Your Custom Essay on
e3 10 adjusting entries uhura resort opened for business on june 1 with eight air co 264288
For $10/Page 0nly
Order Essay

UHURA RESORT

TRIAL BALANCE

31 Aug 12

 

Debit

Credit

Cash

$19,600

 

Prepaid Insurance

4,500

 

Supplies

2,600

 

Land

20,000

 

Buildings

120,000

 

Equipment

16,000

 

Accounts Payable

 

$4,500

Unearned Rent Revenue

 

4,600

Mortgage Payable

 

50,000

Common Stock

 

100,000

Dividends

5,000

 

Rent Revenue

 

86,200

Salaries and Wages Expense

44,800

 

Utilities Expenses

9,200

 

Maintenance and Repairs Expense

3,600

 
 

$245,300

$245,300

Other Data:
1. The balance in prepaid insurance is a one year premium paid on June 1, 2010.
2. An inventory count on August 31 shows $650 of supplies on hand.
3. Annual depreciation rates are cottages (4%) and furniture (10%). Salvage value is estimated to be 10% of cost.
4. Unearned rent revenue of $3,800 was earned prior to August 31.
5. Salaries of $375 were unpaid at August 31
6. Rentals of $800 were due from tenants at August 31.
7. The mortgage interest rate is 8% per year.

Instructions:
(a) Journalize the adjusting entries on August 31 for the 3 months period June 1 August 31. (omit explanation)
(b) Prepare an adjusting trial balance on August 31

Calculator

Calculate the price of your paper

Total price:$26

Need a better grade?
We've got you covered.

Order your paper