Ilustrative Problem (Page 122)

Solution

Journal

No 1
Date

Description

2010

July 31 Supplies expense

Supplies

31 Insurance expense
Prepaid Insurance

31 Depreciation expense
Accumulated Depreciation- Office Equipment

31 Wages expense
Wages Payable

31 Accounts Receivable
Fees Earned

31 Unearned Fees
Fees Earned

No. 2

Harbor Realty
Adjusted Trial Balance
Juli 31, 2010

Cash
Accounts Receivable .
Supplies.
Prepaid Insurance .
Office Equipment ..
Accumulated Depreciation-Office Equipment ..
Account Payable .

Wages Payable ....

Unearned Fees ...
T. Roderick, Capital .
T. Roderick, Drawing .
Fees Earned ....
Wages Expense .
Depreciation Expense .
Rent Expense .
Utilities Expense .
Supplies Expense .
Insurance Expense .
Miscellaneous Expense .

Journal
Description

Post
Ref.

Debit

Supplies expense
Supplies
Supplies used ($1.270 -$380)

890

Insurance expense
Prepaid Insurance
Insurance expired.

315

Depreciation expense
Accumulated Depreciation- Office Equipment
Depreciation expense.

Wages expense
Wages Payable
Accrued wages

4,950

440

Accounts Receivable
Fees Earned
Accrued fees

1,000

Unearned Fees
Fees Earned
Fees Earned ($1.250-$750)

500

Harbor Realty
Adjusted Trial Balance
Juli 31, 2010

.
able ....
...
ce ...
nt ....
preciation-Office Equipment ..
e .

Debit
Balance
3,425
8,000
380
305
51,650

......
...
ital ..
wing ..
.....
..
pense ...
..
e ..
e .
nse ..
xpense ..

5,200
22,855
4,950
4,200
2,715
890
315
1,505
106,390

Credit

890

315

4,950

440

1,000

500

Credit
Balance
3,425
8,000
380
305
51,650
14,650
925

14,650
925

440
750
29,000

440
750
29,000
5,200

60,625

106,390

60,625
22,855
4,950
4,200
2,715
890
315
1,505
106,390

106,390

Ilustrative Problem (Page 122)

Solution

Journal

No 1
Date

Description

2010

July 31 Supplies expense

Supplies

31 Insurance expense
Prepaid Insurance

31 Depreciation expense
Accumulated Depreciation- Office Equipment

31 Wages expense
Wages Payable

31 Accounts Receivable
Fees Earned

31 Unearned Fees
Fees Earned

No. 2

Harbor Realty
Adjusted Trial Balance
Juli 31, 2010

Cash
Accounts Receivable .
Supplies.
Prepaid Insurance .
Office Equipment ..
Accumulated Depreciation-Office Equipment ..
Account Payable .

Wages Payable ....

Unearned Fees ...
T. Roderick, Capital .
T. Roderick, Drawing .
Fees Earned ....
Wages Expense .
Depreciation Expense .
Rent Expense .
Utilities Expense .
Supplies Expense .
Insurance Expense .
Miscellaneous Expense .

Journal
Description

Post
Ref.

Debit

Supplies expense
Supplies
Supplies used ($1.270 -$380)

890

Insurance expense
Prepaid Insurance
Insurance expired.

315

Depreciation expense
Accumulated Depreciation- Office Equipment
Depreciation expense.

Wages expense
Wages Payable
Accrued wages

4,950

440

Accounts Receivable
Fees Earned
Accrued fees

1,000

Unearned Fees
Fees Earned
Fees Earned ($1.250-$750)

500

Harbor Realty
Adjusted Trial Balance
Juli 31, 2010

.
able ....
...
ce ...
nt ....
preciation-Office Equipment ..
e .

Debit
Balance
3,425
8,000
380
305
51,650

......
...
ital ..
wing ..
.....
..
pense ...
..
e ..
e .
nse ..
xpense ..

5,200
22,855
4,950
4,200
2,715
890
315
1,505
106,390

Credit

890

315

4,950

440

1,000

500

Credit
Balance

14,650
925

440
750
29,000
60,625

106,390