PROBLEMS L02,4,5) (Tansactions, Financial Statements-Service Company) Listed below are the transactions of Yasunari Kawa- P3-1 bata, DD.S, for the month of September 1 Kawabata begins practice as a dentist and invests $20,000 cash 2 Purchases dental 4 Pays rent for office space, $680 for the month 4 Employs a receptionist, Michael Bradly 5 Purchases dental supplies for cash, $942. 8 Receives cash of $1,690 from patients for services performed 10 Pays miscellancous office expenses 14 Buils patients $5,820 for services performed 18 Pays Green Jacket Co on account, $3,600. 19 Withdraws $3,000 cash from the business for personal use. 20 Receives $980 from patients on account 25 bills patients $2.110 for services performed 30 Pays the klowing expensin ash salaries and wags S1皿mio ellano sehr e pone ses equipment on account from Green Jacket Co. for S$17280. $430. De.sal supplies used during September. S330. Instructions (a) Enter the transactions shown above in appropriate general ledger accounts (use T-accounts). Use the following ledger accounts: Cash, Accounts Recelvable, Supplies, Equipment, Accumulated Depreciation-Equipment, Accounts Pay- able, Owner’s Capital, Service Revenue, Rent Expense, Office Expense, Salaries and Wages Expense, Supplies Expense, Depreciation Expense, and Income Summary for each of the other accounts needed. Record depreciation using a 5-year life on the equipment, the straight-line method, and no salvage value. Do not use a drawing account. Allow 10 lines for the Cash and Income Summary accounts, and 5 lines (b) Prepare a trial balance (c) Prepare an income statement, a statement of owner’s equity, and an unclassified balance sheet (d) Close the ledger (e) Prepare a post-closing trial balance. P3-2 (L03,4) EXCEL (Adjusting Entries and Financial Statements) Mason Advertising was founded in January 2013. Presented below are adjusted and unadjusted trial balances as of December 31, 2017 MASON ADVERTISING TRIAL BALANCE DECEMBER 31, 2017 Dr. Dr. s 11,000 s 11,000 Accounts Receivable 8,400 3,350 60,000 Prepaid Insurance 60,000 s 33,000 25,000 Accumulated Depreciation-Equipment Accounts Payable Inberest Payable Notes Payable Unearned Service Revenue Salaries and Wages Payable Common Stock Retained Earnings Service Revenue Salaries and Wages Expense Insurance Expense Interest Expense Depreciation Expense Supplies Expense Rent Expense 5,000 150 5,000 5,600 1300 10,000 3,500 5,000 7,000 10,000 3,500 10,00058,600 11,30063,500 350 5,000 5,400 $117,100 127 050 $127,050 Instructions a) Journalize the annual adjusting entries that were made. (Omit explanations.) (b) Prepare an income statement and a statement unclassified balance sheet at December 31. ling December 31, 2017, and an
