1
Universitas Negeri Yogyakarta
CP: 08 222 180 1695
1.
Describe the flow of accounting
information from the unadjusted trial
4.
Describe the accounting cycle.
5.
Illustrate the accounting cycle for one
period.
6.
Explain what is meant by the fiscal
year and the natural business year.
Describe the flow of accounting
information from the
unadjusted trial balance into the
5
Account TittleDr. Cr. Dr. Cr. Dr. Cr. Dr. Cr. Dr. Cr.
1 Cash 2,065 2,065 2,065
2 Accounts Receivable 2,220 (d) 500 2,720 2,720
3 Supplies 2,000 (a) 1,240 760 760
4 Prepaid Insurance 2,400 (b) 200 2,200 2,200
5 Land 20,000 20,000 20,000
6 Office Equipment 1,800 1,800 1,800
7 Account Payable 900 900 900
8 Unearned Rent 360 (c) 120 240 240
9 Cinta Cita, Capital 25,000 25,000 25,000
10 Cinta Cita, Drawing 4,000 4,000 4,000
11 Fees Earned 16,340 (d)500 16,840 16,840
12 Wages Expense 4,275 (e) 250 4,525 4,525
13 Rent Expense 1,600 1,600 1,600
14 Utilities Expense 985 985 985
15 Supplies Expense 800 (a) 1,240 2,040 2,040
16 Misscellaneous Expense 455 455 455
17 42,600 42,600
18 Insurance Expense (b) 200 200 200
19 Rent Revenue (c)120 120 120
20 Wages Payable (e) 250 250 250
21 Depreciation Expense (f) 50 50 50
22 Accumulated Depreciation (f) 50 50 50
23 2,360 2,360 43,400 43,400 9,855 16,960 33,545 26,440
24 Net income 7,105 7,105
Income Statement Balance Sheet End-of-Period Spreadsheet (Worksheet)
For the Two Months Ended December 31, 2007 Undajusted Trial
Balance Adjustments
Spreadsheet (Work Sheet)
Trial Balance
Accounts
Dr
Cr
Dr
Cr
Dr
Cr
Adjustments are entered here. Two possibilities:
1. Deferrals
–
Existing balances are changed.
2. Accruals
–
New information is entered.
Trial Balance
Accounts
Dr
Cr
Dr
Cr
Dr
Cr
Adjustments
Adjusted TB
Spreadsheet (Work Sheet)
Trial Balance
Accounts
Dr
Cr
Dr
Cr
Dr
Cr
Revenue and expense balances in the
Adjusted Trial Balance column are extended
to the Income Statement column.
Adjusted TB
Accounts
Dr
Cr
Dr
Cr
Dr
Cr
Income State.
Balance Sheet
Adjusted TB
Accounts
Dr
Cr
Dr
Cr
Dr
Cr
Income State.
Balance Sheet
Example Exercise 4-1
The balances for the accounts listed below appear in the
Adjusted Trial Balance columns of the end-of-period
spreadsheet (work sheet). Indicate whether each balance
should be extended to (a) an Income Statement column or
(b) a Balance Sheet column.
1. Ambar Dewi, Drawing
2. Utilities Expense
3. Accumulated
Depreciation
—
Equipment
4. Unearned Rent
5. Fees Earned
6. Accounts Payable
7. Rent Revenue
Follow My Example 4-1
1. Balance Sheet column
2. Income Statement column
3. Balance Sheet column
4. Balance Sheet column
Prepare financial
statements from adjusted
account balances.
Fees earned Rp16 840 000
Rent revenue 120 000
Total revenues Rp16 960 000
Expenses:
Wages expense Rp4 525 000 Suppliea expense 2 040 000 Rent expense 1 600 000 Utilities expense 985 000 Insurance expense 200 000 Depreciation expense 50 000 Misscellaneous expense 455 000
Total expenses 9 855 000
Net income Rp7 105 000
Assets Liabilities
Current assets; Current Liabilities
Cash Rp2 065 000 Accounts payable Rp 900 000 Accounts Receivable 2 720 000 Wages payable 250 000 Supplies 760 000 Unearned rent 240 000
Prepaid Insurance 2 200 000 Total liabilities Rp1 390 000 Total current assets Rp7 745 000
Property, Plant and equipment
Land Rp20 000 000
Office equipment Rp1,800,000
Less accum. depr. 50,000 1 750 000 owner's equity
Total property, plant Cinta Cita, capital Rp28 105 000 and equipment 21 750 000 Total liabilities and
Total assets Rp29 495 000 owner's equity Rp29 495 000 SolusiNet
Balance Sheet December 31, 2007
From statement of owner’
Example Exercise 4-2
In the Balance Sheet columns of the end-of-period
17
Follow My Example 4-2
A net income of Rp78,700,000 (Rp678,450,000
–
Rp599,750,000) would be reported. When the Debit
column of the Balance Sheet columns is more than the
Credit column, net income is reported. If the Credit
column exceeds the Debit column, a net loss is reported.
Example Exercise 4-3
Zaka Gading owns and operates Gading Employment
Services. On January 1, 2007, Zaka Gading, Capital had a
balance of Rp186,000,000. During the year, Zaka invested
an additional Rp40,000,000 and withdrew Rp25,000,000.
For the year ended December 31, 2007, Gading
Employment Services reported a net income of
19
Follow My Example 4-3
GADING EMPLOYMENT SERVICES
STATEMENT OF OWNER’S EQUITY
For the Year Ended December 31, 2007
For Practice: PE 4-3A, PE 4-3B
19
Zaka Gading, capital, January 1, 2007
Rp186,000,000
Additional investment during 2007
40,000,000
Total
Rp226,000,000
Withdrawals
Rp 25,000,000
Less net income
18,750,000
A
classified balance sheet
is a
balance sheet that was expanded by
adding subsections for current
assets; property, plant, and
Cash and other assets that are expected
to be converted into cash, sold or used
up usually within a year or less,
through the normal operations of the
business are called
current assets
.
Cash
Accounts Receivable
Notes receivable
are written
promises by the customer to
pay the amount of the note
and possibly interest at an
Property, plant, and equipment
(also called
fixed assets
) include assets that depreciate
over a period of time. Land is an exception
as it is not subject to depreciation.
Equipment
Machinery
Buildings
Liabilities that will be due within a
short time (usually one year or less)
and that are to be paid out of current
assets are called
current liabilities
.
Accounts payable
Liabilities not due for a long
time (usually more than one
year) are
long-term liabilities
.
Notes payable
Mortgage payable
Owner’s equity
is the owner’s
right to the assets of the business.
Owner’s equity is added to the
27
Example Exercise 4-4
The following accounts appear in the adjusted trial balance of
Mata Hati Consulting. Indicate whether each account would be
reported in the (a) current asset; (b) property, plant, and
equipment; (c) current liability, (d) long-term liability; or (e)
owner’s equity section of the December 31, 2007 balance sheet
of Hindsight Consulting.
27
1. Jaka Cahyadi, Capital
5. Cash
2. Notes Receivable (due 6. Unearned Rent
in 6 months)
months)
3. Notes Payable (due in
7. Accumulated Depr.
—
2009)
Equipment
1.
Owner’s equity
5. Current asset
2. Current asset
6. Current liability
3. Long-term liability
7. Property, plant, and equipment
4. Property, plant, and equip. 8. Current liability
Prepare closing
entries.
Accounts that are relatively
permanent from year to year are
called
real accounts
. Accounts
that report amounts for only one
To report amounts for only one period,
temporary accounts should have zero
balances at the beginning of the
period. At the end of the period the
revenue and expense account balances
The balance of
Income Summary
is
then transferred to the owner’s capital
account. The balance of the owner’s
drawing account is also transferred to
the owner’s capital account. The
for the amount of its balance,
and credit
Income Summary
for the total revenue.
Fees Earned
Bal. 16,840
Income Summary 16,840
35
Rent Expense Depreciation Expense Utilities Expense Supplies Expense Insurance Expense Bal. 200 Miscellaneous Expense Bal. 455 Income SummaryDebit
Income Summary
for the total expenses
and credit each expense
account for its balance.
Cinta Cita, Capital
Bal. 25,000
7,105
7,105
Debit Income
Summary
for the
amount of its balance
CintaCita, Capital
Bal. 25,000 7,105
Cinta Cita, Drawing
Bal. 4,000 4,000
4,000
Debit the capital
account for the
balance of the
drawing account,
and credit drawing
Post. Ref. Closing Entries
Dec.2007 31 Fees Earned 41 16 840 000 Rent Revenue 42 120 000
Income Summary 33 16 960 000
31 Income Summary 33 9 855 000
Wages Expense 51 4 525 000
Rent Expense 52 1 600 000
Depreciation Expense 53 50 000
Utilities Expense 54 985 000
Supplies Expense 55 2 040 000
Insurance Expense 56 200 000
Date Description Debit Credit
Step 1
After the closing entries
are posted, all of the
temporary accounts have
Example Exercise 4-4
The following accounts appear in the adjusted trial balance of
Hindsight Consulting. Indicate whether each account would be
reported in the (a) current asset; (b) property, plant, and
equipment; (c) current liability, (d) long-term liability; or (e)
owner’s equity section of the December 31, 2007, balance sheet
of Hindsight Consulting.
Example Exercise 4-5
After the accounts have been adjusted at July 31, the end of the
fiscal year, the following balances are taken from the ledger of
Ungu Violet Services
Anisa Putri, Capital
Rp615,850,000
Anisa Putri, Drawing
25,000,000
Fees Earned
380,450,000
Wages Expense
250,000,000
41
July 31
Fees Earned
380,450,000
Income Summary
380,450,000
31
Income Summary
339,450,000
Wages Expense
250,000,000
Rent Expense
65,000,000
Supplies Expense
18,250,000
Miscellaneous Expense
6,200,000
31
Income Summary
41,000,000
Anisa Putri, Capital
41,000,000
31 Terry Lambert, Capital
25,000,000
Anisa Putri, Drawing
25,000,000
Post-Closing Trial Balance
December 31, 2007
Cash
2 065 000
Accounts Receivable
2 720 000
Supplies
760 000
Prepaid Insurance
2 200 000
Land
20 000 000
Office Equipment
1 800 000
Describe the
accounting cycle.
The accounting process that begins
with analyzing and journalizing
transactions and ends with preparing
the accounting records for the next
period’s transactions is called the
45
2.
Transactions are posted to the ledger.
3.
An unadjusted trial balance is prepared.
4.
Adjustment data are assembled and
analyzed.
5.
An optional end-of-period spreadsheet
(work sheet) is prepared.
1.
Transactions are analyzed and recorded
in the journal.
7.
An adjusted trial balance is prepared.
8.
Financial statements are prepared.
9.
Closing entries are journalized and
posted to the ledger.
47
21
The following accounts appear in the adjusted trial balance of
Hindsight Consulting. Indicate whether each account would be
reported in the (a) current asset; (b) property, plant, and
equipment; (c) current liability, (d) long-term liability; or (e)
owner’s equity section of the December 31, 2007, balance sheet
of Hindsight Consulting.
From the following list of steps in the accounting cycle, identify
what two steps are missing.
47
a.
Transactions are analyzed and recorded in the journal.
b.
Transactions are posted to the ledger.
c.
Adjustment data are assembled and analyzed.
d.
An optional end-of-period spreadsheet (work sheet) is
prepared.
e.
Adjusting entries are journalized and posted to the
ledger.
f.
Financial statements are prepared.
g.
Closing entries are journalized and posted to the
ledger.
The following two steps are missing: (1) the
preparation of an unadjusted trial balance and (2)
the preparation of the adjusted trial balance. The
unadjusted trial balance should be prepared after
step (b). The adjusted trial balance should be
prepared after step (e).
Objective 5
Illustrate the accounting
cycle for one period.
Explain what is meant by
the fiscal year and the
natural business year.
The annual accounting period adopted
by a business is known as its
fiscal
year
. When a business adopts a fiscal
year that ends when business activities
have reached the lowest point in its
annual operation, such a fiscal year is
The financial history of a business may be
shown by a series of balance sheets and
End-of-Period
55
Cash 2,065
Accounts Receivable 2,220
Supplies 2,000
Prepaid Insurance 2,400
Land 20,000
Office Equipment 1,800
Accounts Payable 900
Unearned Rent 360
Cinta Cita, Capital 25,000 Cinta Cita, Drawing 4,000
Fees Earned 16,340
Wages Expense 4,275 Rent Expense 1,600 Utilities Expense 985 Supplies Expense 800 Miscellaneous Expense 455
42,600 42,600
Account Title Debit Credit Debit Credit Debit Credit
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21
The
unadjusted
trial balance
is checked
for equality.
55
Cash 2,065 Accounts Receivable 2,220
Supplies 2,000
Prepaid Insurance 2,400
Land 20,000
Office Equipment 1,800
Accounts Payable 900
Unearned Rent 360
Cinta Cita, Capital 25,000 Cinta Cita, Drawing 4,000
Fees Earned 16,340
Wages Expense 4,275 Rent Expense 1,600 Utilities Expense 985
Supplies Expense 800
Account Title Debit Credit Debit Credit Debit Credit
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 (a) 1,240 (a) 1,240
Cost of
supplies on
hand at end
of period is
Rp760,000.
57
Cash 2,065
Accounts Receivable 2,220
Supplies 2,000 (a) 1,240
Prepaid Insurance 2,400
Land 20,000
Office Equipment 1,800
Accounts Payable 900
Unearned Rent 360
Cinta Cita, Capital 25,000 Cinta Cita, Drawing 4,000
Fees Earned 16,340
Wages Expense 4,275 Rent Expense 1,600 Utilities Expense 985
Supplies Expense 800 (a) 1,240 Miscellaneous Expense 455
42,600 42,600
Account Title Debit Credit Debit Credit Debit Credit
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21
Insurance Expense (b) 200
Accounts are added as needed
.
(b) 200
The
insurance
expense for
December is
Rp200,000
(Rp2,400,00
0/12)
57
Cash 2,065 Accounts Receivable 2,220
Supplies 2,000 (a) 1,240
Prepaid Insurance 2,400 (b) 200
Land 20,000
Office Equipment 1,800
Accounts Payable 900
Unearned Rent 360
Cinta Cita, Capital 25,000 Cinta Cita, Drawing 4,000
Fees Earned 16,340
Wages Expense 4,275 Rent Expense 1,600 Utilities Expense 985
Supplies Expense 800 (a) 1,240
Account Title Debit Credit Debit Credit Debit Credit
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
(c) 120
Rent revenue
earned
during
December
was
Rp120,000.
59
Cash 2,065
Accounts Receivable 2,220
Supplies 2,000 (a) 1,240
Prepaid Insurance 2,400 (b) 200
Land 20,000
Office Equipment 1,800
Accounts Payable 900
Unearned Rent 360 (c) 120 Cinta Cita, Capital 25,000
Cinta Cita, Drawing 4,000
Fees Earned 16,340
Wages Expense 4,275
Rent Expense 1,600 Utilities Expense 985
Supplies Expense 800 (a) 1,240 Miscellaneous Expense 455
42,600 42,600
Account Title Debit Credit Debit Credit Debit Credit
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21
Insurance Expense (b) 200
Rent Revenue (c) 120
Wages Payable (d) 250
(d) 250
Wages
accrued but
not paid at
the end of
December
totaled
Rp250,000.
59
Cash 2,065
Accounts Receivable 2,220
Supplies 2,000 (a) 1,240
Prepaid Insurance 2,400 (b) 200
Land 20,000
Office Equipment 1,800
Accounts Payable 900
Unearned Rent 360 (c) 120 Cinta Cita, Capital 25,000
Cinta Cita, Drawing 4,000
Fees Earned 16,340
Wages Expense 4,275 (d) 250 Rent Expense 1,600
Utilities Expense 985
Supplies Expense 800 (a) 1,240
Account Title Debit Credit Debit Credit Debit Credit
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
(e) 500
(e) 500
Fees accrued
at the end of
December
but not
recorded
total
61
Cash 2,065
Accounts Receivable 2,220 (e) 500
Supplies 2,000 (a) 1,240
Prepaid Insurance 2,400 (b) 200
Land 20,000
Office Equipment 1,800
Accounts Payable 900
Unearned Rent 360 (c) 120 Cinta Cita, Capital 25,000
Cinta Cita, Drawing 4,000
Fees Earned 16,340 (e) 500 Wages Expense 4,275 (d) 250
Rent Expense 1,600 Utilities Expense 985
Supplies Expense 800 (a) 1,240 Miscellaneous Expense 455
42,600 42,600
Account Title Debit Credit Debit Credit Debit Credit
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21
Insurance Expense (b) 200
Rent Revenue (c) 120
Wages Payable (d) 250
Depreciation Expense (f) 50
Depreciation
of office
equipment is
Rp50,000 for
December.
Trial Balance Adjustments Trial Balance
Cash 2,065
Accounts Receivable 2,220 (e) 500
Supplies 2,000 (a) 1,240
Prepaid Insurance 2,400 (b) 200
Land 20,000
Office Equipment 1,800
Accounts Payable 900
Unearned Rent 360 (c) 120 Cinta Cita, Capital 25,000
Cinta Cita, Drawing 4,000
Fees Earned 16,340 (e) 500 Wages Expense 4,275 (d) 250
Rent Expense 1,600 Utilities Expense 985
Supplies Expense 800 (a) 1,240 Miscellaneous Expense 455
Account Title Debit Credit Debit Credit Debit Credit
63
Cash 2,065
Accounts Receivable 2,220 (e) 500
Supplies 2,000 (a) 1,240
Prepaid Insurance 2,400 (b) 200
Land 20,000
Office Equipment 1,800
Accounts Payable 900
Unearned Rent 360 (c) 120 Cinta Cita, Capital 25,000
Cinta Cita, Drawing 4,000
Fees Earned 16,340 (e) 500 Wages Expense 4,275 (d) 250
Rent Expense 1,600 Utilities Expense 985
Supplies Expense 800 (a) 1,240 Miscellaneous Expense 455
42,600 42,600 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24
Insurance Expense (b) 200
Rent Revenue (c) 120
Wages Payable (d) 250
Depreciation Expense (f) 50
Accum. Depreciation (f) 50
amounts found in the Unadjusted
Trial Balance columns and enter
65
Cash 2,065
Accounts Receivable 2,220 (e) 500
Supplies 2,000 (a) 1,240
Prepaid Insurance 2,400 (b) 200
Land 20,000
Office Equipment 1,800
Accounts Payable 900
Unearned Rent 360 (c) 120 Cinta Cita, Capital 25,000
Cinta Cita, Drawing 4,000
Fees Earned 16,340 (e) 500 Wages Expense 4,275 (d) 250
Rent Expense 1,600 Utilities Expense 985
Supplies Expense 800 (a) 1,240 Miscellaneous Expense 455
42,600 42,600 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24
Insurance Expense (b) 200
Rent Revenue (c) 120
Wages Payable (d) 250
Depreciation Expense (f) 50
Accum. Depreciation (f) 50 2,360 2,360
65
Accounts Receivable 2,220 (e) 500 2,720
Supplies 2,000 (a) 1,240 760
Prepaid Insurance 2,400 (b) 200 2,200
Land 20,000 20,000
Office Equipment 1,800 1,800
Accounts Payable 900 900
Unearned Rent 360 (c) 120 240
Cinta Cita, Capital 25,000 25,000
Cinta Cita, Drawing 4,000 4,000
Fees Earned 16,340 (e) 500 16,840
Wages Expense 4,275 (d) 250 4,525
Rent Expense 1,600 1,600
Utilities Expense 985 985
Supplies Expense 800 (a) 1,240 2,040
Miscellaneous Expense 455 455
42,600 42,600 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17
18 Insurance Expense (b) 200 200
constraints, the Unadjusted
Trial Balance and the
Adjustments columns will
not be shown in the
Accounts Receivable 2,720
Supplies 760
Prepaid Insurance 2,200
Land 20,000
Office Equipment 1,800
Accounts Payable 900
Unearned Rent 240
Cinta Cita, Capital 25,000 Cinta Cita, Drawing 4,000
Fees Earned 16,840
Wages Expense 4,525 Rent Expense 1,600 Utilities Expense 985 Supplies Expense 2,040 Miscellaneous Expense 455
2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17
18 Insurance Expense 200
Rent Revenue 120
extend amounts in the
Adjusted Trial Balance
columns to the Income
Statement and Balance
Accounts Receivable 2,720
Supplies 760
Prepaid Insurance 2,200
Land 20,000
Office Equipment 1,800
Accounts Payable 900
Unearned Rent 240
Cinta Cita, Capital 25,000 Cinta Cita, Drawing 4,000
Fees Earned 16,840
Wages Expense 4,525 Rent Expense 1,600 Utilities Expense 985 Supplies Expense 2,040 Miscellaneous Expense 455
2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17
18 Insurance Expense 200
Rent Revenue 120
71
Cash 2,065 2,065
Accounts Receivable 2,720 2,720
Supplies 760 760
Prepaid Insurance 2,200 2,200
Land 20,000 20,000
Office Equipment 1,800 1,800
Accounts Payable 900 900
Unearned Rent 240 240
Cinta Cita, Capital 25,000 25,000
Cinta Cita, Drawing 4,000 4,000
Fees Earned 16,840 16,840
Wages Expense 4,525 4,525
Rent Expense 1,600 1,600
Utilities Expense 985 985
Supplies Expense 2,040 2,040
Miscellaneous Expense 455 455
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24
Insurance Expense 200 200
Rent Revenue 120 120
Wages Payable 250 250
Depreciation Expense 50 50
Accum. Depreciation 50 50
43,400 43,400
71
Balance Sheet
73
Cash 2,065 2,065
Accounts Receivable 2,720 2,720
Supplies 760 760
Prepaid Insurance 2,200 2,200
Land 20,000 20,000
Office Equipment 1,800 1,800
Accounts Payable 900 900
Unearned Rent 240 240
Cinta Cita, Capital 25,000 25,000
Cinta Cita, Drawing 4,000 4,000
Fees Earned 16,840 16,840
Wages Expense 4,525 4,525 Rent Expense 1,600 1,600 Utilities Expense 985 985 Supplies Expense 2,040 2,040 Miscellaneous Expense 455 455
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24
Insurance Expense 200 200
Rent Revenue 120 120
Wages Payable 250 250
Depreciation Expense 50 50
Accum. Depreciation 50 50
43,400 43,400
73
Accounts Receivable 2,720 2,720
Supplies 760 760
Prepaid Insurance 2,200 2,200
Land 20,000 20,000
Office Equipment 1,800 1,800
Accounts Payable 900 900
Unearned Rent 240 240
Cinta Cita, Capital 25,000 25,000
Cinta Cita, Drawing 4,000 4,000
Fees Earned 16,840 16,840
Wages Expense 4,525 4,525 Rent Expense 1,600 1,600 Utilities Expense 985 985 Supplies Expense 2,040 2,040 Miscellaneous Expense 455 455
2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17
18 Insurance Expense 200 200
Rent Revenue 120 120
loss is determined. Then
the Income Statement
and Balance Sheet
Accounts Receivable 2,720 2,720
Supplies 760 760
Prepaid Insurance 2,200 2,200
Land 20,000 20,000
Office Equipment 1,800 1,800
Accounts Payable 900 900
Unearned Rent 240 240
Cinta Cita, Capital 25,000 25,000
Cinta Cita, Drawing 4,000 4,000
Fees Earned 16,840 16,840
Wages Expense 4,525 4,525 Rent Expense 1,600 1,600 Utilities Expense 985 985 Supplies Expense 2,040 2,040 Miscellaneous Expense 455 455
2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17
18 Insurance Expense 200 200
Rent Revenue 120 120
77
Cash 2,065 2,065
Accounts Receivable 2,720 2,720
Supplies 760 760
Prepaid Insurance 2,200 2,200
Land 20,000 20,000
Office Equipment 1,800 1,800
Accounts Payable 900 900
Unearned Rent 240 240
Cinta Cita, Capital 25,000 25,000
Cinta Cita, Drawing 4,000 4,000
Fees Earned 16,840 16,840
Wages Expense 4,525 4,525 Rent Expense 1,600 1,600 Utilities Expense 985 985 Supplies Expense 2,040 2,040 Miscellaneous Expense 455 455
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24
Insurance Expense 200 200
Rent Revenue 120 120
Wages Payable 250 250
Depreciation Expense 50 50
Accum. Depreciation 50 50
43,400 43,400 9,855 16,960 33,545 26,440
Net income 7,105 7,105
9,855
16,960
33,545
26,440
7,105
7,105
16,960
16,960
33,545
33,545