The trial balance columns of the work sheet for Phantom Roofing Inc. at March 3l, 2002, are as follows:
PHANTOM ROOFING INC.
? For the Month Ended March 31, 2002
Account titles______ Debit Credit
Accounts receivable 1,600
Roofing supplies 1,100
Accumulated depreciation-Equipment 1,200
Accounts payable 1,100
Unearned revenue 300
Common stock 5,000
Retained earnings 2,000
Service revenue 3.000
Salaries expense 700
Miscellaneous expense 100
(1) A physical count reveals only $220 of roofing supplies on hand.
(2) Depreciation for March is $200.
(3) Unearned revenue amounted to $200 after adjustment on March 31.
(4) Accrued salaries are $400.
(a) Enter the trial balance on a work sheet and complete the work sheet.
(b) Prepare an income statement and owner's equity statcment for the month of March and a classified balance sheet at March 31. No additional issuances of stock occurred in March.
(c) Journalize the adjusting entries from the adjustments columns of the work sheet.
(d) Journalize the closing entries from the financial statement columns of the work sheet.
Trial Balance and Journal Entries and Income Statements are investigated. The solution is detailed and well presented. The response received a rating of "5/5" from the student who originally posted the question.