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Naboo consulting

See the attached files.

Naboo consulting is the business, Trial Balance - May 31, 2007

DEBIT CREDIT

Cash 7,500
Accts Rec 3,000
Prepaid insurance 3,600
Supplies 2,500
Office furniture 12,000
Accts Payable 3,500
Unearned Service Revenue 4,000
Common Stock 19,000
Service Revenue 7,500
Salaries Expense 4,000
Rent expense 1,500
34,100 34,100

In addition to those accounts listed on the trial balance the chart of accounts for Naboo Consulting also contains Accumulated depreciation, office furniture, travel payable, Salaries payable, depreciation expense, insurance expense, travel expense and supplies expense.

1. 500.00 of supplies have been used during the month
2. Travel costs incurred but not paid are $260.00
3. Insurance policy is for 2 years
4. $1,000.00 of the balance in the Unearned Service Revenue account remains unearned at the end of the month.
5. May 31 is a Wednesday and employees are paid on Fridays. Naboo consulting has 2 employees that are paid $600.00 each for a 5- day work week.
6. Office furniture has a five year life with no salvage value and is being depreciated at $200.00 per month for 60 months.
7. Invoices representing $1,400.00 of services performed during the month have not been recorded as of May 31.

What I need are the adjusting entries to the ledger accounts. Enter the totals from the trial balance as beginning account balances. Use T accounts.
Prepare and adjusted trial balance at May 31, 2007

Attachments

Solution Preview

Please see the attached excel file. Please also note that your given information on credit side is short by 100. You might want to check and adjust yourself.

Naboo consulting is the business, Trial Balance - May 31, 2007

DEBIT CREDIT

Cash 7,500
Accts Rec 3,000
Prepaid insurance 3,600
Supplies 2,500
Office furniture 12,000
Accts Payable 3,500
Unearned Service ...

Solution Summary

This solution is comprised of a detailed explanation to prepare and adjusted trial balance at May 31, 2007.

$2.19