Date Particular Debit Credit

Insurance Expense 500 (6,000/12months=500monthly

Prepaid Insurance 500
#
Rent Expense 4,000
Rent Payable 4,000
#
Interest Expense 600 (60,000*18%=10800perannum
Interest Payable 600
#
Advertisement 2400 (3,600/3months=1,200 monthl
Advertising Expense 2400
#
Fees Earned 5000
Unearned Fees 5000
#
Office Supplies Expense 900 (2,500Beg-1,600End=900used)
Office Supplies 900
#
Depreciation Expense - Furniture and Equipment 625 (75,000/10years=7,500 per ann
Accumulated Depreciation - Furniture and Equipment 625
00monthly)

perannum*20/360=600)

00 monthly * 2 months still unused)

=900used)

00 per annum/12months=625 per month)

 Unadjusted Trial Balance Adjustments
Accounts Debit Credit Debit Credit
Cash 78,400.00
Accounts Receivable 8,900.00
Prepaid Insurance 6,000.00 500.00
Office Supplies 2,500.00 900.00
Advertisement 2,400.00
Furniture & Equipment 75,000.00
Accounts Payable 30,000.00
Rent Payable 4,000.00
Interest Payable 600.00
Accumulated Depreciation - Furniture and Equipment 625.00
Loans Payable 60,000.00
Lavun, Capital 60,000.00
Lavun, Drawing 12,000.00
Fees Earned 44,400.00 5,000.00
Unearned Fees 5,000.00
Interest Expense 600.00
Rent Expense 4,000.00
Office Supplies Expense 900.00
Insurance Expense 500.00
Salary Expense 5,500.00
Depreciation Expense - Furniture and Equipment 625.00
Advertising Expense 3,600.00 2,400.00
Utilities Expense 1,000.00
Miscellaneous Expense 1,500.00
Total 194,400.00 194,400.00 14,025.00 14,025.00
Profit/Loss
Grand Total
 Adjusted Trial Balance Income Statement Balance Sheet Post Closing Tri
Debit Credit Debit Credit Debit Credit Debit
78,400.00 78,400.00 78,400.00
8,900.00 8,900.00 8,900.00
5,500.00 5,500.00 5,500.00
1,600.00 1,600.00 1,600.00
2,400.00 2,400.00 2,400.00
75,000.00 75,000.00 75,000.00
30,000.00 30,000.00
4,000.00 4,000.00
600.00 600.00
625.00 625.00
60,000.00 60,000.00
60,000.00 60,000.00
12,000.00 12,000.00
39,400.00 39,400.00
5,000.00 5,000.00
600.00 600.00
4,000.00 4,000.00
900.00 900.00
500.00 500.00
5,500.00 5,500.00
625.00 625.00
1,200.00 1,200.00
1,000.00 1,000.00
1,500.00 1,500.00
199,625.00 199,625.00 15,825.00 39,400.00 183,800.00 160,225.00 171,800.00
23,575.00 23,575.00
39,400.00 39,400.00 183,800.00 183,800.00 171,800.00
Trial Balance
Credit

30,000.00
4,000.00
600.00
625.00
60,000.00
71,575.00

5,000.00

171,800.00

171,800.00
Date Particular Debit Credit
Income Summary 15,825.00
Interest Expense 600.00
Rent Expense 4,000.00
Office Supplies Expense 900.00
Insurance Expense 500.00
Salary Expense 5,500.00
Depreciation Expense 625.00
Advertising Expense 1,200.00
Utilities Expense 1,000.00
Miscellaneous Expense 1,500.00
#
Fees Earned 39,400.00
Income Summary 39,400.00
 Berting Lavun Accounting Office
Statement of Changes in Equity
For the Year ended December 31, 2014

Lavun, Capital Jan. 1 , 2014 60,000.00

Add: Profit 23,575.00
Total 83,575.00
Less: Withdrawals - 12,000.00
Lavun, Capital Dec. 31 , 2014 71,575.00
 Berting Lavun Accounting Office
Statement of Cash Flows
For the year ended December 31, 2014

Cash Flows in Operating Activities

Cash Receipts from Customers 30,500.00
Payments to Suppliers
Payments for Salaries - 5,500.00
Payments for other operating expenses - 5,100.00
Cash generated from operations 19,900.00
Income Taxes Paid
Net Cash from Operations 19,900.00

Cash Flows Investing Activities

Purchase of Equipment - 40,000.00
Purchase of Furniture - 30,000.00
Net Cash from Investing - 70,000.00

Cash Flows Financing Activities

Proceeds from Loans 60,000.00
Net Cash from Financing 60,000.00

Net Increase (Decrease) in Cash 9,900.00

ADD: Cash, Jan. 1 ,2014 68,500.00
Cash, Dec. 31, 2014 78,400.00

Notes/ Supplementary Computation:

1 Accounts Receivable, beginning -
Add: Fees Earned during 2014 39,400.00
Total 39,400.00
Less: Accounts Receivable, ending - 8,900.00
Cash Receipts from Customers 30,500.00

2 Miscellaneous Expense 1,500.00

Utilities Expense 1,000.00
Advertising 1,200.00
Insurance Expense 500.00
Office Supplies Expense 900.00
Payment for Other Operating Expense 5,100.00