Ans 1)

Journal Entries
Date Account Post Ref. Debit $ Credit
Title and $
Explanatio
n
1-Aug Office Furniture 4700
Accounts Payable 4700
(To record Office Furniture on account)

1-Aug Cash 6100

Mark Di 6100
(To record ca

2-Aug Cash 2550

Unearne 2550
(To record ad

3-Aug Prepaid Rent 4650

Cash 4650
(To record si

4-Aug Cash 2100

Service R 2100
(To record ca

7-Aug Hotel Expens 1050

Cash 1050
(To record pa

15-Aug Mark Diamon 600

Cash 600
(To record ca

22-Aug No Journal
Entry
31-Aug required for
Wage Expens 1210
discussion
Cash 1210
about
(To record wa
contract
 Adjusting Journal Entries
Serial Account Post Ref. Debit Credit
No. Title and $ $
a) Explanatio
Depreciation 1476
Accumulat 1476
(To record de

b) Unearned Rev 1700

Service Re 1700
(To record ad

c) Rent 1550
Expense
Prepaid 1550
Rent
(To record
expired
portion of
prepaid rent)

d) Telephone Ex 230
Telephon 230
(To record t
Ans 2) & 3)
Cash (101)
Debit Credit
Capital 6100 Prepaid Rent 4650
Unearned Revenue 2550 Hotel Expenses 1050
Service Revenue 2100 Drawings 600
Wages Expenses 1210
Balance 3240

Office Furniture (161)

Debit Credit
Accounts Payable 4700
Balance 4700

Accounts Payable(201)
Debit Credit
Office Furniture 4700
Balance 4700

Mark Diamond, Capital(301)

Debit Credit
Cash 6100
Balance 6100

Service Revenue(401)
Debit Credit
Cash 2100
Balance 2100
Unearned Revenue 1700(b)

Wage Expense(623)
Debit Credit
Cash 1210
Balance 1210

Telephone Expense(688)
Debit Credit
Telephone Expense Payabl 230 (d)

Telephone Expense Payable

Debit Credit
Telephone Expense 230 (d)
 Prepaid Rent (131)
Debit Credit
Cash 4650
Balance 4650
Rent Expense 1550 ©

Accumulated Depreciation, Office furniture(162)

Debit Credit
(b)Depreciation Expen 1476 (b)

Unearned Revenue(233)
Debit Credit
Cash 2550
Balance 2550
Service Revenue 1700 (b)

Mark Diamond, Withdrawal(302)

Debit Credit
Cash 600
Balance 600

Depreciation Expenses, Office Furniture(602)

Debit Credit
a) Accumulated Depreciati 1476 (a)

Rent Expense(640)
Debit Credit
Prepaid Rent 1550 ©

Hotel Expense(696)
Debit Credit
Cash 1050
Balance 1050

Ans 4)
UNADJUSTED TRIAL BALANCE
Account Title Debit Credit
Cash 3240
Office Furniture 4700
Prepaid Rent 4650
Accumulated Depreciation
Accounts Payable 4700
Unearned Revenue 2550
Capital 6100
 Drawings 600
Service Revenue 2100
Depreciation Expense
Wage Expense 1210
Rent Expense
Telephone Expense
Hotel Expense 1050
Telephone Expense Payable
Grand Total 15450 15450

Ans 6)
Unadjusted Trial Balance Adjustments Adjusted Trial Balance
Account Title Debit Credit Debit Credit Debit
Cash 3240 3240
Office Furniture 4700 4700
Prepaid Rent 4650 1550 3100
Accumulated Depreciation 1476
Accounts Payable 4700
Unearned Revenue 2550 1700
Capital 6100
Drawings 600 600
Service Revenue 2100 1700
Depreciation Expense 1476 1476
Wage Expense 1210 1210
Rent Expense 1550 1550
Telephone Expense 230 230
Hotel Expense 1050 1050
Telephone Expense Payable 230
Grand Total 15450 15450 4956 4956 17156

Ans 7)
Unadjusted Trial Balance Adjustments Adjusted Trial Balance
Account Title Debit Credit Debit Credit Debit
Cash 3240 3240
Office Furniture 4700 4700
Prepaid Rent 4650 1550 3100
Accumulated Depreciation 1476
Accounts Payable 4700
Unearned Revenue 2550 1700
Capital 6100
Drawings 600 600
 Service Revenue 2100 1700
Depreciation Expense 1476 1476
Wage Expense 1210 1210
Rent Expense 1550 1550
Telephone Expense 230 230
Hotel Expense 1050 1050
Telephone Expense Payable 230
Grand Total 15450 15450 4956 4956 17156
Net Loss
Total

Income Statement
Account Title Debit Credit
Service Revenue 3800
Depreciation Expense 1476
Wage Expense 1210
Rent Expense 1550
Telephone Expense 230
Hotel Expense 1050
Grand Total 5516 3800
Net Loss 1716

Balance Sheet
Account Title Debit Credit
Cash 3240
Office Furniture 4700
Prepaid Rent 3100
Accumulated Depreciation 1476
Accounts Payable 4700
Unearned Revenue 850
Capital 6100
Drawings 600
Telephone Expense Payable 230
Net Loss 1716
Grand Total  13356 13356 

Ans 8) Revenue of a company which shows in its Income statement shows that, that vary revenue is generated
Cash may or may not equal to revenue generated in that time period.
Adjusted Trial Balance
Credit

1476
4700
850
6100

3800

230
17156

Adjusted Trial Balance Income Statement Balance Sheet

Credit Debit Credit Debit Credit
3240
4700
3100
1476 1476
4700 4700
850 850
6100 6100
600
 3800 3800
1476
1210
1550
230
1050
230 230
17156 5516 3800 11640 13356
1716 1716
13356 13356

vary revenue is generated in that particular time period whether it’s received or yet to be received in future.
 Jouranl Entries
Date
Depreciation Expense 1476
Accumulated Depreciation 1476
To record depreciation on office furniture)

Unearned Revenue
Service Revenue

(To record adjusting entry for earned portion of unearned revenue)