DIANA MARGALLO INTERIOR DESIGN

Worksheet
For the Year Ended December 31, 2018
Unajusted Trial
Account Ttitle Balance Adjustments
Debit Credit Debit Credit
Cash 186,000
Accounts Receivable 71,200
Prepaid Rent 19,200 7,200
Equipment 177,500
Accum. Depreciation-Eq 4,750 7,125
Accounts Payable 18,750
Notes Payable 12,000
Margallo, Capital 300,000
Margallo, Drawing 19,000
Professional Fees 276,300
Salaries Expense 82,500 12,000
Supplies Expense 17,000 5,000
Utilities Expense 37,800
Interest Expense 1,600 80
TOTAL 611,800 611,800
Rent Expense 7,200
Depreciation Expense-Eq 7,125
Supplies 5,000
Interest Payable 80
Salaries Payable 12,000
Bad Debt Expense 3,560
Allowance for Bad Debts 3,560
TOTAL 34,965 34,965
NET INCOME
 Adjusting Entries: Debit Credit

1 Rent Expense 7,200

Prepaid Rent 7,200
19,200/8 x 3

2 Salaries Expense 12,000

Salaries Payable 12,000

3 Depreciation Expense - Eq 7,125

Accumulated Depreciation - Eq 7,125
177,500-35,000 x 5%

4 Supplies 5,000
Supplies Expense 5,000

5 Interest Expense 80
Interest Payable 80

6 Bad Debts Expense 3,560

Allowance for Bad Debts 3,560
(71,200 x 5%)
TERIOR DESIGN DIANA MARGALLO
eet Income S
cember 31, 2018 For the Year Ended D
Income Balance
Statement Sheet Revenues:
Debit Credit Debit Credit Professional Fees
186,000 Less: Expenses
71,200 Salaries Expense
12,000 Supplies Expense
177,500 Utilities Expense
11,875 Interest Expense
18,750 Rent Expense
12,000 Depreciation Expense-Eq
300,000 Bad Debt Expense
19,000 NET INCOME
276,300
94,500
12,000
37,800
1,680 DIANA MARGALLO

7,200 For the Year Ended D

7,125
5,000 Margallo, Capital, January 1, 2018
80 ADD: Net Income
12,000 Total
3,560 LESS: Margallo, Drawings
3,560 Margallo, Capital, December 31, 2018
163,865 276,300 470,700 358,265
112,435 112,435
276,300 276,300 470,700 470,700

Closing Entries:

1 Professional Fees
Income Summary
2 Income Summary
Salaries Expense
Supplies Expense
Rent Expense
Utilities Expense
Bad Debts Expense
Depreciation Expense-Eq.
Interest Expense

3 Income Summary
163,865 276,300
-163,865
112,435 112,435

Income Summary
Margallo, Capital

4 Margallo, Capital
Margallo, Drawing
 DIANA MARGALLO INTERIOR DESIGN DIANA M
Income Statement State
For the Year Ended December 31, 2018 As

ofessional Fees 276,300 Current Assets

laries Expense 94,500

pplies Expense 12,000
lities Expense 37,800
erest Expense 1,680
nt Expense 7,200 TOTAL CURRENT ASSETS
preciation Expense-Eq 7,125 Non Current Assets
d Debt Expense 3,560 -163,865
112,435
TOTAL ASSETS

Current Liabilities

DIANA MARGALLO INTERIOR DESIGN

Statement of Owner's Equity
For the Year Ended December 31, 2018
TOTAL LIABILITIES
al, January 1, 2018 300,000
112,435 Margallo, Capital, December 31, 2
412,435 TOTAL LIABILITIES AND CAPITA
, Drawings -19,000
al, December 31, 2018 393,435

276,300
come Summary 276,300
 163,865 Cash
laries Expense 94,500 Accounts Receivable
pplies Expense 12,000 Allowance for Bad Debts
nt Expense 7,200 Prepaid Rent
lities Expense 37,800 Supplies
d Debts Expense 3,560 Equipment
preciation Expense-Eq. 7,125 Accumulated Depreciation-Eq
erest Expense 1,680 Accounts Payable
Notes Payable
Salaries Payable
To close net income to capital Interest Payable
Margallo, Capital
TOTAL

112,435
argallo, Capital 112,435

19,000
argallo, Drawing 19,000
To close drawing account to capital
 DIANA MARGALLO INTERIOR DESIGN
Statement of Financial Position
As of December 31, 2018

ASSETS
rrent Assets
Cash 186,000
Accounts Receivable 71,200
Less: Allowance for Bad Debts -3,560 67,640
Prepaid Rent 12,000
Supplies 5,000
OTAL CURRENT ASSETS 270,640
n Current Assets
Equipment 177,500
Accum. Depreciation - Equipment -11,875 165,625
OTAL ASSETS 436,265
LIABILITIES
rrent Liabilities
Accounts Payable 18,750
Notes Payable 12,000
Salaries Payable 12,000
Interest Payable 80
OTAL LIABILITIES 42,830
CAPITAL
argallo, Capital, December 31, 2018 393,435
OTAL LIABILITIES AND CAPITAL 436,265

DIANA MARGALLO INTERIOR DESIGN

Post-Closing Trial Balance
As of January 1, 2019

Debit Credit
 186,000
counts Receivable 71,200
owance for Bad Debts 3,560
epaid Rent 12,000
5,000
177,500
cumulated Depreciation-Eq 11,875
counts Payable 18,750
tes Payable 12,000
laries Payable 12,000
erest Payable 80
argallo, Capital 393,435
451,700 451,700