LEDGER AND

ADJUSTED TRIAL
BALANCE

1
INTENDED LEARNING OUTCOMES

■ Post adjusting entries to the ledger

■ Prepare adjusted trial balance.

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POSTING TO THE LEDGER
General Journal
At the end of the period, adjusting entries are recorded in the
general journal.
_____ xx
_____ xx

Prepaid Expenses

Unearned Ledger
Revenues
Accrued Expenses
Accrued Revenues

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POSTING TO THE LEDGER

ABC Repair Services

Unadjusted Trial Balance At the end of the period, the following adjusting entries were
December 31, 2019 made:
Dec 31 Accounts Receivable 300
Account Title Debit Credit Service Revenue 300
Cash P 7,480
Offi ce Supplies Expense 900
Accounts Receivable 3,400
Offi ce Supplies 900
Offi ce Supplies 1,500
Service Equipment 16,000 Depreciation Expense 720
Accumulated Depreciation Accum. Dep. Expense 720
Accounts Payable P 11,550
Aco, Capital 13,200
Aco, Drawings 7,000
Service Revenue 15,000
Rent Expense 1,500
Salaries Expense 2,500 Post these adjusting entries to the
Utilities Expense 370 ledger.
Offi ce Supplies Expense
Depreciation Expense
Total P 39,750 P 39,750

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POSTING TO THE LEDGER

Accounts Receivable Depreciation Expense

12.31 3,400 AE 720
At the end of the period, the following adjusting entries were AE 300
made: Balances 3,700
Dec 31 Accounts Receivable 300
Service Revenue 300
Offi ce Supplies Offi ce Supplies Expense
12.31 1,500 900 AE AE 900
Offi ce Supplies Expense 900 Balances 600
Offi ce Supplies 900

Depreciation Expense 720 Accumulated Depreciation Service Revenue

Accum. Dep. Expense 720 720 AE 9,550 12.31
300 AE
9,850 Balances

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ADJUSTED TRIAL BALANCE
■ The accountant generally prepares a worksheet when it is time to adjust the accounts and
prepare the financial statements.
■ With the aid of worksheet, we can now prepare the adjusted trial balance.
The steps in preparation of a worksheet are as follows:

1. Enter the account balances in the adjusted trial balance debit and credit columns and total
the amounts.

2. Enter the adjusting entries in the adjustments debit and credit columns and total the
amounts.

3. Compute each account’s adjusted balance by combining the unadjusted trial balance and the
adjustment figures. Enter the adjusted amounts in the adjusted trial balance debit and credit
columns.

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ADJUSTED TRIAL BALANCE

ABC Repair Services

Financial Transaction Worksheet
December 31, 2019
Unadjusted Trial Balance Adjustments Adjusted Trial Balance
Account Title Debit Credit Debit Credit Debit Credit
Cash 7,480 7,480
Accounts Receivable 3,400 300 3,700
Offi ce Supplies 1,500 900 600
Service Equipment 16,000 16,000
Accumulated Depreciation 720 720
Accounts Payable 11,550 11,550
Aco, Capital 13,200 13,200
Aco, Drawings 7,000 7,000
Service Revenue 15,000 300 15,300
Rent Expense 1,500 1,500
Salaries Expense 2,500 2,500
Utilities Expense 370 370
Offi ce Supplies Expense 900 900
Depreciation Expense 720 720
Total 39,750 39,750 1,920 1,920 40,770 40,770

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