This exercise will test your ability to detect adjusting entries by comparing an adjusted trial balance with an unadjusted trial balance.
The trial balance and the subsequent adjusted trial balance at December 31, 2014, for the Bradley Company appear below. The accounting period coincides with the calendar year.
|
Before Adjustment |
After Adiustment |
|||
|
nehit |
Credit |
nehit |
Credit |
|
|
Cash |
$30,000 |
$30,000 |
||
|
Accounts Receivable |
8,000 |
8,700 |
||
|
Note Receivable (8%) |
10,000 |
10,000 |
||
|
Interest Receivable |
0 |
200 |
||
|
Prepaid Rent |
8,400 |
1,200 |
||
|
Prepaid Licenses |
3,200 |
800 |
||
|
Office Supplies |
2,000 |
300 |
||
|
Office Equipment |
12.000 |
12.000 |
||
|
Accumulated Depreciation—Equipment |
$3,000 |
$4,000 |
||
|
Accounts Payable |
3,400 |
3,400 |
||
|
Unearned Service Fees |
5.000 |
1.300 |
||
|
Salaries and Wages Payable |
0 |
1.800 |
||
|
Common Stock |
20,000 |
20,000 |
||
|
Retained Earnings |
42,000 |
42,000 |
||
|
Dividends |
36,000 |
36,000 |
||
|
Fees Earned |
82,100 |
86,500 |
||
|
Interest Earned |
0 |
200 |
||
|
Salaries and Wages Expense |
45.900 |
47.700 |
||
|
Rent Expense |
0 |
7,200 |
||
|
Licenses Expense |
0 |
2,400 |
||
|
Office Supplies Expense |
0 |
1,700 |
||
|
Depreciation Expense |
0 |
1.000 |
||
|
$155,500 |
$155,500 |
$159,200 |
$159,200 |
|
Instructions
Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.
You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.
Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.
Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.
