Q6TI - Horngren'S Financial And Managerial Accounting

Question

The partial worksheet for Sam’s Delivery Service follows. Complete the adjusted trial balance columns.

Step-by-Step Solution

Answer

Total net income: $ 12,870

Step 1: Worksheet

The worksheet is the summarized data for preparing the financial statement. It is used as an internal document. It is not a part of the journal ledger or financial statement but it helps in identifying the accounts that need adjustment.

Step 2: Worksheet Table

Sam's Delivery Service
Worksheet
December 31, 2018
Account Names	Unadjusted Trial Balance		Adjustments		Adjusted Trial Balance		Income Statement		Balance sheet
	Debit	Credit	Debit	Credit	Debit	Credit	Debit	Credit	Debit	Credit
Cash	6,500				6,500				6,500
Accounts Receivables	800		225		1,025				1,025
Office Supplies	250			80	170				170
Prepaid Rent	1000			800	200				200
Delivery van	23,000				23,000				23,000
Accumulated Depreciation – Delivery van				750		750				750
Equipment	15000				15000				15,000
Accumulated Depreciation – Equipment				300		300				300
Accounts Payable		800				800				800
Utilities Payable		230				230				230
Salaries Payable				875		875				875
Unearned Revenue		400	130			270				270
Common Stock		37,800				37,800				37800
Dividends	8,000				8,000				8,000
Delivery Revenue		23,000		355		23,355		23,355
Rent Expense	3000		800		3800		3800
Salaries Expense	4500		875		5375		5375
Supplies Expense			80		80		80
Utilities Expense	180				180		180
Depreciation Expense – Delivery van			750		750		750
Depreciation Expense – Equipment			300		300		300
Total	62,230	62,230	3,160	3,160	64,380	64,380	10,485	23,355	53,895	41,025
								12,870	53,895	53,895
								Net Income	Total Assets	Total Liabilities and equity