TERRIFIC TEMPS

General Journal
(Adjusting Entries)
2011 (1)
Dec. 31 ACCOUNTS RECEIVABLE 1,500
FEES EARNED 1,500
To record accrued but uncollected fees earned.

(2)
31 UNEARNED FEES 2,500
FEES EARNED 2,500
To convert previously unearned revenue to
earned revenue.

(3)
31 INSURANCE EXPENSE 300
UNEXPIRED INSURANCE 300
To record Dec. insurance exp. ($1,800 ÷ 6 mo.).

(4)
31 RENT EXPENSE 1,000
PREPAID RENT 1,000
To record Dec. rent expense ($3,000 ÷ 3 mo.).

(5)
31 OFFICE SUPPLIES EXPENSE 200
SUPPLIES 200
To record offices supplies used in December
($600 - $400).

(6)
31 DEPRECIATION EXPENSE: EQUIPMENT 500
ACCUMULATED DEPRECIATION:EQUIPMENT 500
To record December depreciation expense
($60,000 ÷ 120 mo.).

(7)
31 INTEREST EXPENSE 80
INTEREST PAYABLE 80
To record interest accrued in December
($12,000 x 8% x 1/12).

(8)
31 SALARIES EXPENSE 2,700
SALARIES PAYABLE 2,700
To record income taxes accrued in December.

(9)
31 INCOME TEX EXPENSE 3,000
INCOME TAX PAYABLE 3,000
To record income taxes accrued in December.
60000/120

12000*8/100*1/12

(15000-12000)
 TERRIFIC TEMPS
WORKSHEET
FOR THE MONTH ENDED DECEMBER 31, 2011

Unadjusted Trial Balance Adjusting Entries

Debit Credit Debit Credit
CASH $ 27,020
ACC REC 59,200 1,500
UNEXP INSURANCE 900 300
PREPAID RENT 3,000 1,000
OFFICE SUPPLIES 600 200
EQUIPMENT 60,000
ACCUMULATED DEP 29,500 500
ACCOUNTS PAY 4,180
NOTS PAY 12,000
INTEREST OPAY 320 80
UNEARNED FEES 6,000 2,500
INCOME TAXES 4,000
PAYABLE 3,000
UNEARNED REVENUE 20,000
RETAINED EARNINGS 49,000
CAPITAL STOCK 25,000
DIVIDENDS 3,000
FEES EARNED 75,000 4,000
TRAVEL EXPENSE 5,000
INSURANCE EXP 2,980 300
RENT EXP 9,900 1,000
OFFICE SUPPLIES EXP 780 200

UTILITIES EXP 4,800

DEP EXP 5,500 500
SALA EXP $ 30,000 2,700
INT EXP 320
80
INCOME TAXES EXP 12,000 3,000
SUBTOTAL 225,000 225,000
SALARIES PAYABLE $ 2,700
SUBTOTAL $ 11,780 $ 11,780
NET LOSS
Totals
EMPS
EET
DECEMBER 31, 2011 RULES FOR WORKSHEET
EXPENSES REVENUES ASSETS LIABILITIES+EQUITY DEBIT DEBIT
Adjusted Trial Balance Income Statement Balance Sheet CREDIT CREDIT
Debit Credit Debit Credit Debit Credit
27,020 27,020 DEBIT CREDIT
$ 60,700 60,700
600 600
2,000 2,000
400 400
60,000 60,000
30,000 30,000
$ 4,180 4,180
$ 12,000 12,000
400 400
3,500 3,500

7,000 7,000
20,000 20,000
49,000 49,000
25,000 25,000
3,000 3,000
79,000 79,000
5,000 5,000
3,280 3,280
10,900 10,900

980 980
4,800 4,800
6,000 6,000
32,700 32,700
400 400
15,000 15,000

$ 2,700 2,700
$ 232,780 $ 232,780 $ 79,060 $ 79,000 $ 153,720 $ 153,780
$ (60) $ (60)
$ 205,760 $ 200,080 $ 79,000 $ 79,000 $ 153,720 $ 153,720
RULES FOR WORKSHEET
+ DEBIT
+ CREDIT

- LARGER VALUE
 TERRIFIC TEMPS
Income Statement
FOR THE MONTH ENDED DECEMBER 31, 2011
Revenue:
FEES EARNED
Expenses
TRAVEL EXPENSE 5,000
INSURANCE EXPENSE 3,280
RENT EXPENSE 10,900
OFFICE SUPPLIES EXPENSE 980
UTILITIES EXPENSE 4,800
DEPRECIATION EXPENSE 6,000
SALARIES EXPENSE 32,700
INTEREST EXPENSE 400
INCOME TAXES EXPENSE 15,000
NET LOSS

TERRIFIC TEMPS
Statement of REATINED EARNINGS
FOR THE MONTH ENDED DECEMBER 31,2011
RETAINED EARNINGS -BEG BALANCE
LESS : NET LOSS
Subtotal
LESS: DIVIDENDS
RETAINED EARNINGS -ENDING BALANCE
1

$ 79,000

(79,060)
$ (60)

1
$49,000
(60)
$48,940
(3,000)
$ 45,940
 TERRIFIC TEMPS
Balance Sheet
AS ON DECEMBER 31, 2011
Assets
CASH
ACCOUNTS RECEIVABLES
PREPAID RENT
UNEXPIRED INSURANCE
OFFICE SUPPLIES
EQUIPMENT 60,000
ACCUMULATED DEPRECIATION : EQUIPMENT (30,000)
Total assets

Liabilities & Equity

Liabilities:
ACCOUNTS PAYABLE

NOTES PAYABLE
NCOME TAXES PAYABLE
INTEREST PAYABLE
UNEARNED REVENUE
SALARIES PAYABLE
UNEARNED FEES
Total liabilities
OWNER'S' equity:
CAPIATAL STOCK
RETAINED EARNINGS
Total liabilities and owners' equity
$ 27,020
60,700
2,000
600
400

$ 30,000
$ 120,720

4,180

12000
7000
400
20,000
2,700
3,500
$ 49,780

$ 25,000
45,940
$ 120,720