Page 272

1. Credit Balance-Debit Balance

2. Zero

3. Owner’s Capital

4. Worksheet/ Balance Sheet

5. Zero

6. Permanent Account

7. Debit Balance- Credit Balance

8. Credit Balance- Debit Balance

9. Credit Balance- Debit Balance

10.

11. Closing Procedure

12. Summary Account

13. Closed

14. Temporary Account

15. Balances

Page 273-274

1. True

2.

3.

4. True

5. True

6. True

7. True

8. True

9. True

10. False

11. False
12. False

13. False

14.

15. False

16. False

17. True

18. False

19. False

20. True

21. True

22. True

23. True

24. True

25. False

26. False

27. True

28.

29. True

30. False

31. False

32. True

33.

34. True

35. True

36. False

37. True

38.

39. True

40. False
41. True

42. False

43.

44. True

45. True

46. True

Page 275-276

1. A

2. D

3. C

4.

5. A

6. A

7.

8. D

9. A

10. A

Page 280

Jessica Consulting

Adjusting Entries

For the Year Ending 2020

Problem #3

Preparing the Closing Entries

Listed Below are the accounts taken from the Dec. 31, 2020 adjusted trial balance of Daria Labanan
Publishers:

Required:
Prepare the closing entries.

Daria Labanan Publishers

Closing Entries
For the year ending Dec, 2020
Date Particulars Debit Credit
Dec 31 Printing Revenue 8 1 3 0 0 0 0
Income Summary 8 1 3 0 0 0 0

Dec 31 Income Summary 3 7 3 0 0 0 0

Supplies Expense 7 1 0 0 0 0
Salaries Expense 2 2 7 0 0 0 0
Depreciation Expense 2 5 0 0 0 0
Repairs Expense 1 0 0 0 0
Telephone Expense 2 0 0 0 0
Utilities Expense 8 0 0 0 0
Interest Expense 3 0 0 0 0 0
Miscellaneous Expense 9 0 0 0 0

Dec 31 Income Summary 4 4 0 0 0 0 0

Labanan, Capital 4 4 0 0 0 0 0

Dec 31 Labanan, Capital 1 5 0 0 0 0 0

Labanan, Withdrawals 1 5 0 0 0 0 0

Problem #6

Preparing the Reversing Entries

Sherwin Mark De Oro Apartments

Reversing Entries
For the year ending Dec, 2020
Date Particulars Debit Credit
Dec 31 Insurance Prepaid P 2 5 0 0 0
Prepaid Insurance P 2 5 0 0 0
To record

31 Interest Income 1 7 0 0 0
Interest Receivable 1 7 0 0 0
To record

31 Office Supplies 5 0 0 0 0
Office Supplies Expense 5 0 0 0 0
To record
 1 2 5 0 0 0
31 Accumulated Depreciation 1 2 5 0 0 0
Depreciation Expenses
To record

31 Salaries Payable 3 5 0 0 0
Salaries Expense 3 5 0 0 0

31 Unearned Rent Revenue 8 0 0 0 0

Rent Revenue 8 0 0 0 0

Problem # 7

Date Particulars Debit Credit

Dec 1 Detoya, Capital 310 P 1 5 0 0 0 0
Cash 110 P 1 5 0 0 0 0
To record owner’s investment

2 Rent Expense 530 8 0 0 0

Cash 110 8 0 0 0
To record payment for an expense

Supplies 140 7 2 0 0
Accounts Payable 210 7 2 0 0
To record purchase on account

3 Office Equipment 150 7 5 0 0 0

Cash 110 3 7 0 0 0
Accounts Payable 210 3 8 0 0 0
To record purchase of office
equipment

8 Accounts Payable 210 7 2 0 0

Cash 110 7 2 0 0
To record payment for the past
purchase on account in Dec. 2

14 Salaries Expense 510 6 0 0 0

Cash 220 6 0 0 0
To record payment for an expense

20 Cash 110 2 0 0 0 0
Consulting Revenues 410 2 0 0 0 0
To record Performed service
 28 Salaries Expense 510 6 0 0 0
Cash 220 6 0 0 0
To record payment for an expense

30 Accounts Receivable 120 4 8 0 0 0

Consulting Revenues 410 4 8 0 0 0
To record billed consulting
revenues

31 Detoya, Withdrawals 320 1 2 0 0 0

Cash 110 1 2 0 0 0
To record owner’s Withdrawals

Date Particulars Debit Credit