Journal Entries

April Debit Credit

4 Cash 10,000 Cash
Accounts Receivable 1,500 Debit
Supplies 1,250 10,000
Office Equipment 7,500 3,000
Mr. Addams, Capital 20,250 800
To record investment of assets. 3,175
1,850
4 Prepaid Rent 4,500 1,600
Cash 4,500 2,050
To record paid three months rent expense. 22,475

4 Prepaid Insurance 1,800

Cash 1,800 8,875
To record insurance expense.
Mr. Addams, Capital
6 Cash 3,000 Debit
Unearned Revenue 3,000
To record advance payment for
cash. Prepaid Rent
Debit
7 Office Furniture 1,800 4,500
Accounts Payable 1,800
To record purchased furniture on account. Prepaid Insurance
Debit
1,800
8 Cash 800
Accounts Receivable 800 Advertisement Expense
To record paid service on account. Debit
120
11 Advertisement Expense 120
Cash 120 Utilities Expense
To record newspaper advertisement Debit
for cash. 130
200
12 Accounts Payable 800 330
Cash 800
To record paid debt incurred on Salary Expense
April 7. Debit
4,500
15 Acounts Receivable 2,250 400
Service Revenue 2,250 400
To record service rendered on 5,300
 account for the period April 4-15.

15 Salary Expense 400

Cash 400
To record part-time salary for two weeks.

15 Cash 3,175
Service Revenue 3,175
To record fees earned for the period
April 4-15

18 Supplies 750
Cash 750
To record supplies for cash.

22 Accounts Receivable 1,100

Service Revenue 1,100
To record service rendered on
account for the period April 18-22.

22 Cash 1,850
Service Revenue 1,850
To record fees earned for the period
April 18-22.

25 Cash 1,600
Accounts Receivable 1,600
To record service on account.

27 Salary Expense 400

Cash 400
To record part-time salary for two weeks.

28 Utilities Expense 130

Cash 130
To record paid telephone bill for April.

29 Utilities Expense 200

Cash 200
To record paid electric bill for April.

29 Cash 2,050
Service Revenue 2,050
To record fees earned for the period
April 25-29.
29 Accounts Receivable 1,000
Service Revenue 1,000
To record service rendered on
account for the period April 25-29.

29 Salary Expense 4,500

Cash 4,500
To record John's salary.
 Cash Accounts Receivable Addams & Family Inc.
Credit Debit Credit Trial Balance
4,500 1,500 800 As April 1, 2002
1,800 2,250 1,600 Particulars
120 1,100 Cash
800 1,000 Accounts Receivable
400 3,450 Office Equipment
750 Office Furniture
400 Supplies
130 Supplies Accounts Payable
4,500 Debit Credit Mr. Addams, Capital
200 1,250 Unearned Revenue
13,600 750 Service Revenue
2,000 Prepaid Rent
Mr. Addams, Capital Prepaid Insurance
Credit Office Equipment Advertisement Expense
20,250 Debit Credit Utilities Expense
7,500 Salary Expense
Prepaid Rent
Credit Office Furniture
Debit Credit
1,800
Prepaid Insurance
Credit Unearned Revenue
Debit Credit
3,000
Advertisement Expense
Credit
Accounts Payable
Debit Credit
Utilities Expense 800 1,800
Credit 1,000

Service Revenue
Debit Credit
2,250
Salary Expense 1,100
Credit 1,000
3,175
2,050
1,850
11,425
Addams & Family Inc.
Trial Balance
As April 1, 2002
Debit Credit
8,875
3,450
7,500
1,800
2,000
1,000
20,250
3,000
11,425
4,500
1,800
120
330
5,300
35,675 35,675
 Addams & Family Inc.
Worksheet
As April 1, 2002

Trial Balance Adjustments

Particulars Debit Credit Debit Credit
Cash 8,875
Accounts Receivable 3,450
Office Equipment 7,500
Office Furniture 1,800
Supplies 2,000 980
Accounts Payable 1,000
Mr. Addams, Capital 20,250
Unearned Revenue 3,000 2,000
Service Revenue 11,425 2,000
Prepaid Rent 4,500 1,500
Prepaid Insurance 1,800 150
Advertisement Expense 120
Utilities Expense 330
Salaries Expense 5,300 20
TOTAL 35,675 35,675
Insurance Expense 150
Supplies Expense 980
Depreciation Expense (equipment) 500
Accumulated Depreciation 500
Accrued Salaries Payable 20
Rent Expense 1,500
Sub-total 5,150 5,150
Net Income
TOTAL

Adjusting Entries Debit Credit

Insurance Expense 150
Prepaid Insurance 150

Supplies Expense 980 Supplies Beginning

Supplies 980 Add: Purchases
Available Supplies
Depreciation Expense (Equipment) 500 Less: Supplies Ending
Accumulated Depreciation 500 Supplies Expense

Salaries Expense 20
 Accrued Salaries Payable 20

Rent Expense 1,500

Prepaid Rent 1,500

Unearned Revenue 2,000

Service Revenue 2,000
 Addams & Family Inc.
Worksheet
As April 1, 2002

Adjusted Trial Balance Income Statement Balance Sheet

Debit Credit Debit Credit Debit Credit
8,875 8,875
3,450 3,450
7,500 7,500
1,800 1,800
1,020 1,020
1,000 1,000
20,250 20,250
1,000 1,000
13,425 13,425
3,000 3,000
1,650 1,650
120 120
330 330
5,320 5,320

150 150
980 980
500 500
500 500
20 20
1,500 1,500
36,195 36,195 8,900 14,425 27,295 21,770
5,525 5,525
14,425 14,425 27,295 27295

plies Beginning 1,250

750
lable Supplies 2,000
: Supplies Ending -1,020
plies Expense 980
Closing Entries
Debit Credit
Service Revenue 13,425
Income Summary 13,425
To close Revenue Accounts to Income Summary.

Income Summary 8,900

Rent Expense 1,500
Insurance Expense 150
Advertisement Expense 120
Utilities Expense 330
Salaries Expense 5,320
Supplies Expense 980
Depreciation Expense 500
To close Expense Accounts to Income Summary

Income Summary (13,425-8,900) 4,525

Retained Earnings 4,525
To close Income Summary to Retained Earnings
 Addams & Family Inc.
Post Closing Trial Balance
As April 1, 2002

Particulars Debit Credit

Cash 8,875
Accounts Receivable 3,450
Office Equipment 7,500
Office Furniture 1,800
Supplies 1,020
Accounts Payable 1,000
Mr. Addams, Capital 20,250
Unearned Revenue 1,000
Accumulated Depreciation 500
Accrued Salaries Payable 20
Prepaid Rent 3,000
Prepaid Insurance 1,650
Retained Earnings 4,525
TOTAL 27,295 27295