Trial balance of Ali repair club at September 30 appears below.
Ali Repair Club
Trial Balance
September 30, 19…..
Cash……………………………………………………………… $ 2500
Account Receivable……………………………………………… 1500
Land……………………………………………………………... 29400
Building…………………………………………………………. 50400
Accumulated depreciation: Building……………………………. $336
Repair equipment………………………………………………… 7500
Accumulated depreciation: Repair Building…………………….. 250
Notes payable……………………………………………………. 28000
Accounts payable………………………………………………… 1594
Ali, Capital……………………………………………………..... 58800
Ali, Drawing…………………………………………………….. 1400
Repair service revenue………………………………………….. 8520
Advertising expense…………………………………………….. 150
Repair parts expense…………………………………………….. 700
Utilities expense…………………………………………………. 170
Wages expense………………………………………………….. 3780
$97500 $97500
Instructions:
a. Prepare adjusting entries at September 30 to record depreciation. The amounts of
depreciation for September are $168 on the building and $125 on the repair equipment.
b. Prepare adjusted trial balance at September 30.
c. Prepare an income statement, statement of owner’s equity and balance sheet for the
month ended September 30.
d. Prepare journal entries to close the accounts.
e. Prepare an after closing trial balance.
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