FIN621 Assignment # 1 Solution
Tuesday, October 26, 2010 Posted In Fin Edit ThisRequirements:
A. You are required to compare the two Trial Balances given above and prepare the adjusted journal entries that cause the changes in account balances.
B. You are also required to include an explanation (narration) as part of each adjusting entry.
Solution:-
Here is Solution of 1st Part of Assignment No. 1, Please explain the entry narration yourself.
Entry No.1
Office supplies expense (Income statement items) 432
Office supplies (Balance sheets items) 432
Entry No. 2
Depreciation Machinery (Income statement items) 132
Accumulated depreciation: Machinery (Balance sheets items) 132
Entry No. 3
Salaries (Income statement items) 660
Salaries payable (Balance sheets items) 660
Entry No. 4
Unearned consulting fee (Balance sheets items) 252
Consulting fee earned (Income statement items) 252
Entry No. 5
Consulting fee receivables (Balance sheets items) 1,020
Consulting fee earned (Income statement items) 1,020
n B part you are required to put the narrations (explanation) that what the scene behind your entry so do it your self please. Here I have shown the example. Like entry-5’s narration:
Salaries (Income statement items) 660(Dr)
Salaries payable (Balance sheets items) 660 (Cr)
(Salaries accrued due to employees at the end of December)
Salaries (Income statement items) 660(Dr)
Salaries payable (Balance sheets items) 660 (Cr)
(Salaries accrued due to employees at the end of December)
Semester “FALL 2010”
Assignment No. 01 Marks: 20
Shown below are the Trial Balance and Adjusted Trial Balance of the New Star Services owned by Mr. Nasir for the month ended December 31, 2009.
New Star Services
Trial balance
As on December 31st, 2009.
New Star Services
Adjusted Trial Balance
As on December 31st, 2009
Requirements:
A. You are required to compare the two Trial Balances given above and prepare the adjusted journal entries that cause the changes in account balances.
B. You are also required to include an explanation (narration) as part of each adjusting entry.
Assignment No. 01 Marks: 20
Shown below are the Trial Balance and Adjusted Trial Balance of the New Star Services owned by Mr. Nasir for the month ended December 31, 2009.
New Star Services
Trial balance
As on December 31st, 2009.
New Star Services
Adjusted Trial Balance
As on December 31st, 2009
Requirements:A. You are required to compare the two Trial Balances given above and prepare the adjusted journal entries that cause the changes in account balances.
B. You are also required to include an explanation (narration) as part of each adjusting entry.
