Question : Question GLOBAL DESIGNERS INC : 1164439

Question

 

 

GLOBAL DESIGNERS INC

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

TRIAL BALANCE

 

 

 

 

 

 

 

AS AT 1/31/2016

 

 

 

 

 

 

 

UNADJUSTED

 

 

 

 

 

 

 

BAL (DR)

BAL (CR)

 

 

 

 

 

 

CASH

$       375,000

 

 

 

 

 

 

 

ACCOUNTS RECEIVABLE

$         75,000

 

 

 

 

 

 

 

ACCRUED REVENUES

$                  – 

 

 

 

 

 

 

 

MACHINERY

$       120,000

 

 

 

 

 

 

 

ACCUMULATED DEPRECIATION

 

$            – 

 

 

 

 

 

 

PREPAID RENT

$         12,000

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

ACCOUNTS PAYABLE

 

$    60,000

 

 

 

 

 

 

ACCRUED EXPENSES

 

$            – 

 

 

 

 

 

 

UNEARNED REVENUES

 

$    30,000

 

 

 

 

 

 

BANK LOAN

 

$ 200,000

 

 

 

 

 

 

CAPITAL

 

$ 208,000

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

REVENUES

 

$ 390,000

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PURCHASES

$       300,000

 

 

 

 

 

 

 

TELEPHONE

$           6,000

 

 

 

 

 

 

 

SALARIES EXPENSE

$                  – 

 

 

 

 

 

 

 

DEPRECIATION EXPENSE

$                  – 

 

 

 

 

 

 

 

RENT EXPENSE

$                  – 

$            – 

 

 

 

 

 

 

TOTAL

$       888,000

$ 888,000

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

ADJUSTMENTS NEEDED:

 

 

 

 

 

 

 

1

PREPAID RENT INCLUDES JAN RENT OF $6,000 AND FEB RENT OF $6000

 

 

 

2

THE COMPANY EARNED $15,000 OF THE UNEARNED REVENUES IN JANUARY 2016

 

 

3

THE MACHINERY HAS USEFUL LIFE OF 60 MONTHS

 

 

 

 

 

4

THE COMPANY OWED $25,000 IN SALARIES AS AT 1/31/2016

 

 

 

 

5

THE COMPANY SUPPLIED $30,000 OF GOODS TO MACYS BUT DID NOT BILL AS AT 1/31/2016

 

 

 

 

 

 

 

 

 

 

 

PLEASE PREPARE ADJUSTING JOURNAL ENTRIES, ADJUSTED TRIAL BALANCE AND FINANCIAL STATEMENTS

 

 

GLOBAL DESIGNERS INC

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

TRIAL BALANCE

 

 

 

 

 

 

 

AS AT 1/31/2016

 

 

 

 

 

 

 

UNADJUSTED

 

 

 

 

 

 

 

BAL (DR)

BAL (CR)

 

 

 

 

 

 

CASH

$       375,000

 

 

 

 

 

 

 

ACCOUNTS RECEIVABLE

$         75,000

 

 

 

 

 

 

 

ACCRUED REVENUES

$                  – 

 

 

 

 

 

 

 

MACHINERY

$       120,000

 

 

 

 

 

 

 

ACCUMULATED DEPRECIATION

 

$            – 

 

 

 

 

 

 

PREPAID RENT

$         12,000

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

ACCOUNTS PAYABLE

 

$    60,000

 

 

 

 

 

 

ACCRUED EXPENSES

 

$            – 

 

 

 

 

 

 

UNEARNED REVENUES

 

$    30,000

 

 

 

 

 

 

BANK LOAN

 

$ 200,000

 

 

 

 

 

 

CAPITAL

 

$ 208,000

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

REVENUES

 

$ 390,000

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PURCHASES

$       300,000

 

 

 

 

 

 

 

TELEPHONE

$           6,000

 

 

 

 

 

 

 

SALARIES EXPENSE

$                  – 

 

 

 

 

 

 

 

DEPRECIATION EXPENSE

$                  – 

 

 

 

 

 

 

 

RENT EXPENSE

$                  – 

$            – 

 

 

 

 

 

 

TOTAL

$       888,000

$ 888,000

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

ADJUSTMENTS NEEDED:

 

 

 

 

 

 

 

1

PREPAID RENT INCLUDES JAN RENT OF $6,000 AND FEB RENT OF $6000

 

 

 

2

THE COMPANY EARNED $15,000 OF THE UNEARNED REVENUES IN JANUARY 2016

 

 

3

THE MACHINERY HAS USEFUL LIFE OF 60 MONTHS

 

 

 

 

 

4

THE COMPANY OWED $25,000 IN SALARIES AS AT 1/31/2016

 

 

 

 

5

THE COMPANY SUPPLIED $30,000 OF GOODS TO MACYS BUT DID NOT BILL AS AT 1/31/2016

 

 

 

 

 

 

 

 

 

 

 

PLEASE PREPARE ADJUSTING JOURNAL ENTRIES, ADJUSTED TRIAL BALANCE AND FINANCIAL STATEMENTS