Question : 187.The unadjusted trial balance of Barber Housekeeping Service entered the : 1236888

187.The unadjusted trial balance of Barber Housekeeping Service is entered on the partial work sheet below. 

Barber Housekeeping ServiceWork SheetFor the year ended December 31

AccountUnadjusted Trial BalanceAdjustmentsAdjusted Trial BalanceIncome StatementBalance Sheet and Statement of Owner’s Equity

DebitCreditDebitCreditDebitCreditDebitCreditDebitCredit

Cash50,000

Accounts Receivable10,000

Supplies8,000

Automobiles160,000

Accum. Depr.—Autos55,000

Accounts payable37,000

Salaries payable

C. Barber, Capital55,000

C. Barber, Withdrawals45,000

Fees earned275,400

Salary expense125,000

Rent expense24,400

Advertising expense

Supplies expense

Depreciation expense____________

Totals422,400422,400

Required: Complete the work sheet using the following information: (a) Salaries earned by employees that are unpaid and unrecorded, $5,000. (b) An inventory of supplies showed $3,000 of unused supplies still on hand. (c) Depreciation on automobiles, $30,000. (d) Advertising for November and December in the amount of $8,000 remains unpaid and unrecorded.    

188.Complete the work sheet below for Barber Housekeeping Services by extending the account balances from the adjusted trial balance columns into the appropriate financial statement columns and by entering the amount of net income for the reporting period: 

Barber Housekeeping ServiceWork SheetFor the year ended December 31

AccountUnadjusted Trial BalanceAdjustmentsAdjusted Trial BalanceIncome StatementBalance Sheet and Statement of Owner’s Equity

DebitCreditDebitCreditDebitCreditDebitCreditDebitCredit

Cash50,00050,000

Accounts Receivable10,00010,000

Supplies8,0005,0003,000

Automobiles160,000160,000

Accum. Depr.—Autos55,00030,00085,000

Accounts payable37,0008,00045,000

Salaries payable5,0005,000

C. Barber, Capital55,00055,000

C. Barber, Withdrawals45,00045,000

Fees earned275,400275,400

Salary expense125,0005,000130,000

Rent expense24,40024,400

Advertising expense8,0008,000

Supplies expense5,0005,000

Depreciation expense______30,00030,000

Totals.422,400422,40048,00048,000465,400465,400

Net income

Totals

 189.The following adjusted trial balance is for Carla Co. at year-end December 31. The credit balance in Carla West, Capital at the beginning of the year, January 1, was $320,000. The owner, Carla West, invested an additional $100,000 during the current year. The land held for future expansion was also purchased during the current year. 

Carla Co. AdjustedTrial BalanceDecember 31

Cash$60,000

Accounts receivable22,000

Prepaid rent7,000

Office supplies3,000

Investments in stocks120,000

Land held for future expansion220,000

Office equipment58,000

Accumulated depreciation—Equipment$38,000

Building280,000

Accumulated depreciation—Building200,000

Land180,000

Patents150,000

Accounts payable36,800

Salaries payable10,500

Interest payable7,900

Long-term note payable252,000

C. West, Capital420,000

C. West, Withdrawals60,000

Service fees earned470,800

Salaries expense195,000

Insurance expense18,000

Rent expense36,000

Depreciation expense—Equipment12,000

Depreciation expense—Building15,000_________

Totals$1,436,000$1,436,000

Required: Prepare a classified balance sheet as of December 31. (Note: A $21,000 installment on the long-term note payable is due within one year.)