The Goldwater Company’s accounting year ends March 31, 20XX. Additional data as of

The Goldwater Company’s accounting year ends March 31, 20XX.  

 

Goldwater Company Work Sheet

For the Year Ended March 31, 20XX

TRIAL BALANCE 

 

                                                       DR                                CR

Cash                                          5,010

Marketable Securities                2,000

Accounts Receivable                 3,640

Prepaid Insurance                        720

Supplies                                      310

Equipment                               11,900

 Accum. Deprec.—Equipment                                              4,760

Accounts Payable                                                                1,210

Notes Payable                                                                     4,000

Advances from Clients                                                         2,400

Richard Goldwater, Capital                                                  5,600

Richard Goldwater, Drawing        2,000

Fee Revenue                                                                     15,630

Interest Income                                                                    120

Salaries Expense                        5,540

Rent Expense                             1,200

Advertising Expense                     780

Utilities Expense                           620                                              

 TOTALS                                33,720                               33,720    

  

Additional data as of March 31, 20XX (ADJUSTING ENTRIES):

 

a. Interest earned on marketable securities, but not received $ 120

b. Unpaid salaries 100

c. An unrecorded and unpaid advertising bill was discovered 85

d. Supplies on hand determined by a physical count 90

e. Depreciation on equipment not recorded 2,380

f. One-half of the prepaid insurance premiums expired during the period 360

g. Of the advances received from clients, $800 has been earned 800

 

1. The total of the Adjustments debit column is  

A. $3,470. C. $4,065.

B. $3,575. D. $4,425.

 

2. The total of the Adjusted Trial Balance credit column is  

A. $35,705. C. $38,005.

B. $36,405. D. $39,785.

 

3. The net income for the year ended March 31, 20XX, is  

A. $5,265. C. $7,765.

B. $5,385. D. $7,985.

 

4. The total of the Balance Sheet debit column is  

A. $19,735. C. $25,120.

B. $22,740. D. $30,760.

 

5. The balance of the Accounts Payable account in the Balance Sheet credit column is

A. $1,125. C. $1,295.

B. $1,210. D. $1,395.