Selected accounts of Piotroski Properties, a real estate management firm, are shown below as of January 31, before any accounts have been adjusted. Prepaid Insurance Supplies Office Equipment Unearned Rent Revenue Salaries Expense Rent Revenue Piotroski Properties prepares monthly financial statements. Using the following information, adjust the accounts as necessary on January 31 using the financial statements effect template. (a) Prepaid insurance represents a three-year premium paid on January 1. (b) Supplies of $850 were still available on January 31. $13,320 3,860 11,904 10,500 6,200 30,000 (c) Office equipment is expected to last eight years (or 96 months). (d) The unearned rent revenue represents six months of rent received in advance on January 1. (e) Salaries of $980 have been earned by employees but yet not recorded as of January 31. Balance Sheet Transaction (a) (b) (c) (d) (e) Cash Asset + 0 ܘ ܘ ܘ ܘ ܘ Noncash Assets 0 0 0 0 = Liabilities + 0 0 0 0 0 Contributed Capital 0 0 0 0 0 + Earned Capital 0 0 0 0 0 Income Statement Revenue - Expenses = Net Income 0 0 0 0 0 0 oooo 0 0 0 0 0

Selected accounts of Piotroski Properties, a real estate management firm, are shown below as of January 31, before any accounts have been adjusted. Prepaid Insurance Supplies Office Equipment Unearned Rent Revenue Salaries Expense Rent Revenue Piotroski Properties prepares monthly financial statements. Using the following information, adjust the accounts as necessary on January 31 using the financial statements effect template. (a) Prepaid insurance represents a three-year premium paid on January 1. (b) Supplies of $850 were still available on January 31. $13,320 3,860 11,904 10,500 6,200 30,000 (c) Office equipment is expected to last eight years (or 96 months). (d) The unearned rent revenue represents six months of rent received in advance on January 1. (e) Salaries of $980 have been earned by employees but yet not recorded as of January 31. Balance Sheet Transaction (a) (b) (c) (d) (e) Cash Asset + 0 ܘ ܘ ܘ ܘ ܘ Noncash Assets 0 0 0 0 = Liabilities + 0 0 0 0 0 Contributed Capital 0 0 0 0 0 + Earned Capital 0 0 0 0 0 Income Statement Revenue - Expenses = Net Income 0 0 0 0 0 0 oooo 0 0 0 0 0

Financial Accounting

15th Edition

ISBN:9781337272124

Author:Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:Carl Warren, James M. Reeve, Jonathan Duchac

Chapter6: Accounting For Merchandising Businesses

Section: Chapter Questions

Problem 5PA: The following selected accounts and their current balances appear in the ledger of Clairemont Co....

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