Sheet1 Assignment 11 Below is the June 30, 2017 unadjusted trial balance of Netlock Security, a firm that offers hacking prevention services to large companies ARecording transactions/ Passing...

Only Adjustment journal entries and XL spreedsheet updateplease use the template only


Sheet1 Assignment 11 Below is the June 30, 2017 unadjusted trial balance of Netlock Security, a firm that offers hacking prevention services to large companies ARecording transactions/ Passing Journal Entries Unadjusted TBAdjustmentsAdjusted TB DRCRDRCRDRCRDateJournal EntriesDebitCreditComments Cash$38,000For example Accounts receivable12,000a Supplies5,000 Prepaid insurance28,000 Computers214,000 A.D. – Computers$46,000 Accounts payable8,000 Salaries payable Interest payable Unearned security revenue15,000 Note payable30,000 Common shares/Capital40,000 Retained earnings87,000 Dividends10,000 Security revenue485,000 Salaries expense320,000 Interest expense Depreciation expense Supplies expense Repairs expense17,000 Insurance expense Rent expense60,000 Income tax expense7,000 Total$711,000$711,000- 0- 0- 0- 0BALANCE!! $711,000$711,000 For exampleJan 1 - Owner bought in Capital $10,000 in cash ADJUSTMENTS a.) A count of supplies reveals $300 were on hand on June 30. b.) The $28,000 insurance policy was purchased on March 1, 2017 for whole year.March April May June c.) The computers were purchased years ago for 214,000. At the time of purchase, the estimated life of the computers was 10 years with no estimated residual value. d.) The $30,000 note payable was issued on February 1, 2017 and accrues interest at a 10% annual rate. The note is expected to be repaid in late-2017. e.) On May 1, 2017 the company entered into a 3-month contract to provide security for a major corporation, the corporation paid $15,000 for their 3-month contract on May 1, and that amount was correctly recorded as unearned revenue. On June 30, Netlock had fulfilled the first 2 months of the contract. f.) The company had three employees who were owed for two days of salaries at year end. Each employee earns $250 per day. g.) On June 1, 2017, the company entered into an agreement to provide service for a new client at a rate of $4,000 per month. At the end of June the client had received their first month of service but had not yet been billed. Required: a.) As necessary, record adjusting journal entries based on items a.) through g.) above. b.) Using your adjusting journal entries, complete the adjusted trial balance c.) Based on the adjusted trial balance, prepare an income statement, statement of changes in equity and a balance sheet. Assume no common shares were issued during the year. h.) Prepare closing entries for the company.