Trial Balance

Trial Balance
31-Dec-11 Debit              Credit
cash                                                                            $3,568,500.00
notes receiveable                                                            $7,980.00
Account receiveable                                                   $268,800.00
supplies                                                                             $9,000.00
unexpired rent                                                               $12,000.00
unexpired insurance                                                       $6,000.00
furniture & Fixtures                                                    $150,000.00
Accumulated Depreciation
furniture & Fixtures                                                                                     $30,000.00
Building                                                                         $250,000.00
Accumulated depreciation-building                                                          $60,000.00
land                                                                                $100,000.00
note payable                                                                                                  $50,000.00
accounts payable                                                                                        $380,000.00
unearned consulting service                                                                     $265,000.00
capital stock                                                                                              $2,000,000.00
retained earnings                                                                                     $1,488,580.00
dividends                                                                          $65,000.00
consulting services fees                                                                              $275,000.00
entertainment expense                                                   $2,000.00
salary expense                                                                 $82,700.00
repair expense                                                                   $1,200.00
travel expense                                                                 $12,400.00
miscallaneous expense                                                  $13,000.00
total                                                                             $4,548,580.00      $4,548,580.00

On the annual reporting day, i.e. 31 St December,2011, the accountant of the company has discovered the following information which have not yet taken care of:

a) Supplies used up until the end of the year, $7,500
b) Unexpired rent has been expired during the period $6000
c) Insurance Unexpired on 31St December $2,OOO
d) Depreciation on furniture and fixtures, $10,000
e) Depreciation on Building, $20,OOO
f) Salaries owed but not yet paid, $7.400
g) Accrued consulting services revenue. $12.000
h) Of the $265,OOO balance of unearned consulting services. $133.000 was earned during the year.
i) The estimated taxes for the year, $25000

i) Show ledger accounts (in “T” Form) of all adjustment entries and non-adjustment entries such as “Cash”).
ii) Prepare an adjusted trial balance
iii) Prepare an income statement