Joe Hurt owns and operates Rent-a-Wreck Company, a used car rental business. The following is a trial balance before the end of the month adjustments.
Dr. Cr.
Cash 1,940
Accounts Receivable 1,575
Supplies 1,740
Prepaid Rent 2,900
Equipment 16,500
Accounts Payable 1,000
Joe Hurt, Capital 21,650
Joe Hurt, Drawing 2,500
Rental Income 7,125
Salaries Expense 1,800
Utilities Expense 540
Miscellaneous Expense 280
29,775 29,775
Listed below are the end of the month adjustments:
(a) Inventory of supplies at end of month, $975
(b) Rent for the month, $900
(c) Depreciation expense for month, $500
(d) Salaries Payable, $200
Prepare an adjusted trial balance and make the necessary adjusting entries.