ABC Service Center
TRIAL BALANCE
October 31,2011





DEBIT CREDIT

CASH 609,067
ACCOUNT RECEIVABLE 121,000
PREPAID INSURANCE 9,600
PREPAID RENT 72,000
OFFICE SUPPLIES 8,600
OFFICE EQUIPMENT 150,000
ACCOUNTS PAYABLE 132,600
NOTES PAYABLE 156,700
LOANS PAYABLE 350,000
CAPITAL
DRAWINGS 6,000
FEES EARNED 250,000
SALARY EXPENSE 192,000
ADVERTISING EXPENSE 8,000
UTILITIES EXPENSE 40,000
SUPPLIES EXPENSE 5,500
INSURANCE EXPENSE 800
RENT EXPENSE 12,000

TOTAL



ADJUSTMENTS:
1.The company paid insurance premium last MARCH 1,2011.The company closes its book on DECEMBER 31,2011.
2.The company paid Advance payment of Office Rent last September 1,2011.The company closes its book on December 31,2011.
3.Supplies on hand at the end of December 31,2011 was 300.
4.Office equipment purchase last January 1,2011.It was estimated to have a useful life of ten years with estimated salvage value of 30,000.
5.Advertising placement 3,000 for 3 months was effective on December 1,2011.

Requirement:
A.Compute for the Totals of Trial Balance.
B.Adjust the following Accounts.
C.Prepare the appropriate Financial statement for December 31,2011
1.Income statement
2.Capital statement
3.Balance Sheet
D.Closing Entries
E.Post closing Trial balance