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 A Recording transactions/ Passing...

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
                                        A    Recording transactions/ Passing Journal Entries
            Unadjusted TB        Adjustments        Adjusted TB
            DR    CR    DR    CR    DR    CR            Date    Journal Entries    Debit    Credit    Comments
        Cash    $38,000                            For example
        Accounts receivable    12,000                            a
        Supplies    5,000
        Prepaid insurance    28,000
        Computers    214,000
        A.D. – Computers        $46,000
        Accounts payable        8,000
        Salaries payable
        Interest payable
        Unearned security revenue        15,000
        Note payable        30,000
        Common shares/Capital        40,000
        Retained earnings        87,000
        Dividends    10,000
        Security revenue        485,000
        Salaries expense    320,000
        Interest expense
        Depreciation expense
        Supplies expense
        Repairs expense    17,000
        Insurance expense
        Rent expense    60,000
        Income tax expense    7,000
        Total    $711,000    $711,000    - 0    - 0    - 0    - 0    BALANCE!!
            $711,000    $711,000
        For example    Jan 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 Fe
uary 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 co
ectly 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.