The following six-column table for Bullseye Ranges includes the unadjusted tri

The following six-column table for Bullseye Ranges includes the unadjusted trial balance as of

December 31 2005.

Problem 4-6AA

Preparing adjusting reversing and

next period entries

P4 BULLSEYE RANGES

December 31 2005

Unadjusted

Trial

Account Title Adjustments Adjusted
Trail Balance

Dr. Cr. Dr. Cr. Dr Cr.

Cash . . . . . . . . . . . . . . . . . . . . . $ 13000

Accounts receivable . . . . . . . . . . 0

Supplies . . . . . . . . . . . . . . . . . . 5500

Equipment . . . . . . . . . . . . . . . . 130000

Accumulated depreciation%u2014

Equipment . . . . . . . . . . . . . . . $ 25000

Interest payable . . . . . . . . . . . . . 0

Salaries payable . . . . . . . . . . . . . 0

Unearned member fees . . . . . . . 14000

Notes payable . . . . . . . . . . . . . . 50000

T. Allen Capital . . . . . . . . . . . . . 58250

T. Allen Withdrawals . . . . . . . . . 20000

Member fees earned . . . . . . . . . 53000

Depreciation expense%u2014

Equipment . . . . . . . . . . . . . . . 0

Salaries expense . . . . . . . . . . . . 28000

Interest expense . . . . . . . . . . . . 3750

Supplies expense . . . . . . . . . . . . 0

Totals . . . . . . . . . . . . . . . . . . . . $200250 $200250

Required

1. Complete the six-column table by entering adjustments that reflect the following information:

a. As of December 31 2005 employees had earned $900 of unpaid and unrecorded salaries. The

next payday is January 4 at which time $1600 of salaries will be paid.

b. The cost of supplies still available at December 31 2005 is $2700.

c. The notes payable requires an interest payment to be made every three months. The amount

of unrecorded accrued interest at December 31 2005 is $1250. The next interest payment

at an amount of $1500 is due on January 15 2006.

d. Analysis of the unearned member fees account shows $5600 remaining unearned at December

31 2005.

e. In addition to the member fees included in the revenue account balance the company has earned

another $9100 in unrecorded fees that will be collected on January 31 2006. The company

is also expected to collect $8000 on that same day for new fees earned in January 2006.

f. Depreciation expense for the year is $12500.

2. Prepare journal entries for the adjustments entered in the six-column table for part 1.

3. Prepare journal entries to reverse the effects of the adjusting entries that involve accruals.

4. Prepare journal entries to record the cash payments and cash collections described for January.