Galaxy Theater Production Company’s partially completed worksheet as of December 31, 2018, follows.

Galaxy Theater Production Company
Worksheet
December 31, 2018
Account Names	Unadjusted Trial Balance		Adjustments		Adjusted Trial Balance
	Debit	Credit	Debit	Credit	Debit	Credit
Cash	\( 3,600
Accounts Receivables	5,700
Office Supplies	1,500
Prepaid Insurance	900
Equipment	23,000
Accumulated Depreciation – Equipment		\) 8,500
Accounts Payable		4,600
Salaries Payable
Common Stock		9,900
Dividends	26,000
Service Revenue		72,000
Depreciation Expense – Equipment
Supplies Expense
Utilities Expense	4,300
Salaries Expense	30,000
Insurance Expense
Total	\( 95,000	\) 95,000

Adjustment data at December 31 follow:

a. As of December 31, Galaxy had performed \(900 of service revenue but has not yet billed customers.

b. At the end of the month, Galaxy had \)500 of office supplies remaining.

c. Prepaid Insurance of \(600 remained.

d. Depreciation expense, \)4,200.

e. Accrued salaries expense of $150 that hasn’t been paid yet.

Requirements

1. Complete the worksheet. Use letters athrough eto label the five adjustments.

2. Journalize the adjusting entries.

Galaxy Theater Production Company

Worksheet

December 31, 2018

Cash

$ 3,600

$ 3,600

Accounts (a) Receivables

5,700

$ 900

6,600

Office Supplies (b)

1,500

$ 1,000

500

Prepaid Insurance (c)

900

300

600

Equipment

23,000

23,000

Accumulated (d) Depreciation – Equipment

$ 8,500

4,200

$ 12,700

Accounts Payable

4,600

4,600

Salaries Payable (e)

150

150

Common Stock

9,900

9,900

Dividends

26,000

26,000

Service Revenue (a)

72,000

900

72,900

Depreciation Expense – Equipment (d)

4,200

4,200

Supplies Expense (b)

1,000

1,000

Utilities Expense

4,300

4,300

Salaries Expense (e)

30,000

150

30,150

Insurance Expense (c)

300

300

Total

$ 95,000

$ 95,000

$ 6,550

$ 6,550

$ 100,250

$ 100,250

Date

Particular

Debit

Credit

a)

Accounts Receivable

$ 900

Service Revenue

$ 900

Being billed customers for providing services

b)

Supplies Expense

1,000

Office Supplies

1,000

Being office supplies used

c)

Insurance Expense

300

Prepaid Insurance

300

Being Prepaid insurance expired

d)

Depreciation Expense

4,200

Accumulated Depreciation

4,200

Being depreciation incurred for the period

e)

Salaries Expense

150

Accrued Salaries

150

Being salary outstanding for the period

Total

$ 6,550

$ 6,550