The accounts of Gleneagles Company prior to the year-end adjustments follow on the next page….

 

The accounts of Gleneagles Company prior to the year-end adjustments follow on the next page. Adjusting data at the end of the year include: a. Unearned service revenue that has been earned, $1,000. b. Accrued service revenue, $2,000. c. Supplies used in operations, $3,000. d. Accrued salary expense, $3,000. e. Perpaid insurance expired, $1,000. f. Depreciation expense-building, $2,000. Mack Shaughnessy, the principal stockholder, has received an offer to sell Gleneagles Company. He needs to know the following information within 1 hour: a. Net income for the year covered by these data b. Total assets c. Total liabilities d. Total stockholders’ equity e. Proof that total assets = total liabilities + total stockholders’ equity after all items are updated. Required Without opening any accounts, making any journal entries, or using a work sheet, provide Mr. Shaughnessy with the requested information. The business is not subject to income tax. Show all computations. View Solution:
The accounts of Gleneagles Company prior to the year end adjustments