The Kingbird, Inc. opened for business on May 1, 2022. Its trial balance before adjustment on May 31 is as follows. Kingbird, Inc.
Trial Balance
May 31, 2022
Account Number Debit Credit
101 Cash $ 4,130
126 Supplies 2,462
130 Prepaid Insurance 2,832
140 Land 14,160
141 Buildings 70,800
149 Equipment 16,560
200
Notes Payable
$ 47,200
201 Accounts Payable 13,200
208 Unearned Rent Revenue 3,894
311 Common Stock
41,300
429 Rent Revenue 11,014
610 Advertising Expense
708
726 Salaries and Wages Expense 3,894
732 Utilities Expense 1,062
$ 116,608 $ 116,608
1. Prepaid insurance is a 1-year policy starting May 1, 2022.
2. A count of supplies shows $ 885 of unused supplies on May 31.
3. Annual depreciation is $ 3,540 on the buildings and $ 1,656 on equipment.
4. The note payable interest rate is 12%. (The note was taken out on May 1 and will be repaid along with interest in 2 years.)
5. Two-thirds of the unearned rent revenue has been earned.
6. Salaries and wages of $ 885 are unpaid and unrecorded at May 31.