No.

General Journal Debit Credit

1) Accounts receivable 3500

service revenue 3500

2) Unearned service revenue 1900

service revenue 1900

3) Salaries & wages expense 820

Salaries & wages payable 820

4) Insurance expense 1560

prepaid insurance 1560

5) Interest expense 560

interest payable 560

6) Depriciation expene 5000

Accumulated dep.-equipment 5000

7) Supplies expense 2900

supplies 2900

Closing entries

a) Service revenue 63000

Income summary 63000

b) Income summary 24190

Salaries & wages expense 9820
Insurance expense 1560
Interest expense 560
Depriciation expene 5000
Supplies expense 2900
Rent expense 4350

c) Income summary 38810

retained earnings 38810

d) Retained earnings 10000

dividends 10000
The above revenues and expenses accounts should be
closed

d)
 8000*10/12*interest rate=560
interest rate=560*12/(8000*10)
interest rate= 8.40%

e)Salaries wages payable

Salaries & wages payable
Opening balance(bal.) 1500 Cash payment 10500
expenses current year 9820 ending bal. 820

so opening balance on dec 31 2016 1500

 Unadjusted Adjustments Adjusted
Items Debit credit Debit credit Debit credit
Cash 11000 11000
Accounts receivable 16000 3500 19500
supplies 9400 2900 6500
Prepaid insurance 3350 1560 1790
Equipment 60000 60000
Accumulated dep.-equipment 25000 5000 30000
Notes payable 8000 8000
Accounts payable 2000 2000
Interest payable 0 560 560
Unearned service revenue 5000 1900 3100
Salaries & wages payable 0 820 820
common stock 20000 20000
Retained earnings 5500 5500
dividends 10000 10000
Service revenue 57600 5400 63000
Salaries & wages expense 9000 820 9820
Insurance expense 1560 1560
Interest expense 560 560
Depriciation expene 5000 5000
Supplies expense 2900 2900
Rent expense 4350 4350
Total 123100 123100 16240 16240 132980 132980

Income statement
Service revenue 63000

Less:expenses
Salaries & wages expense 9820
Insurance expense 1560
Interest expense 560
Depriciation expene 5000
Supplies expense 2900
Rent expense 4350
Total expenses 24190

Net Income 38810

Statement of retained earnings

Opening balance 5500
Add:net income 38810
Less:dividends -10000
Closing balance 34310
 Balance sheet
Current Assets
Cash 11000
Accounts receivable 19500
supplies 6500
Prepaid insurance 1790
Total current assets 38790

Property , plant & equipment

Equipment 60000
Less:Accumulated dep -30000
30000
Total assets 68790

Current Liabilties
Notes payable 8000
Accounts payable 2000
Interest payable 560
Unearned service revenue 3100
Salaries & wages payable 820
Total current liabilties 14480

Stockholder's equity
common stock 20000
Retained earnings 34310
Total Stockholder's equity 54310

Total Liabiltiy & Stockholder's equity 68790