| Course | AC114 Accounting I |
|---|---|
| Unit | Unit 6 |
| Paper type | Adjusting entries worksheet |
| Length | About 670 words, 5 pages double-spaced |
| Format | APA 7 student paper |
| School | Purdue University Global |
| Program | BS in Accounting |
| Updated | October 2026 |
Free sample paper for AC114 Unit 6
Eight Adjustments Across Ten Columns: A Unit 6 Worksheet for a Window-Cleaning Corporation's June
[Student Name]
Purdue University Global
AC114: Accounting I
Unit 6 Adjusting Entries Worksheet
[Instructor Name]
[Date]
Brightpane Window Care, Inc. and its month-end facts are composite; the textbook, revenue standard and accruals study cited are real.
The Adjustments, Keyed
a. Insurance expired: one month of the $1,800 policy, $150. Insurance Expense, debit $150; Prepaid Insurance, credit $150. b. Supplies used: $650 bought, $230 counted on hand, $420 used. Supplies Expense, debit $420; Cleaning Supplies, credit $420. c. Equipment depreciation: $6,000 over five years, no salvage, $100 a month. Depreciation Expense, Equipment, debit $100; Accumulated Depreciation, Equipment, credit $100. d. Truck depreciation: $22,000 cost less $4,000 expected salvage, $18,000 over five years, $300 a month. Depreciation Expense, Truck, debit $300; Accumulated Depreciation, Truck, credit $300. e. Crestview contract earned: one of six months, $600. Unearned Service Revenue, debit $600; Service Revenue, credit $600. f. Salaries accrued: June 29 and 30, two crew members, $460. Salaries Expense, debit $460; Salaries Payable, credit $460. g. Interest accrued: $15,000 at 6 percent for one month, $75. Interest Expense, debit $75; Interest Payable, credit $75. h. Unbilled work: two storefronts cleaned June 30, not invoiced until July 1, $380. Accounts Receivable, debit $380; Service Revenue, credit $380.
Adjustment columns total $2,485 debit and $2,485 credit.
The Grid, Account by Account
Each line gives the trial balance amount, the adjustment, the adjusted amount and the column it extends to.
1. Cash: $33,220 debit; no adjustment; $33,220; balance sheet.
2. Accounts Receivable: $1,200; h plus $380; $1,580; balance sheet.
3. Cleaning Supplies: $650; b minus $420; $230; balance sheet.
4. Prepaid Insurance: $1,800; a minus $150; $1,650; balance sheet.
5. Equipment: $6,000; none; $6,000; balance sheet.
6. Accumulated Depreciation, Equipment: c $100 credit; balance sheet.
7. Truck: $22,000; none; $22,000; balance sheet.
8. Accumulated Depreciation, Truck: d $300 credit; balance sheet.
9. Accounts Payable: $3,000 credit; none; balance sheet.
10. Unearned Service Revenue: $3,600 credit; e minus $600; $3,000 credit; balance sheet.
11. Salaries Payable: f $460 credit; balance sheet.
12. Interest Payable: g $75 credit; balance sheet.
13. Notes Payable: $15,000 credit; balance sheet.
14. Common Stock: $40,000 credit; balance sheet.
15. Dividends: $1,000 debit; balance sheet columns, since it moves to retained earnings.
16. Service Revenue: $7,300 credit; e and h plus $980; $8,280 credit; income statement.
17. Salaries Expense: $2,300; f plus $460; $2,760; income statement.
18. Supplies Expense: b $420; income statement.
19. Insurance Expense: a $150; income statement.
20. Depreciation Expense, Equipment: c $100; and Depreciation Expense, Truck: d $300; income statement.
21. Utilities Expense $310 and Fuel Expense $420; income statement.
22. Interest Expense: g $75; income statement.
Adjusted trial balance: $70,215 debit and $70,215 credit.
Income statement columns: expenses $4,535 debit; revenue $8,280 credit. Net income, the balancing figure, $3,745, entered in the debit column of the income statement and the credit column of the balance sheet.
Balance sheet columns: debits $65,680; credits $61,935 plus net income $3,745 equals $65,680.
Timing Notes Beneath the Grid
Adjustments a, b, c, d and e are deferrals: cash moved earlier, and the cost or the revenue is now being used or earned. Adjustments f, g and h are accruals: the expense or revenue happened in June, and the cash will move in July (Franklin et al., 2019).
Adjustment e is the one that changes both statements in opposite directions, moving $600 out of what Brightpane owes and into what it has earned, because the company cleaned Crestview once in June and owes five more months.
Revenue under a contract is recognized as each performance obligation is satisfied, here one monthly cleaning at a time (Financial Accounting Standards Board, 2014). Without the adjustments, June's income would have been $4,270 rather than $3,745, and expenses would have been understated by $1,505. Accrual adjustments of this kind are what make reported earnings a better measure of a period's performance than its cash flows (Dechow, 1994).
References
Dechow, P. M. (1994). Accounting earnings and cash flows as measures of firm performance: The role of accounting accruals. Journal of Accounting and Economics, 18(1), 3-42. https://doi.org/10.1016/0165-4101(94)90016-7
Financial Accounting Standards Board. (2014). Revenue from contracts with customers (Topic 606) (Accounting Standards Update No. 2014-09). https://www.fasb.org
Franklin, M., Graybeal, P., & Cooper, D. (2019). Principles of accounting, volume 1: Financial accounting. OpenStax. https://openstax.org/details/books/principles-financial-accounting
AC114 Unit 6 instructions, in plain terms
In the sixth AC114 unit, students start from June's corrected balances plus the facts the ledger never saw, and spread the work across a ten-column grid. Key each adjustment by letter in both adjustment columns, with the calculation shown separately. Add the adjustments to reach the adjusted trial balance, then extend each figure to the income statement or balance sheet columns. Net income is the balancing figure in both pairs of columns. Watch depreciation with salvage value, unearned revenue earned during the month and accruals for wages, interest and unbilled work. Explain the timing of each adjustment, as an accrual or a deferral, beneath the grid. Totals must agree at every stage. The worksheet is graded alongside the entries in many sections. Cite the textbook and standards where you explain a rule, using APA 7.
How the AC 114 Unit 6 example is put together
The sample lists eight keyed adjustments, a to h, each with its fact, calculation and entry, totaling $2,485 on each side. The grid follows account by account, giving the trial balance amount, the adjustment, the adjusted amount and the column it extends to. Totals are given for the adjusted trial balance, the income statement columns and the balance sheet columns, with net income of $3,745 balancing both. Timing notes sort the adjustments into five deferrals and three accruals. The highlighted sentence explains the Crestview adjustment, which moves $600 from a liability to revenue. A closing paragraph cites the revenue standard and accruals research, and shows that unadjusted income of $4,270 would have overstated June by $525.
Reading the AC114 Unit 6 grading rubric
Worksheets are graded on correct adjustments, correct extensions and totals that agree at every stage. Each adjustment must appear on both sides with the same letter. Depreciation with salvage, unearned revenue and accrued interest are common scoring points. Extending accumulated depreciation and dividends to the right columns is checked closely. Net income must balance both column pairs, and any difference signals an extension error. Timing notes, where the prompt asks for them, earn interpretation credit. A clear layout lets the grader trace any figure from its trial balance line to its statement column, and partial credit is easier to award when the letters are consistent. Accurate calculations and APA 7 citations for the rules applied complete the marks.
AC114 Unit 6 help: mistakes that cost points
Worksheet errors often begin with an adjustment entered on only one side. Depreciation is calculated without subtracting salvage value. Unearned revenue is adjusted in the wrong direction, increasing the liability. Dividends are extended to the income statement columns. Accrued interest is forgotten because no bill has arrived. Net income is computed separately and does not balance the columns. Timing notes are skipped. Some students also forget the unbilled work, since no invoice exists yet to remind them. If your grid refuses to balance in the last two column pairs, our team can rebuild it, adjustment by adjustment, from your problem.
Get an AC114 Unit 6 example written to your instructions
The unadjusted trial balance and adjustment facts your AC114 instructor handed out are the inputs; include the Unit 6 instructions and rubric with them. A completed worksheet with journalized adjustments returns in 24-48h. Your first custom sample is free, and each adjustment carries the timing explanation that rubrics in this course tend to reward. The paper above is an original model document written by our desk, not a submitted student paper and not an official Purdue University Global document.
More AC114 papers and BS in Accounting samples
- AC114 Unit 1: What a Record Is For Post
- AC114 Unit 2: Account Classification Exercise
- AC114 Unit 3: General Journal Entry Set
- AC114 Unit 4: Ledger Posting Exercise
- AC114 Unit 5: Trial Balance and Error Hunt
- AC114 Unit 7: Financial Statement Preparation
- AC114 Unit 8: Closing Entries Problem
- AC114 Unit 9: Seminar Reflection
- AC114 Unit 10: Comprehensive Cycle Problem
- AC112 Unit 6: Profit Versus Cash Discussion
AC114 Unit 6 questions, answered
Is the worksheet itself graded, or only the adjusting entries?
Both, in many AC114 sections, though the weighting varies. The worksheet shows that the adjustments were extended correctly and that net income was computed rather than forced; the journal entries show the reasoning. A rubric that lists only entries may still expect the worksheet as supporting evidence, so a sample includes both unless the prompt clearly excludes one.
How is depreciation handled for an asset bought mid-month?
The annual straight-line amount is divided by twelve for a monthly figure, and some problems then scale it by the fraction of the month the asset was in service. Many introductory problems ignore partial months and begin depreciating on the first of the following month. The problem statement usually signals which convention applies, and the sample states its choice in the explanation line.
Why does net income appear twice on the worksheet?
It balances two column pairs at once. In the income statement columns, net income is the amount by which credits, meaning revenues, exceed debits, meaning expenses, so it is added to the debit side. In the balance sheet columns the same figure is added to the credit side, because profit increases equity that has not yet been closed into capital.
Where can I find a free AC114 Unit 6 sample paper?
This page has a complete AC114 Unit 6 ten-column worksheet for a window-cleaning corporation, with eight keyed adjustments, extensions, net income of $3,745 and timing notes.
How is truck depreciation figured in the AC114 Unit 6 sample?
The truck cost $22,000 with an expected salvage value of $4,000, leaving $18,000 to depreciate over five years. That is $3,600 a year, or $300 a month.