Question

Answer the following questions about prepaid expenses a. On March 1, East and West Tree Service prepaid $5.400 for six month rent. Give the dusting entry to record rent expense at March 31. Include the date of the entry and an explanation. Then post all amounts to the two accounts involved and show their balances of March 31. East and West adjust the accounts only at March 31, the end of its fiscal year, On March 1, East and West Tree Service paid $950 for supplies. At March 31, East and West has 500 of supplies on hand. Make the required journal any at March 31. Then post all amounts to the accounts and show their balances at March 31. Assume no beginning balance in suppliers a. On March 1, East and West Tree Service prepaid 5.400 for six months' rent Give the adjusting entry to record rent expense at March 31. Include the date of the entry and an explanation. Then post all amounts to the two accounts involved and show their balances at March 31. East and West adjust the accounts only at March 31, the end of its fiscal year. Prepare the adjusting journal only to record the rest expense at March 31. (Record debits first, the credits Select the explanation on the line of the journal entry table Journal Entry Date Accounts and explanations Debit Credit Mar 31 Post the March 1 and 31 transactions to the following accounts. Be sure to calculate the ending balance of the accounts Prepaid Rent Rent Expense Mar 1 31 Mar 30 b. On March 1, East and West Tree Service paid $950 for supplies. At March 31, East and West has $500 of supplies on hand. Make the required joumal entry at March 31. Then post all mounts to the accounts and show their balances at March 31. Assume no beginning balance in supplies Prepare the adjusting ouma entry to record the supplies expense at March 31 Journal Entry Date Accounts and Explanations Debit Credit Mar 31 Post the March 1 and 31 transactions to the following accounts. Be sure to calculate the ending balance of the accounts Supplies Expense MLM

Answer 1

Ans a Date Mar 31 Accounts and Explanation Debit Credit Rent Expense ($5400/6x1] $900 Prepaid Rent $900 (To record rent expense for the month of March) $900 Prepaid Rent $5,400 Mar 31 $4,500 Mar 1 Bal. Mar 31 Bal. Rent Expense $900 Mar 31 $900 Ans b Date Mar 31 Accounts and Explanation Debit Credit Supplies Expense ($950-$500] $450 Supplies $450 (To record supplies expense for the month of March) $450 Supplies $950 Mar 31 $500 Mar 1 Bal. Mar 31 Supplies Expense $450 Mar 31 $450 Bal.