Question

a. Depreciation on the company's equipment for 2017 is computed to be $14,000. b. The Prepaid Insurance account had a $6,000 debit balance at December 31, 2017, before adjusting for the costs of any expired coverage. An analysis of the company's insurance policies showed that $1,560 of unexpired insurance coverage remains. c. The Office Supplies account had a $420 debit balance on December 31, 2016; and $2,680 of office supplies were purchased during the year. The December 31, 2017, physical count showed $496 of supplies available. d. Three-fourths of the work related to $13,000 of cash received in advance was performed this period. e. The Prepaid Insurance account had a $5,900 debit balance at December 31, 2017, before adjusting for the costs of any expired coverage. An analysis of insurance policies showed that $4,340 of coverage had expired. f. Wage expenses of $3,000 have been incurred but are not paid as of December 31, 2017. Prepare adjusting journal entries for the year ended (date of) December 31, 2017, for each of these separate situations. View transaction list Journal entry worksheet 1 2 3 4 5 6 Depreciation on the company's equipment for 2017 is computed to be $14,000. Note: Enter debits before credits. Transaction General Journal Debit Credit

Answer 1

Solution No. Particulars Debit Gredst a: Deprectadlon exporse - eguepraent Accumulated deprectation 14000 aootiu [ To record the deprectatton experse tos the year] b. Ing uorance experse[6000-1560) 4440 prepaed Ingurance 4440 ( To record the Insurance experse jor the year] supplies experse C420+ 1660- 496] supplies C. 2604 2604 [ To recond the Supplles Congumed for the year] Uneanned vrevenue (13000x 3/4] 1750 d. Revenue 9750 [To record the earned portHon of tee recelved advance] Ingworance experge e. atiɛt Prepald Insurance C To record the Ingurance experse for Yeaen] 4340 woges expese 3o00 wages payable CTo record the wiges acerwed but not yet pald] 3000