Question

Journalize the following adjusting entries. (If no entry is required, select "No Entry" for the account titles and enter o for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.) indente em for the ac 1. Supplies on hand are valued at $1,120. 2. Accrued salaries payable are $500. 3. Depreciation for the month is $270. 4. Services were performed to satisfy $500 of unearned service revenue. Account Titles and Explanation Debit Credit Supplies Expense 1120 Supplies 1120 Salaries and Wages Expense 500 Salaries and Wages Payable Depreciation Expense Accumulated Depreciation Equipment Unearned Service Revenue 500 Service Revenue

Answer 1

Adjusting Entries:

Account title and explanation	Debit	Credit
Supplies expense [1,550+1,320-1,120]	$1,750
Supplies		$1,750
[To record supplies expense]
Salaries and wages expense	$500
Salaries and wages payable		$500
[To record accrued salaries and wages expense]
Depreciation expense	$270
Accumulated depreciation-equipment		$270
[To record depreciation expense]
Unearned service revenue	$500
Service revenue		$500
[To record revenue from unearned]

T-Accounts:

Cash
11/1 bal.	3,220	11/8	1,220
11/10	1,820	11/20	2,530
11/12	3,770	11/22	460
11/29	760	11/25	1,050
11/30 bal.	4,310
Accounts receivable
11/1 bal	3,150	11/10	1,820
11/27	960
11/30 bal.	2,290
Supplies
11/1 bal.	1,550	11/30	1,750
11/27	1,320
11/30 bal.	1,120
Equipment
11/1 bal.	10,430
11/15	3,610
11/30 bal.	14,040
Accumulated depreciation-equipment
		11/1 bal.	500
		11/30	270
		11/30 bal.	770
Accounts payable
11/20	2,530	11/1 bal.	2,730
		11/15	3,610
		11/17	1,320
		11/30 bal.	5,130
Unearned service revenue
11/30	500	11/1 bal.	400
		11/29	760
		11/30 bal.	660
Salaries and Wages payable
11/8	860	11/1 Bal.	860
		11/30	500
		11/30 bal.	500
Common stock
		11/1 Bal.	10,430
		11/30 bal.	10,430
Retained earnings
		11/1 Bal.	3,430
		11/30 bal.	3,430
Service revenue
		11/12	3,770
		11/27	960
		11/30	500
		11/30 bal.	5,230
Depreciation expense
11/30	270
11/30 bal.	270
Supplies expense
11/30	1,750
11/30 bal.	1,750
Salaries and wages expense
11/8	360
11/25	1,050
11/30	500
11/30 bal	1,910
Rent expense
11/22	460
11/30 bal.	460

Trial Balance:

SUNLAND EQUIPMENT REPAIR
Trial Balance
For the month ended November
Account title	Debit	Credit
Cash	$4,310
Accounts receivable	$2,290
Supplies	$1,120
Equipment	$14,040
Accumulated depreciation-Equipment		$770
Accounts payable		$5,130
Unearned service revenue		$660
Salaries and wages payable		$500
Common stock		$10,430
Retained earnings		$3,430
Service revenue		$5,230
Depreciation expense	$270
Supplies expense	$1,750
Salaries and wages expense	$1,910
Rent expense	$460
Total	$26,150	$26,150

Income Statement:

SUNLAND EQUIPMENT REPAIR
Income Statement
For the month ended November
Revenues:
Service revenue		5,230
Expenses:
Depreciation expense	270
Supplies expense	1,750
Salaries and wages expense	1,910
Rent expense	460
Total expenses		4,390
Net income		840