Question

Problem 3-8 (Part Level Submission) Skysong Advertising was founded by Murali Vedula in January 2015. Presented below are both the adjusted and unadjusted trial balances as of December 31, 2017. SKYSONG ADVERTISING TRIAL BALANCE DECEMBER 31, 2017 Unadjusted Adjusted Dr. Cr. Dr. Cr. Cash $15,940 $15,940 Accounts Receivable 17,740 21,370 Supplies 9,840 7,066 Prepaid Insurance 4,000 2,562 Equipment 69,700 69,700 Accumulated Depreciation-Equipment $26,320 $31,590 Notes Payable 7,300 7,300 Accounts Payable 1,980 1,980 Interest Payable 0 511 Unearned Service Revenue 4,720 2,650 Salaries and Wages Payable 0 747 Common Stock 19,610 19,610 Retained Earnings 36,646 36,646 Dividends 18,200 18,200 Service Revenue 53,274 58,974 Salaries and Wages Expense 9,670 10,417 Insurance Expense 1,438 Interest Expense 511 Depreciation Expense 5,270 Supplies Expense 2,774 Rent Expense 4,760 4,760 $149,850 $149,850 $160,008 $160,008

(a) Journalize the annual adjusting entries that were made. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts.) No. Date Account Titles and Explanation Debit Credit 1. Dec. 31 (To record accrued service revenue) 2. Dec. 31 (To record supplies used) 3. Dec. 31 (To expired insurance) 4. Dec. 31 (To record depreciation on equiment) 5. Dec. 31 (To record interest accrued on the note) 6. Dec. 31 (To record service revenue earned) 7. Dec. 31 (To record accrued wages)

Answer 1

No	Date	Account Title and Explanation	Debit	Credit
1	Dec.31	Accounts Receivable	2650
		To Unearned service Revenue		2650
		(To record accrued Service revenue)
2	Dec.31	Supplies Expenses	2774
		To Supplies		2774
		(To Record Supplies Used)
3	Dec.31	Insurance Expenses	1438
		To Prepaid Expenses		1438
		(To Record Expired Insurance)
4	Dec.31	Depreciation Expenses	5270
		To Accumulated Depreciation on Equipment		5270
		(To record Depreciation on equipment)
5	Dec.31	Interest Expenses	511
		To Interest Payable		511
		(To record accrued on the note0
6	Dec.31	Unearned service Revenue	4720
		Accounts Receivable	980
		To Service Revenue		5700
		(To record service revenue earned)
7	Dec.31	Salaries and Wages Expenses	747
		To Salaries and wages Payable		747
		(To record accrued wages)