Question

This is from accounting principles: A business perspective 10th edition, Chapter 3 problem 3-3

Problems U u ule use year, calculate the trend percentages, and comment on the results Problem 3-1 Prepare adjusting entries (LO. 4) Among other items, the trial balance of Filmblaster, Inc., a movie rental company, a December 31 of the current year includes the following account balances: Prepaid Insurance Prepaid Rent Supplies on Hand Debits $7,500 16,800 3.700

Answer 1

Solution:

Journal Entries - Flimblaster Inc.
Date	Particulars	Debit	Credit
31-Dec	Insurance expense Dr	$4,300.00
	To Prepaid insurance		$4,300.00
	(To record insurance expense)
31-Dec	Rent expense Dr	$5,600.00
	To Prepaid Rent		$5,600.00
	(To record rent expense)
31-Dec	Interest receivables Dr	$400.00
	To Interest revenue		$400.00
31-Dec	Supplies expense Dr	$1,300.00
	To Supplies		$1,300.00
	(To record supplies expense)