Question

Disaussions View Policies Current Attempt in Progress Conferences Collaborations The ledger of Carla Vista Rental Agency on March 31 of the current year includes the selected accounts, shown below, before adjusting entries have been prepared. WileyPLUS Support Debit Credit Prepaid Insurance $12,600 Supplies 2,700 Equipment 31,250 Accumulated Depreciation-Equipment $8,000 Notes Payable 21,000 Unearned Rent Revenue 9,600 Rent Revenue 61,000 Interest Expense Salaries and Wages Expense 13,000 An analysis of the accounts shows the following 1. The equipment depreciates $500 per month, 2. One-third of the uneamed rent revenue was earned during the quarter. 3. Interest of $525 is accrued on the notes payable. 4. Supplies on hand total $590. 5. Insurance expires at the rate of $700 per monthi Prepare the adjusting entries at March 3 assuming that adlustingentries are made quarterly. Additional accounts are Depreciation Expense. Insurance Expense Interest Payable and 7:38 PM Type here to search 1/16/2020

prepare adjusting entries at March 31, assuming that adjusting entries are made quarterly.

Answer 1

Date	General Journal	Debit	Credit
Mar-31	Depreciation expense ($500*3)	$   1,500
	Accumulated depreciation - Equipment		$   1,500
Mar-31	Unearned Rent Revenue ($9,600/3*1)	$   3,200
	Rent Revenue		$   3,200
Mar-31	Interest expenses	$      525
	Interest payable		$      525
Mar-31	Supplies expenses ($2,700 - $590)	$   2,110
	Suplies		$   2,110
Mar-31	Insurance expenses ($700*3)	$   2,100
	Prepaid insurance		$   2,100

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