Question

Consider the following independent situations at December 31: (Click the icon to view the situations.) Journalize the adjusting entry needed on December 31 for each situation. Use the letters to label the journal entries. a. On October 1, a business collected $3,900 rent in advance, debiting Cash and crediting Unearned Revenue. The t Date Accounts and Explanation Debit Credit (a) Dec. 31 b. Salaries expense is $1,700 per day—Monday through Friday-and the business pays employees each Friday. This Date Accounts and Explanation Debit Credit (b) Dec. 31 c. The unadjusted balance of the Office Supplies account is $2,400. Office supplies on hand total $1,100. Date Accounts and Explanation Debit Credit (c) DAO 31 Choose from any liet ar antaran

Answer 1

Adjusting entries
S.no.	Accounts title and explanations		Debit $	Credit $
a.	Unearned revenue			975
	Rental revenue (3900*3/12)			975
	(for rental revenue recognized for expired period)
b.	Salaries and wages expense		6,800
	Salaries and wages payable (1700*4)		6,800
	(for salaries made due)
c.	Office Supplies expense		1300
	Office supplies account			1300
	(for supplies used)
d.	Depreciation expense		700
	Accumulated depreciation-Equipment		700
	(for depreciation charged)
e.	Insurance expenses			540
	Prepaid insurance (1440*9/24)		540
	(for insurance expired)