Question

. On May 31, the following data were accumulated to assist the accountant in preparing the adjusting entries for Oceanside Realty: • Fees accrued but unbilled at May 31 are $12,210. The supplies account balance on May 31 is $4,020. The supplies on hand at May 31 are $1,150. Wages accrued but not paid at May 31 are $1,540. • The unearned rent account balance at May 31 is $11,970, representing the receipt of an advance payment on May 1 of three months' rent from tenants. • Depreciation of office equipment is $2,040. Required: Joumalize the adjusting entries required at May 31. If an amount box does not require an entry, leave it blank. May 31 31 31 31 31 Previous Check My Work 3 more Check My Work uses remaining. Save and El Sub Assignment for Gradin

Answer 1

Solution:

Credit Adjusting Journal Entries Date Accounts Title May-31 Accounts Receivable Fees Earned (To record fees earned but unbilled at May 31) Debit $12,210 $12,210 $2,870 May-31 Supplies Expense Supplies (To record Supplies used till May 31) $2,870 $1,540 May-31 Wages Expense Wages Payable (To record wages accrued but not paid) $1,540 $3,990 May-31 Rent Revenue ($11,970/3) Unearned Rent (To record rent earned for the month of May) $3,990 $2,040 May-31 Depreciation Expense - Office Equipment Accumulated Depreciation - Office Equip. (To record depreciation on office equipment) $2,040