Preparing Adjusting Entries
Jake Thomas began Thomas Refinishing Service on July 1, 2019.
Selected accounts are shown below as of July 31, before any
adjusting entries have been made.
Unadjusted Account Balances | Debit | Credit |
---|---|---|
Prepaid rent | $5,700 | |
Prepaid advertising | 630 | |
Supplies inventory | 3,000 | |
Performance obligation liability | $600 | |
Refinishing fees revenue | 2,500 |
Using the following information, prepare the adjusting entries
necessary on July 31 (a) using the financial statement effects
template and (b) in journal entry form. (c) Set up T-accounts for
each of the ledger accounts, enter the balances above, and post the
adjusting entries to them.
1. On July 1, the firm paid one year’s advance rent of $5,700 in
cash.
2. On July 1, $630 cash was paid to the local newspaper for an
advertisement to run daily for the months of July, August, and
September.
3. Supplies still available at July 31 total $1,100.
4. At July 31, refinishing services of $800 have been performed but
not yet recorded or billed to customers. The firm uses the account
Fees Receivable to reflect amounts due but not yet billed.
5. A customer paid $600 in advance for a refinishing project. At
July 31, the project is one-half complete.
Prepaid Rent | |||
---|---|---|---|
Bal. | 5,700 | ||
Answer | Answer | ||
Bal. | Answer | Answer |
Prepaid Advertising | |||
---|---|---|---|
Bal. | 630 | ||
Answer | Answer | ||
Bal. | Answer | Answer |
Fees Receivable | |||
---|---|---|---|
Answer | Answer | ||
Supplies | |||
---|---|---|---|
Bal. | 3,000 | ||
Answer | Answer | ||
Bal. | Answer | Answer |
Refinishing Fees Revenue | |||
---|---|---|---|
Bal. | 2,500 | ||
Answer | Answer | ||
Answer | Answer | ||
Bal. | Answer | Answer |
Performance Obligation Liability | |||
---|---|---|---|
Bal. | 600 | ||
Answer | Answer | ||
Bal. | Answer | Answer |
Supplies Expense | |||
---|---|---|---|
Answer | Answer | ||
Advertising Expense | |||
---|---|---|---|
Answer | Answer | ||
Rent Expense | |||
---|---|---|---|
Answer | Answer | ||
General Journal | |||
---|---|---|---|
Ref | Description | Debit | Credit |
1 | AnswerRent expensePrepaid rentAdvertising expensePrepaid advertisingSupplies expenseSupplies inventoryFees receivableRefinishing fees revenuePerformance obligation liability | Answer | Answer |
AnswerRent expensePrepaid rentAdvertising expensePrepaid advertisingSupplies expenseSupplies inventoryFees receivableRefinishing fees revenuePerformance obligation liability | Answer | Answer | |
To recordJuly rent expense. | |||
2 | AnswerRent expensePrepaid rentAdvertising expensePrepaid advertisingSupplies expenseSupplies inventoryFees receivableRefinishing fees revenuePerformance obligation liability | Answer | Answer |
AnswerRent expensePrepaid rentAdvertising expensePrepaid advertisingSupplies expenseSupplies inventoryFees receivableRefinishing fees revenuePerformance obligation liability | Answer | Answer | |
To record July advertising expense. | |||
3 | AnswerRent expensePrepaid rentAdvertising expensePrepaid advertisingSupplies expenseSupplies inventoryFees receivableRefinishing fees revenuePerformance obligation liability | Answer | Answer |
AnswerRent expensePrepaid rentAdvertising expensePrepaid advertisingSupplies expenseSupplies inventoryFees receivableRefinishing fees revenuePerformance obligation liability | Answer | Answer | |
To record supplies expense for July. | |||
4 | AnswerRent expensePrepaid rentAdvertising expensePrepaid advertisingSupplies expenseSupplies inventoryFees receivableRefinishing fees revenuePerformance obligation liability | Answer | Answer |
AnswerRent expensePrepaid rentAdvertising expensePrepaid advertisingSupplies expenseSupplies inventoryFees receivableRefinishing fees revenuePerformance obligation liability | Answer | Answer | |
To record unbilled revenue earned in July. | |||
5 | AnswerRent expensePrepaid rentAdvertising expensePrepaid advertisingSupplies expenseSupplies inventoryFees receivableRefinishing fees revenuePerformance obligation liability | Answer | Answer |
AnswerRent expensePrepaid rentAdvertising expensePrepaid advertisingSupplies expenseSupplies inventoryFees receivableRefinishing fees revenuePerformance obligation liability | Answer | Answer | |
To record advance fees earned in July. |
Please answer all parts of the question.
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Preparing Adjusting Entries Jake Thomas began Thomas Refinishing Service on July 1, 2019. Selected accounts are...
Jake Thomas began Thomas Refinishing Service on July 1, 2019. Selected accounts are shown below as of July 31, before any adjusting entries have been made. Unadjusted Account Balances Debit Credit Prepaid rent $5,700 Prepaid advertising 630 Supplies inventory 3,000 Performance obligation liability $600 Refinishing fees revenue 2,500 Using the following information, prepare the adjusting entries necessary on July 31 (c) Set up T-accounts for each of the ledger accounts, enter the balances above, and post the adjusting entries to...
Please answer the following question.
Preparing Adjusting Entries Jake Thomas began Thomas Refinishing Service on July 1, 2019. Selected accounts are shown below as of July 31, before any adjusting entries have been made. Unadjusted Account Balances Debit Credit Prepaid rent $5,700 Prepaid advertising 630 Supplies inventory 3,000 Performance obligation liability $600 Refinishing fees revenue 2,500 Support Using the following information, prepare the adjusting entries necessary on July 31 (a) using the financial statement effects template and (b) in journal...
Jake Thomas began Thomas Refinishing Service on July 1, 2019. Selected accounts are shown below as of July 31, before any adjusting entries have been made. Unadjusted Account Balances Debit Credit Prepaid rent $5,700 Prepaid advertising 630 Supplies inventory 3,000 Performance obligation liability $600 Refinishing fees revenue 2,500 Using the following information, prepare the adjusting entries necessary on July 31 (b) in journal entry form. 1. On July 1, the firm paid one year’s advance rent of $5,700 in cash....
Jake Thomas began Thomas Refinishing Service on July 1, 2019.
Selected accounts are shown below as of July 31, before any
adjusting entries have been made.
Unadjusted Account Balances
Debit
Credit
Prepaid rent
$5,700
Prepaid advertising
630
Supplies inventory
3,000
Performance obligation liability
$600
Refinishing fees revenue
2,500
Using the following information, prepare the adjusting entries
necessary on July 31 (a) using the financial statement effects
template and (b) in journal entry form. (c) Set up T-accounts for
each of...
Jake Thomas began Thomas Refinishing Service on July 1, 2019. Selected accounts are shown below as of July 31, before any adjusting entries have been made. Unadjusted Account Balances Debit Credit Prepaid rent $5,700 Prepaid advertising 630 Supplies inventory 3,000 Performance obligation liability $600 Refinishing fees revenue 2,500 Using the following information, prepare the adjusting entries necessary on July 31 (a) using the financial statement effects template 1. On July 1, the firm paid one year’s advance rent of $5,700...
Adjusting Entries Judy Rock began Rock Refinishing Service on July 1. Selected accounts are shown below as of July 31, before any adjusting entries have been made: Debit Credit Prepaid rent $6,000 Prepaid advertising 930 Supplies 3.000 Unearned refinishing fees 800 Refinishing fees revenue 2,500 Using the following information, record in a general Journal the necessary adjusting entries on July 31 a. On July 1, the firm paid one year's rent of $6,000. b. On July 1, 5930 was paid...
Transaction Entries, Posting, Trial Balance, and Adjusting Entries Zhou Karate School began business on June 1. Transactions for June are as follows: $10,000 $4,750 Po Zhou contributed his personal funds in exchange for common stock to begin the business. 2 Purchased equipment for a total of Paid cash of $950, with the balance due in 30 days. 3 Paid 6 months' rent. 4 Paid one-year premium on liability insurance. 5 Paid June newspaper advertising. 6 Billed participants for karate lessons...
Post the balance from the unadjusted trial balance and the
adjusting entries in to the T-accounts.
[The following information applies to the questions
displayed below.]
Wells Technical Institute (WTI), a school owned by Tristana Wells,
provides training to individuals who pay tuition directly to the
school. WTI also offers training to groups in off-site locations.
Its unadjusted trial balance as of December 31, 2018, follows. WTI
initially records prepaid expenses and unearned revenues in balance
sheet accounts. Descriptions of items...
Instructions On December 31, the following data were accumulated for preparing the adjusting entries for Bellingham Realty • The supplies account balance on December 31 is $1,375. The supplies on hand on December 31 are $280. • The unearned rent account balance on December 31 is 89,000 representing the receipt of an advance payment on December 1 of four months' rent from tenants. . Wages accrued but not paid at December 31 are $3.220. • Fees earned but unbilled at...
On December 31, the following data were accumulated for preparing the adjusting entries for Bellingham Realty: The supplies account balance on December 31 is $5,225. The supplies on hand on December 31 are $1,275. • The unearned rent account balance on December 31 is $5,700 representing the receipt of an advance payment on December 1 of four months’ rent from tenants. • Wages accrued but not paid at December 31 are $2,485. • Fees earned but unbilled at December 31...