a. During the month, the Supplies (asset) account was debited $3,600 for supplies purchased. The cost of supplies used during the month was $2,800. Record the adjustment to properly reflect the amount of supplies used and supplies still on hand at the end of the month
b. An insurance premium of $960 was paid for the coming year. Prepaid Insurance was debited.
c. Wages of $6,400 were paid for the current month.
d. Interest revenue of $500 was received for the current month.
e. Accrued $1,400 of commissions payable to sales staff for the current month.
f. Accrued $260 of interest expense at the end of the month.
g. Received $4,200 on accounts receivable accrued at the end of the prior month.
h. Purchased $1,200 of merchandise inventory from a supplier on account
i. Paid $320 of interest expense for the month.
j. Accrued $1,600 of wages at the end of the current month.
k. Paid $1,000 of accounts payable.
Journal entries | |||
Date | Accounts titles and explanation | Debit | Credit |
a | Supplies expense | $ 2,800 | |
Supplies | $ 2,800 | ||
(To record supply used during the period.) | |||
b | Prepaid insurance | $ 960 | |
Cash | $ 960 | ||
(To record payment made in advance for prepaid.) | |||
c | Wages expense | $ 6,400 | |
Cash | $ 6,400 | ||
(To record wages expense paid.) | |||
d | Cash | $ 500 | |
Interest revenue | $ 500 | ||
(To record cash received for interest) | |||
e | Sales commissions expenses | $ 1,400 | |
Sales commissions payable | $ 1,400 | ||
(To record accrued sales commissions) | |||
f | Interest expense | $ 260 | |
Interest payable | $ 260 | ||
(To record accrued interest expense.) | |||
g | Cash | $ 4,200 | |
Account receivable | $ 4,200 | ||
(To record cash collected from account receivable.) | |||
h | Merchandise Inventory | $ 1,200 | |
Account payable | $ 1,200 | ||
(To record purchase of inventory on account.) | |||
i | Interest expense | $ 320 | |
Cash | $ 320 | ||
(To record interest expense paid.) | |||
j | Wages expense | $ 1,600 | |
Wages payable | $ 1,600 | ||
(To record wages expense this paid in future.) | |||
k | Account payable | $ 1,000 | |
Cash | $ 1,000 | ||
(To record payment made to account payable.) |
a. During the month, the Supplies (asset) account was debited $3,600 for supplies purchased. The cost...
Exercise 4-9 (Static) Record transactions and adjustments LO 2, 6,7 ook Record the effect, If any of the transaction entry or adjusting entry on the appropriate balance sheet category or on the income statement by entering the account name and amount and indicating whether it is an addition (+) or subtraction (-). Column headings reflect the expanded balance sheet equation; items that affect net income should not be shown as affecting stockholders' equity. The first transaction is provided as an...
Answers in journal entry for event “a” is incorrect. Please correct. Record the effect, if any, of the transaction entry or adjusting entry on the appropriate balance sheet category or on the income statement by entering the account name and amount and indicating whether it is an addition (+) or subtraction (-). Column headings reflect the expanded balance sheet equation; items that affect net income should not be shown as affecting stockholders' equity. The first transaction is provided as an...
Record the effect, if any, of the transaction entry or adjusting entry on the appropriate balance sheet category or on the income statement by entering the account name and amount and indicating whether it is an addition (+) or subtraction (–). Column headings reflect the expanded balance sheet equation; items that affect net income should not be shown as affecting stockholders' equity. The first transaction is provided as an illustration. During the month, the Supplies (asset) account was debited $1,800...
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