Question

1. Fees earned aa of December 31,2018 and not yet recorded, amount to $51,500

II. Post the above transactions to the Ledger accounts (T accounts) (20%) III. Adjusting Entries (30%) and posting on T accounts (14%) Given the following information, and related to the previous entries above, prepare the adjusting entries and post to Ledger accounts. 1. Fees earned as of December 31, 2018 and not yet recorded, amount to $51,500. 2. Records show that $12,500 of cash receipts originally recorded as Unearned Revenue had been earned as of December 31. 3. Make the necessary adjustments on the prepaid rent. 4. Fuel consumed during December amounts to $125. 5. The company uses de straight-line method of depreciation. The truck has a useful life of 8 years. Cash Accounts Receivable Truck Notes Payable Accounts Payable Dividends Payable Unearned Revenue Retained Earnings Dividends Service Revenue Maintenance Expense Fuel Expense Salaries Expense CapitalStock Rent Expense

Answer 1

Here is the answer to the first transaction as asked

1. Fees earned as of December 31,2018 and not yet recorded, amount to $51,500

Journal would be

Account	Debit	Credit
Accounts Receivable	$   51,500
Service Revenue		$   51,500

The impact of this entry on T accounts would be as follows

Accounts Receivable
	Dr		Cr
Revenue	$         51,500
Revenue
	Dr		Cr
		Accounts Receivable	$ 51,500