Question

Desoto Company must make three adjusting entries on December 31, 2019. a. Supplies used, $10,100 (supplies totaling $16,200 were purchased on December 1, 2019, and debited to the Supplies account). b. Expired insurance, $7,300; on December 1, 2019, the firm paid $43,800 for six months' insurance coverage in advance and debited Prepaid Insurance for this amount. c. Depreciation expense for equipment, $4,900 Required: Prepare the journal entries for these adjustments and post the entries to the general ledger accounts Complete this question by entering your answers in the tabs below General JournalLedger Prepare the journal entries for the above adjustments

Answer 1

Solution General Journal Debit Credit Date Dec.31, 2019 Supplies Expense Supplies 10,100 10,100 General Journal Debit Credit Date Dec 31, 2019 Insurance Expense Prepaid Insurance 7,300 7,300 he adjusting entry for depreciation re General Journal Debit Credit Date Dec 31, 2019 Depreciation Expense-Equipment 4,900 Accumulated Depreciation-Equipment 4,900

Post the entries to the general ledger accounts Supplies Account No. 121 Prepaid Insurance Account No. 131 Debit Credit Balance Debit Credit Balance Date $16,200 $16,200 Dec. 01, 2019 Dec.01,2019 10,100 36,500 Dec. 31,2019 $6,100Dec. 31, 2019 Accumulated Depredation Depreciation Expense Account No. 142 Account No. 517 Equipment -Equipment Date Debit Credit Balance Debit Credit Dec. 31,2019 4,900 4,900 $4,900(S4,900Dec. 31, 2019 Account No. 521 Account No. 523 Debit Debit Credit Balance Credit Date Dec. 31, 2019 7,300 7,300 Dec. 31,2019