Question

need help with D and E

Adjusting Entries Case 1 Now it is time to make some adjusting journal entries. Based on what you learned in the text using the Sample Company, you are to make the following changes to the Case 1 company you modified in Chapter 8: 1 Open and review your previously customized report named Trial Balance 1/31/18 2 Record the appropriate adjusting journal entries on 1/31/18 based on the following: a. An inventory of supplies reveals that only $75 of supplies remain as of 1/31/18 b. $800 of prepaid expenses expired (representing prepaid rent) in the month of January c. A bill for S150 was received and recorded in the next month for repairs and maintenance consumed in the current month. Create a new liability account as you did earlier in the chapter. d. Consulting services recorded on sales receipt #1004 for $2,500.00 to Surf Rider Foundation were never performed even though cash had been received. Thus, the revenue had not been earned. Create a new liability account as you did earlier in the chapter. Consulting services of $8,500 were performed on the last day of the month for a new customer: Blazing Boards but not invoiced to the customer or recorded into the accounting records until a few days into the next month. Create a new asset account as you did earlier in the chapter. Depreciation Expense of 5575 ($75 and $500 for Equipment and Furniture & Fixtures, respectively) needed to be recorded for the month. Before recording this journal entry, edit the "Depreciation" ccount so that the new name is "Depreciation Expense." ge the account title for Furniture & Fixtures accumulated from "Depreciation to "Accumulated Depreciation" depreciation from "Deprec as you did earlier in the chapter. Open, print, and export to Excel your prey med Trial Balance 1/31/18, which should now Excel your previously customized report which should now reflect your adjusting 3 ies our previously customized report

Answer 1

Credit Adjusting entry Account Title Consulting Service fees Unearned consulting service fees Debit $2,500 $2.500 $8.500 Accounts receivable Consulting Service fees $8.500