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AcctngWorks Adjustingentries

Preparation of adjusting entries (Accounting 101)

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yanna
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19 views

AcctngWorks Adjustingentries

Preparation of adjusting entries (Accounting 101)

Uploaded by

yanna
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLSX, PDF, TXT or read online on Scribd
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Adjusting Entries III

1 Unearned Service Revenue 42,000.00


Service Revenue 42,000.00
To recognize earned revenue

2 Supplies Expense 6,920.00


Supplies 6,920.00
To recognize expense on supplies

3 Insurance Expense 3,500.00


Prepaid Insurance 3,500.00
To recognize accrued insurance

4 Interest Receivable 15,750.00


Interest Income 15,750.00
To recognize interest from note

5 Interest Expense 39,936.00


Interest Payable 39,936.00
To recognize accrued interest payable

6 Rent Receivables 34,000.00


Rent Income 34,000.00
To recognize rent income

7 Unearned Subscriptions Revenue 173,162.50


Subscriptions Revenue 173,162.50
To recognize accrued revenue

computation:
87,000 x 6/12 43,500.00
95700 x 11/24 43,862.50
85800 x 8/8 85,800.00

8 Depreciation Expense 13,500.00


Accumulated Depreciation-Equipment 13,500.00
To recognize depreciation expense

9 Depreciation Expense 528,354.17


Accumulated Depreciation-Trucks 528,354.17
To recognize depreciation of trucks]

computation
first 2 trucks
salvage value = 1,850,000 x .08 148,000.00
(1,850,000-148,000) x (8/96) x 2 283,666.67

second 2 trucks
price (1,850,000 x 1.15) 2,127,500.00
salvage value = 2,127,500 x .08 170,200.00
Deprec (2127500-170,200)*(6/96)*2 244,687.50

10 Depreciation Expense 11,250.00


Accumulated Depreciation-Furnitures and Fixtures 11,250.00
To recognize depreciation expense
Adjusting Entry Dec, 2019

1 Utilities Expense 4,950.00


Utilities Payable 4,950.00
To recognize accrued expense

2 Salaries Expense 22,720.00


Salaries Payable 22,720.00
To recognize salaries expense

3 Interest Receivable 5,640.00


Interest Income 5,640.00
To recognize accrued interest income

4 Interest Expense 4,389.00


Interest Payable 4,389.00
To recognize accrued interest expense

5 Rent Expense 7,000.00


Prepaid Rent 7,000.00
To record accrued rent expense

6 Prepaid Insurance 9,000.00


Insurance Expense 9,000.00
To record accrued insurance expense

7 Unearned Service Revenue 192,000.00


Service Revenue 192,000.00
To recognize revenue

8 Doubtful Accounts Expense 17,400.00


Allowance for Doubtful Account 17,400.00
To record allowance for receivable

9 Depreciation Expense 15,000.00


Accumulated Depreciation-Equipment 15,000.00
To record depreciation for equipment

10 Depreciation Expense 5,500.00


Accumulated Depreciation-Furniture and Fixtures 5,500.00
To recognize depreciation for F&F

1. Carrying amount of equipment 110,000.00


125,000-15,000

2. Carrying value of furnitures and fixtures 30,500.00


36,000 - 5,500

3. Net realizable value 417,600.00


435,000 - 17,400

4. Prepaid rent 14,000.00


21,000 - 7, 000

5. Unearned Service Revenue 48,000.00


240,000 - 192,000

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