Pastina Company sells various types of pasta to grocery chains as private label brands. The company's reporting
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Question:
Pastina Company sells various types of pasta to grocery chains as private label brands. The company\'s reporting yearend is December The unadjusted trial balance as of December appears below.
Account Title Debits Credits
Cash
Accounts receivable
Supplies
Inventory
Notes receivable
Interest receivable
Prepaid rent
Prepaid insurance
Office equipment
Accumulated depreciation
Accounts payable
Salaries payable
Notes payable
Interest payable
Deferred sales revenue
Common stock
Retained earnings
Dividends
Sales revenue
Interest revenue
Cost of goods sold
Salaries expense
Rent expense
Depreciation expense
Interest expense
Supplies expense
Insurance expense
Advertising expense
Totals
Information necessary to prepare the yearend adjusting entries appears below.
Depreciation on the office equipment for the year is $
Employee salaries are paid twice a month, on the nd for salaries earned from the st through the th and on the th of the following month for salaries earned from the th through the end of the month. Salaries earned from December through December were $
On October Pastina borrowed $ from a local bank and signed a note. The note requires interest to be paid annually on September at The principal is due in years.
On March the company lent a supplier $ and a note was signed requiring principal and interest at to be paid on February
On April the company paid an insurance company $ for a oneyear fire insurance policy. The entire $ was debited to prepaid insurance.
$ of supplies remained on hand at December
A customer paid Pastina $ in December for pounds of spaghetti to be delivered in January Pastina credited deferred sales revenue.
On December $ rent was paid to the owner of the building. The payment represented rent for December and January at $ per month. The entire amount was debited to prepaid rent.
Required:
Prepare the necessary December adjusting journal entries.
Note: If no entry is required for a transactionevent select No journal entry required\" in the first account field. Do not round intermediate calculations. Round your final answers to nearest whole dollar amount.
Related Book For
College Algebra With Modeling And Visualization
ISBN: 9780134418049
6th Edition
Authors: Gary Rockswold
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