Prepare the following adjustments in good journal entry format. (a) The beginning balance of the Supplies account
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(a) The beginning balance of the Supplies account was $315. During the month the company bought additional supplies in the amount of $830. At the end of the month a physical inventory showed $568 of unused supplies.
(b) The company has a Note Payable in the amount of $10,000 at an APR of 12%. The note will be paid at the end of 6 months. The interest expense for the month needs to be recorded.
(c) There are two employees at the North Park Store. One is a manager that gets paid on the 15th of every month for his work during the first part of the month and on the 1st of the following month for the second part of the month. His monthly salary is $2,500. The other employee is an administrative assistant who gets a week pay of $450. The last day of the month fell on Thursday.
(d) The unearned revenue account shows a balance of $35,000. According to the manager 60% of that amount has been earned.
(e) At the end of the month $8,400 of services had been performed but not yet billed.
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Related Book For
College Accounting A Contemporary Approach
ISBN: 978-0077639730
3rd edition
Authors: David Haddock, John Price, Michael Farina
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