Required
Each of the following independent events requires a year-end adjusting entry. Record each event and the related adjusting entry in general journal format. The first event is recorded as an example. Assume a December 31 closing date.

a. Paid $48,000 cash in advance on July 1 for a one-year lease on office space.
b. Purchased $5,000 of supplies on account on April 15. At year-end, $500 of supplies remained on hand.
c. Received a $9,600 cash advance on July 1 for a contract to provide services for one year beginning immediately.
d. Paid $5,400 cash in advance on February 1 for a one-year insurance policy.

Transcribed Image Text:

Event No. Date July 1 Prepaid Rent Dec. 3 Rent Expense (48,000 x 6/12) Account Titles Debit 48,000 24,000 Credit Cash 48,000 Prepaid Rent 24,000