(Adjusting Entries) The ledger of Duggan Rental Agency on March 31 of the current year includes the...

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(Adjusting Entries) The ledger of Duggan Rental Agency on March 31 of the current year includes the following selected accounts before adjusting entries have been prepared.

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An analysis of the accounts shows the following.
1. The equipment depreciates $250 per month.
2. One-third of the unearned rent was earned during the quarter.
3. Interest of $500 is accrued on the notes payable.
4. Supplies on hand total $850.
5. Insurance expires at the rate of $300 per month.
Instructions Prepare the adjusting entries at March 31, assuming that adjusting entries are made quarterly. Additional accounts are: Depreciation Expense; Insurance Expense; Interest Payable; and Supplies Expense.

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Intermediate Accounting

ISBN: 9780471448969

11th Edition

Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield

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