Judy Rock began Rock Refinishing Service on July 1. Selected accounts are shown below as of July
Question:
Judy Rock began Rock Refinishing Service on July 1. Selected accounts are shown below as of July 31 , before any adjusting entries have been made:
Using the following information, record in a general journal the necessary adjusting entries on July 31 :
a. On July 1 , the firm paid one year's rent of \(\$ 6,000\).
b. On July 1, \(\$ 930\) was paid to a local newspaper for an advertisement to run daily for the months of July, August, and September.
c. Supplies on hand at July 31 total \(\$ 1,100\).
d. At July 31 , refinishing services of \(\$ 975\) have been performed but not yet billed to customers. The firm uses the account Fees Receivable to reflect amounts due but not yet billed.
e. One customer paid \(\$ 1,100\) in advance for a refinishing project. At July 31 , the project is one-half complete.
Step by Step Answer:
1Prepaid Rent On July 1 the firm paid one years rent of 6000 Since the expense is incu...View the full answer
