Question
1.Type of Adjustment Classify the following items as (1)prepaid expense, (2)unearned revenue, (3)accrued revenue, or (4)accrued expense: a. Cash received for use of land next
1.Type of Adjustment
Classify the following items as (1)prepaid expense, (2)unearned revenue, (3)accrued revenue, or (4)accrued expense:
a.Cash received for use of land next month
b.Fees earned but not received in cash
c.Wages owed but not yet paid
d.Supplies on hand
2.Adjustment forAccrued Revenues
At the end of the current year, $16,370 of fees have been earned but have not been billed to clients.
Journalize theadjusting entry(include an explanation) to record the accrued fees.
3.Adjustment forAccrued Expense
Stress Free Realty Co. pays weekly salaries of $16,625 on Friday for a five-day workweek ending on that day.
Journalize the necessaryadjusting entryassuming that the accounting period ends on Wednesday. Round your answer to the nearest whole dollar.
4.Adjustment forUnearned Revenue
On June 1, 2019, Herbal Co. received $25,970 for the rent of land for 12 months.
Journalize theadjusting entryrequired for unearned rent on December 31, 2019. Round your answer to the nearest dollar amount.
Dec. 31
5.Adjustment forPrepaid Expense
The supplies account had a beginning balance of $7,820 and was debited for $4,220 for supplies purchased during the year.
Journalize theadjusting entryrequired at the end of the year, assuming the amount of supplies on hand is $4,940.
6.Adjustment forDepreciation
The estimated amount of depreciation on equipment for the current year is $8,450.
Journalize theadjusting entryto record the depreciation.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started