4) Once you are certain there are no more transactions that happened in the period based on the documentation you received, you can start working on the Adjusting Joumal Entries (AJE). Some AJE are caused by events happening in the period as shown above with the example of prepaid rent and prepaid insurance. If the case is about the first period in the life of a company, all AJE are caused by transactions that happened in the period. (5a) The amount must be equal to 70 times the last digit of your student number (office supplies) (5b) The amount must be equal to 20 times the last digt of your student number (office supplies) The chain of documents to consider and the joumal entries with their posting in this example ar as follows: Where the ending balanee satisfies the condition that appears at the bottom of the invoice as a hand written note: (5a) The amount must be equal to 70 times the last digit of your student number (office supplies) (5b) The amount muat be equa 1020 times he last digit of your student number (office supplies) If the term project is not from the first period in the life of a company, then there are other AJEs caused by events or trans actions from past periods. To identify those recurring AJE it is suggested to review the financial statements to identify those that might be needed and then check the details. One of those typical recurring AJE is the depreciation/am ortization of long-lived assets that were acquired in previous periods and have not exhausted their useful life. There are other types of AJE that are different if the case is about the first period or a subsequent period in the life of a company. Some accounts have an opening balance that affects the amount of the AJE. One good example is how to determine the office supplies used (consumed) in the period. For instance, to determine the AJE for office supplies used in August, you will need to start from how much office supplies were aval able at the beginning of August (shown on July 2021 Balance sheet: $45 of office supplies available on July 31st, 2021), then find a related invoice in August that contains the cost of the purchase of office supplies during the month of August (see invoice from August 12t ), and then using the notes on how much is avalable at the end of the period determine how much worth of office supplies were used during the whole m onth of August. The chain of documents to consider and the joumal entries with their posting in this example are as follows