Answered step by step
Verified Expert Solution
Question
1 Approved Answer
a. On April 1, the company hired an attorney for a flat monthly fee of $3,500. Payment for April legal services was made by the
a. On April 1, the company hired an attorney for a flat monthly fee of $3,500. Payment for April legal services was made by the company on May 12. b. As of April 30, $3,000 of interest expense has accrued on a note payable. The full interest payment of $9,000 on the note is due on May 20. c. Total weekly salaries expense for all employees is $10,000. This amount is paid at the end of the day on Friday of each five-day workweek. April 30 falls on a Tuesday, which means that the employees had worked two days since the last payday. The next payday is May 3. The above three separate situations require adjusting journal entries to prepare financial statements as of April 30. For each situation, present both the April 30 adjusting entry and the subsequent entry during May to record payment of the accrued expenses. On April 1, the company hired an attorney for a flat monthly fee of $3,500. Payment for April legal services was made by the company on May 12. Prepare the required adjusting entry, if any. Note: Enter debits before credits. Date General Journal Debit Credit Apr 30 Record the payment of legal fees. Note: Enter debits before credits. Date General Journal Debit Credit May 12 As of April 30, $3,000 of interest expenses accrued on a note payable. The full interest payment of $9,000 on the note is due on May 20. Prepare the required adjusting entry, if any. Note: Enter debits before credits. Date General Journal Debit Credit Apr 30 Record the payment of interest. Note: Enter debits before credits Date General Journal Debit Credit May 20 Total weekly salaries expense for all employees is $10,000. This amount is paid at the end of the day on Friday of each five-day workweek. April 30 falls on Tuesday, which means that the employees had worked two days since the last payday. The next payday is May 3. Prepare the required adjusting entry, if Note: Enter debits before credits. Date General Journal Debit Credit Apr 30 Record the payment of salaries. Note: Enter debits before credits. Date General Journal Debit Credit May 03
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