Accounting Cycle Monopoly:record each as an adjusting entries transactions.

Depreciation expense / Accumulated depreciation. Interest expense / Interest payable. Prepaid insurance.

Week Transaction

1Equipment Water Works Utility $120

Purchased house for Ventnor $150 and paid $52 for insurance

2Purchased house for Tennessee $100 and paid $52 for insurance

3Purchased house for North Carolina $200 and paid $52 for insurance

Equipment B&O Railroad $160

4Collected $650 from passing go the first time (Note Payable - loan from the bank)

Purchased house for Tennessee $100 and paid $52 for insurance

5Purchased house for Ventnor $150 and paid $52 for insurance

6 Purchased house for North Carolina $200 and paid $52 for insurance

10 Purchased house for Illinois for $150 and paid $52 for insurance

Additional Information:

Assume the game time is quarterly.

Loan from the bank is a 6 months, 5%. Interest accrues starting with the week you received the loan. Any interest due on loans will be paid next quarter.

The insurance policy cost $52 for one year (52 weeks).

Depreciation (52 weeks) House /4 yr. life/ Straight-line / Salvage 20% of cost

Railroad Equipment /5 yr. life/ Double declining balance / Salvage 10% of cost

Utility Equipment /7 yr. life/ Double declining balance / Salvage 10% of cost