Adjusting Entries for Prepaid Insurance

The balance in the prepaid insurance account, before adjustment at the end of the year, is $16,540.

Journalize the adjusting entry required under each of the following alternatives for determining the amount of the adjustment:

If an amount box does not require an entry, leave it blank.

a. The amount of insurance expired during the year is $12,570.

b. The amount of unexpired insurance applicable to future periods is $3,970.

Adjusting Entries for Accrued Salaries

Perimeter Realty Co. pays weekly salaries of $32,500 on Friday for a five-day workweek ending on that day.

a. Journalize the necessary adjusting entry at the end of the accounting period assuming that the period ends on Tuesday. If an amount box does not require an entry, leave it blank.

b. Journalize the necessary adjusting entry at the end of the accounting period assuming that the period ends on Wednesday. If an amount box does not require an entry, leave it blank.

Adjustment for Accrued Expense

Joos Realty Co. pays weekly salaries of $17,000 on Friday for a five-day workweek ending on that day.

Journalize the necessary adjusting entry assuming that the accounting period ends on Tuesday. If an amount box does not require an entry, leave it blank.

	Salaries Expense
	Salaries Payable