Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Adjusting Journal Entries Brian's Music Shop is a small company that sells musical instruments and accessories, it also rents musical instruments as well as providing

image text in transcribedimage text in transcribed Adjusting Journal Entries Brian's Music Shop is a small company that sells musical instruments and accessories, it also rents musical instruments as well as providing cleaning and repair services. In your responses, do not use dollar signs and round all answers to the nearest dollar. Use the Chart of Accounts below for account names. Cash Accounts Receivable Prepaid Rent Inventory Supplies Equipment Accumulated Depreciation, Equipment Accounts Payable Notes Payable Wages Payable Interest Payable Unearned Service Revenue Brian's Music Shop Chart of Accounts Common Stock - Par Additional Paid in Capital Common Retained Earnings Dividends Declared Service Revenue Wages Expense Rent Expense Depreciation Expense - Equipment Utilities Expense Advertising Expense Supplies Expense Interest Expense At December 31, the following information was available. Make any necessary adjusting entries in spaces provided. Round all calculations to the nearest dollar. a) The machines were purchased for $29,995 on 12/1 and have an estimated useful life of 5 years with zero salvage value, The company uses straight line depreciation. Make the depreciation adjustment for the machines for the month of December Debit Credit Amount Amount b.) A physical count of supplies at month end shows $675 worth of supplies on hand. Supplies had a beginning balance of $615. The company had purchased $701 worth of supplies during the month. Debit Credit Amount Amount The four year note payable for $84,000 had an APR of 9% and was purch note Canvas XC Twages raysune Interest Payable Unearned Service Revenue Provertising expense Supplies Expense Interest Expense At December 31, the following information was available. Make any necessary adjusting entries in spaces provided. Round all calculations to the nearest dollar, a) The machines were purchased for $29,995 on 12/1 and have an estimated useful life of 5 years with zero salvage value. The company uses straight line depreciation. Make the depreciation adjustment for the machines for the month of December Debit Credit Amount Amount b) A physical count of supplies at month end shows $675 worth of supplies on hand. Supplies had a beginning balance of $615. The company had purchased $701 worth of supplies during the month. Debit Credit Amount Amount c) The four-year note payable for $84,000 had an APR of 9% and was purchased on 12/1. Make the adjustment relating to the note Debit Amount Credit Amount d) $6,500 was prepaid for rent on 12/1 for the months of December through April. Make the adjustment for Prepaid Reot, Debit Credit Amount Amount Brian's Music Shop accrues wages in the amount of $723 per day. Payroll is distributed every two weeks. Brian's last paid its employees on 12/24 Make the necessary payroll adjustment Debit Amount Credit Amount (As of 12/31 Brian's Music Shop still owed $815 of services to the client from the transaction on 12/6, who had prepaid $5,100 for services Debit Credit Amount Amount The amount mcseded for services provided on account on 12/15 should have been $72,000 instead of $7,200. Correct the wn using sely one journal entry. Deti Amount Credit A

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Accounting Tools for Business Decision Making

Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso, Ibrahim M. Aly

4th Canadian edition

1118856996, 978-1118856994

More Books

Students also viewed these Accounting questions