Adjustments 21. There was $210 of supplies on hand at the end of the year.

22. Recognize expired rent for the office for the year. (Hint: need to determine the cost of one month of rent is based on information you have)

23. Recognize the bad debt expense for the year using the allowance method. JDT Corporation estimates that 1% of current year total sales and services on account will not be collected.

24. Recognize depreciation expense on the equipment and building. The corporation uses straight-line depreciation for all assets. (Record as two transactions one for all equipment and one for the building.)

a. The new equipment purchased January 1st has an estimated life of 7 years and a salvage value of $9,000. b. The existing equipment was purchased on January 1, 2019, for $12,000, has a 5- year useful life and a $2,000 residual value. The total prior years depreciation is $6,000. c. The building was purchased on January 1, 2018, for $115,000, has a 40-year useful life and a $10,000 residual value. The total prior years depreciation is $10,500.

25. Record the accrued interest on the note payable for the bank loan at December 31, 2022. (Hint: you are creating a liability because it is accrued so NOT YET paid

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Also to check to see if you are correct it should balance.

\begin{tabular}{|l|c|c|c|} \hline \multicolumn{5}{|c|}{ General Journal - Adjusting Entries } \\ \hline & Account Titles & Debit & Credit \\ \hline 12/31 & & & \\ \hline & & & \\ \hline \hline 12/31 & & & \\ \hline & & & \\ \hline \hline 12/31 & & & \\ \hline & & & \\ \hline \hline 12/31 & & & \\ \hline & & & \\ \hline \hline 12/31 & & & \\ \hline & & & \\ \hline \hline 12/31 & & & \\ \hline & & & \\ \hline \end{tabular} \begin{tabular}{|l|c|c|} \hline \multicolumn{3}{|c|}{ Unadjusted Trial Balance } \\ \hline \multicolumn{1}{|c|}{ Account Titles } & Debit & Credit \\ \hline Cash & 93,675 & \\ \hline Accounts Receivable & 16,750 & \\ \hline Inventory & 5,600 & \\ \hline Allowance for Doubtful Accounts & & 2,250 \\ \hline Supplies & 775 & \\ \hline Prepaid Rent & 12,000 & \\ \hline Building & 115,000 & \\ \hline Accum Depr - Building & & 10,500 \\ \hline Equipment & 77,000 & \\ \hline Accum Depr - Equipment & & 6,000 \\ \hline Mortgage Payable & & 50,122 \\ \hline Note Payable & & 40,000 \\ \hline Retained Earnings & & 156,403 \\ \hline Common Stock & & 54,000 \\ \hline PIC in excess PV - C.Stk & & 3,600 \\ \hline Sales Revenue & & 90,000 \\ \hline Service Revenue & & 99,000 \\ \hline Gain on Sale & 62,800 & 4,500 \\ \hline Cash Dividends & 54,000 & \\ \hline Cost of Goods Sold & 516,375 & \\ \hline Operating Expense & & \\ \hline Salaries Expense & & \\ \hline & & \\ \hline \end{tabular} \begin{tabular}{|c|c|c|} \hline \multicolumn{2}{|c|}{ Adjusted Trial Balance } & \multirow[b]{2}{*}{ Credit } \\ \hline Account Titles & Debit & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline Total & 531,260 & \\ \hline \end{tabular}