Answer the following questions about prepaid expenses:

a.

On DecemberDecember 1, Air and SeaAir and Sea Tree Service prepaid $ 7 comma 800$7,800 for six months' rent. Give the adjusting entry to record rent expense at December 31.December 31. Include the date of the entry and an explanation. Then post all amounts to the two accounts involved, and show their balances at December 31.December 31. Air and SeaAir and Sea adjusts the accounts only at DecemberDecember 31, the end of its fiscal year.

b.

On DecemberDecember 1, Air and SeaAir and Sea Tree Service paid $ 1 comma 050$1,050 for supplies. At DecemberDecember 31, Air and SeaAir and Sea has $ 600$600 of supplies on hand. Make the required journal entry at DecemberDecember 31. Then post all amounts to the accounts and show their balances at DecemberDecember 31. Assume no beginning balance in supplies.

a. On

DecemberDecember

1,

Air and SeaAir and Sea

Tree Service prepaid

$ 7 comma 800$7,800

for six months' rent. Give the adjusting entry to record rent expense at

December 31.December 31.

Include the date of the entry and an explanation. Then post all amounts to the two accounts involved, and show their balances at

December 31.December 31.

Air and SeaAir and Sea

adjusts the accounts only at

DecemberDecember

31, the end of its fiscal year.Prepare the adjusting journal entry to record the rent expense at

DecemberDecember

31. (Record debits first, then credits. Select the explanation on the last line of the journal entry table.)

Journal Entry
Date	Accounts and Explanations	Debit	Credit
Dec 31

Post the

DecemberDecember

1 and 31 transactions to the following T-accounts. Be sure to calculate the ending balance of the accounts.

Prepaid Rent

Rent Expense

Dec

Dec

Dec

Dec

Bal

Bal

b. On

DecemberDecember

1,

Air and SeaAir and Sea

Tree Service paid

$ 1 comma 050$1,050

for supplies. At

DecemberDecember

31,

Air and SeaAir and Sea

has

$ 600$600

of supplies on hand. Make the required journal entry at

DecemberDecember

31. Then post all amounts to the accounts and show their balances at

DecemberDecember

31. Assume no beginning balance in supplies.Prepare the adjusting journal entry to record the supplies expense at

DecemberDecember

31.

Journal Entry
Date	Accounts and Explanations	Debit	Credit
Dec 31

Post the

DecemberDecember

1 and 31 transactions to the following T-accounts. Be sure to calculate the ending balance of the accounts.

Supplies

Supplies Expense

Dec

Dec

Dec

Dec

Bal

Bal