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Arnez Company's annual accounting period ends on December 3 1 . The following information concerns the adjusting entrles to be recorded as of that date.

Arnez Company's annual accounting period ends on December 31. The following information concerns the adjusting entrles to be recorded as of that date.
a. The Office Supplies account started the year with a $3,800 balance. During the year, the company purchased supplies for $15,694, which was added to the Office Supplies account. The Inventory of supplies avallable at December 31 totaled $3,344.
b. The Prepaid Insurance account had a $26,520 debit balance at December 31 before adjusting for the costs of any explred coverage for the year. An analysis of prepaid insurance shows that $19,134 of unexpired insurance coverage remains at year-end.
c. The company has 15 employees, who earn a total of $1,600 in salarles each working day. They are pald each Monday for thelr work In the five-day workweek ending on the prevlous Friday. Assume that December 31 is a Tuesday, and all 15 employees worked the first two days of that week. Because New Year's Day is a pald holiday, they will be pald salarles for five full days on Monday, January 6 of next year.
d. The company purchased a bullding at the beginning of this year. It cost $980,000 and is expected to have a $45,000 salvage value at the end of its predicted 35-year life. Annual depreciation is $26,714.
e. Since the company is not large enough to occupy the entire bullding it owns, It rented space to a tenant at $3,300 per month, starting on November 1. The rent was pald on time on November 1, and the amount recelved was credited to Rent Revenue. However, the tenant has not pald the December rent. The company has worked out an agreement with the tenant, who has promised to pay both December and January rent in full on January 31.
f. On November 1, the company rented space to another tenant for $2,990 per month. The tenant pald five months' rent in advance on that date. The payment was recorded with a credit to the Unearned Revenue account. Assume no other adjusting entrles are made during the year.
Required:
Use the Information to prepare adjusting entries as of December 31
Prepare journal entrles to record the first subsequent cash transaction in January of the next year for parts c and e.
Complete this question by entering your answers in the tabs below.
Required 1
Use the information to prepare adjusting entries as of December 31.
Journal entry worksheet
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The Office Supplies account started the year with a $3,800 balance. During the year, the company purchased supplies for $15,694, which was added to the Office Supplies account. The inventory of supplies available at December 31 totaled $3,344.
Note: Enter debits before credits.
\table[[Transaction,General Journal,Debit,Credit],[a,,,],[,-,2,+2],[,(a),+,2],[7,,,D],[,,50,-10202
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