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At Morrison Manufacturing Corporation, the expense method is used for recording prepayments and the revenue method for recording unearned revenues. During July of the current
At Morrison Manufacturing Corporation, the expense method is used for recording prepayments and the revenue method for recording unearned revenues. During July of the current year, the following tranactions occurred. Jul 1 Jul 2 Jul 12 Received $11,300 for services to be performed in the future. Paid $5,100 for casualty insurance protection for the year. Paid $6,400 for supplies. On July 31, it is determined that $3,900 of the service revenue has been earned and that there is $1,540 of supplies on hand. Instructions NO COMMAS, NO $ a. Journalize the July transactions. Account names Debit Credit Jul 1 Jul 2 Jul 12 b. Journalize the adjusting entries at July 31 in the order given above. Jul-31 Jul-31 Jul-31 Should the above entries be reversed if the company uses reversing entries? Yes or no only
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