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Daily Driver, Incorporated (DDI), operates a driving service through a popular ride-sharing app. DDI has prepared a list of unadjusted account balances at its
Daily Driver, Incorporated (DDI), operates a driving service through a popular ride-sharing app. DDI has prepared a list of unadjusted account balances at its December 31 year-end. You have reviewed the balances and made notes shown in the right column. DAILY DRIVER, INCORPORATED Unadjusted Trial Balance At December 31 Credit Account Name Debit Cash $ 1,700 Supplies 190 Prepaid Insurance 1,900 Equipment Accumulated Depreciation Salaries and Wages Payable 68,000 $ 4,080 e Income Tax Payable Common Stock Retained Earnings 39,000 6,130 Service Revenue 36,370 Salaries and Wages Expense 11,600 Supplies Expense 240 Depreciation Expense Insurance Expense Fuel Expense 1,950 Income Tax Expense: 0 Totals $ 85,580 $ 85,580 Notes This equals the bank balance. Only windshield washer fluid that cost $30 remains at December 31. This amount was paid January 2 for car insurance from January 1 through December 31 of this year. This is the car's purchase price. The car will be two years old at the end of December.. DDI has not yet paid or recorded $1,080 of salary for December. DDI paid all its taxes from last year. DDI issued 7,800 shares at $5 each. This is the total accumulated earnings to January 1 of this year. All revenue is received in cash when the service is given. DDI's only employee receives a salary of $1,080 for December. This is the cost of windshield washer fluid used to November 30. The car's benefits are being used up about $4,080 per year. No car insurance has been paid for next year. All fuel is paid for in cash. DDI's tax rate is 20% of income before tax. View transaction list Journal entry worksheet 1 2 3 4 5 Record the adjusting entry for supplies if only windshield washer fluid that cost $30 remains at December 31. Note: Enter debits before credits. Transaction General Journal Debit Credit a Record entry Clear entry View general journal www wwww Required information View transaction list Journal entry worksheet < 2 3 4 5 Record the adjusting entry if $1,900 was paid on January 2 for car insurance from January 1 through December 31 of this year. Note: Enter debits before credits. Transaction b General Journal Debit Credit Record entry Clear entry View general journal View transaction list Journal entry worksheet < 2 3 4 5 Record the adjusting entry if the car's benefits are being used up about $4,080 per year. Note: Enter debits before credits. Transaction C General Journal Debit Credit Clear entry Record entry View general journal Prev 1 2 3 Sm 6 www. of 10 View transaction list Journal entry worksheet < 1 2 3 4 5 Record the adjusting entry if DDI has not yet paid or recorded $1,080 of salary for December. Note: Enter debits before credits. Transaction d General Journal Debit Credit Record entry Clear entry View general journal Prey 1 2 Sm 3 LO of 10 View transaction list Journal entry worksheet < 1 2 3 4 5 Record the adjusting entry for income tax if DDI's tax rate is 20% of income before tax. Note: Enter debits before credits. Transaction e General Journal Debit Credit Record entry Clear entry View general journal Prev 1 2 3 6 of 10
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