Determine whether the following transactions would result in an adjusting entry using the dropdown menus provided. Transaction Adjusting Entry? Yes No Yes A car rental company previously purchased $500,000 worth of vehicles for its rental fleet. It records depreciation of $50,000 at the end of the year for the cars. A large accounting firm purchases $400 worth of food for an office party using cash. A coffee shop pays their employees $2,000 for work done throughout the last two months. A grocery store purchased flood insurance a few months ago. The policy cost $500, which the store paid up front in cash. The insurance policy covers the next six months, and the store makes journal entries at the end of each of these months. A cleaning company has supplies worth $20,000 at the beginning of the year. At the end of the year, they have $16,000 left in the supplies account. Yes Yes