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Exercise 2-17 Prepaid vs. unearned, the entity concept LO 2-4, 2-5 On October 1, 2018, Stokes Company paid Eastport Rentals $4,800 for a 12-month lease

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Exercise 2-17 Prepaid vs. unearned, the entity concept LO 2-4, 2-5 On October 1, 2018, Stokes Company paid Eastport Rentals $4,800 for a 12-month lease on warehouse space. Required a. Record the deferral and the related December 31, 2018, adjustment for Stokes Company in the accounting equation. b. Record the deferral and the related December 31, 2018, adjustment for Eastport Rentals in the accounting equation. Complete this question by entering your answers in the tabs below. Required A Required B Record the deferral and the related December 31, 2018, adjustment for Stokes Company in the accounting equation. (Do not round Intermediate calculations. Enter any decreases to account balances with a minus sign.) STOKES COMPANY Accounting Equation - 2018 Assets Liabilities + Stockholders' Equity Common Prepaid Retained Event Cash Rent Stock Earnings Paid 12 months rent Adjustment for 3 months used Required > ++ Exercise 2-17 Prepaid vs. unearned, the entity concept LO 2-4, 2-5 On October 1, 2018, Stokes Company paid Eastport Rentals $4,800 for a 12-month lease on warehouse space. Required a. Record the deferral and the related December 31, 2018, adjustment for Stokes Company in the accounting equation. b. Record the deferral and the related December 31, 2018, adjustment for Eastport Rentals in the accounting equation. Complete this question by entering your answers in the tabs below. Required A Requires Record the deferral and the related December 31, 2018, adjustment for Eastport Rentals in the accounting equation. (Do not round Intermediate calculations. Enter any decreases to account balances with a minus sign.) EASTPORT RENTALS Accounting Equation - 2018 Assets Liabilities Unearned Cash Revenue Stockholders' Equity Common Retained Stock Earnings Event Received 12 months rent Earned 3 months rent

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