Exercise 3-3 Preparing adjusting entries (annual)-prepaid expense toa De. Brica Chan, MD owns EEC Health Clinic, She ber 31, 2017 pear end Accounts for Financial Statements l financial statements and has a b. On November 1, 2017, Dr. Chan prepaid $480 to renew the clinic's e. On December 1, 2017, Dr. Chan pays $3,000 for supplies. At the end of Oetober 1, 2017, Dr Chan prepaid $8,000 for four months of rent The subscription is for one gear supplies had not been used. a. On CHI Required For each transaction, record the initial journal entry and the adj December 31, 2017 Exercise 3-4 Preparing adjusting entries (anna Mean al)- -depreclation Lo4 Beans, a local coffee shop, has the following assets on a On January 1, 2017, purchase equipment costing $15,000 with an estimated life of b. On July 1,2017, purchase furniture (tables and chairs) costing $12,000 with an estimate c. On January 1,2015, Mean Beans had purchased a car costing Beans prepares an mual financial statements ements and has a December 31, 2017 year-end. gears. Mean Beans will scrap the equipment after five gears for $0. life of ten gears. Mean Beans estimates that it can sell the furniture for $2,000 after ten years $25,000 with an estimated life of eight gears. Mean Beans estimates that it can sell the car for $5,000 after eight years Requlred 1. For each transaction, calculate the annual depreciation expense and record the adjusting entry on December 31, 2017 2 For the car, determine the accumulated depreciation as of December 31, 2017 3. For the car, determine the carrying amount as of December 31, 2017 Exercise 3-5 Preparing adjusting entrles (annual)-uneamed revenue LO4 Splish Splash Art is a centre that offers children's music and dance lessons. Splish Splash financial statements and has a December 31, 2017, year-end. prepares anu nua a. On September 1, Splish Spash Art collects $15,000 cash for dance lessons September 1, 2017 to December 31, 2017 b. On October 1, Spilish Splash Art collects $5,000 cash ($2,500 per month) to running fronm performance stage for the full month of December 2017 and January 2018 The lessons run from October 1, 2017 to January 31, 2018 c. On October 1, 2017,Splish Splash Art collects $8,000 cash for four months of m Required For each transaction, record the initial journal entry and the December 31,2017 adjusting entry Exercise 3-6 Preparing adjusting entries (annual)-accrued expenses Jurassic Jumpers Co. (J Co.) offers bungee jumping for those prepares annual financial statements and has a December 31, 2017 ge and 04 extreme activity. J 196