Exercises of chapter 3 BE 230 Prepare adjusting entries for the following transactions Omit explanations 1. Depreciation on equipment is 800 for the accounting period 2. There was no beginning balance of supplies and purchased 700 of office supplies during the period. At the end of the period 100 of supplies were on hand 3. Prepaid rent had a 1,000 normal balance prior to adjustment. By year end 800 was unexpired. BE 231 On June 1, during its first month of operations, Souffl Masters purchased supplies for $3,500 and debited the supplies account for that amount. At June 30, an inventory of supplies showed $1,000 of supplies on hand. What adjusting journal entry should be made for June? BE 232 On January 1, Bit & Bridle, CPAs received an $18,000 cash retainer for services to be rendered ratably over the next 3 months. The full amount was credited to the liability account Unearned Service Revenue. Assuming that the revenue is earned equally over the 3-month period, what adjusting journal entry should be made at January 31