Fill in the t-accounts for each situation and label each transaction as Deferrals/Prepaid or Accrual. Calculate the adjusted balance and use a Bal. post reference to show the ending balance of each account.

Depreciation for the current year includes Equipment, $4,300. The Accumulated Depreciation - Equipment unadjusted balance as of December 31 is $7,700.

Adjustment Type:

AccrualDeferrals/Prepaids

Depreciation Expense - Equipment
Nov. 1Nov. 15Dec. 1Dec. 31			Nov. 1Nov. 15Dec. 1Dec. 31
Nov. 1Nov. 15Dec. 1Dec. 31			Nov. 1Nov. 15Dec. 1Dec. 31
Bal.			Bal.

Accumulated Depreciation - Equipment
Nov. 1Nov. 15Dec. 1Dec. 31			Nov. 1Nov. 15Dec. 1Dec. 31
Nov. 1Nov. 15Dec. 1Dec. 31			Nov. 1Nov. 15Dec. 1Dec. 31
Bal.			Bal.

Used prepaid insurance of $2,920. The Prepaid Insurance unadjusted balance as of December 31 is $11,400.

Adjustment Type:

AccrualDeferrals/Prepaids

Insurance Expense
Nov. 1Nov. 15Dec. 1Dec. 31			Nov. 1Nov. 15Dec. 1Dec. 31
Nov. 1Nov. 15Dec. 1Dec. 31			Nov. 1Nov. 15Dec. 1Dec. 31
Bal.			Bal.

Prepaid Insurance
Nov. 1Nov. 15Dec. 1Dec. 31			Nov. 1Nov. 15Dec. 1Dec. 31
Nov. 1Nov. 15Dec. 1Dec. 31			Nov. 1Nov. 15Dec. 1Dec. 31
Bal.			Bal.

Used office supplies of $1,740. The Office Supplies unadjusted balance on December 31 is $11,000.

Adjustment Type:

AccrualDeferrals/Prepaids

Supplies Expense
Nov. 1Nov. 15Dec. 1Dec. 31			Nov. 1Nov. 15Dec. 1Dec. 31
Nov. 1Nov. 15Dec. 1Dec. 31			Nov. 1Nov. 15Dec. 1Dec. 31
Bal.			Bal.

Office Supplies
Nov. 1Nov. 15Dec. 1Dec. 31			Nov. 1Nov. 15Dec. 1Dec. 31
Nov. 1Nov. 15Dec. 1Dec. 31			Nov. 1Nov. 15Dec. 1Dec. 31
Bal.			Bal.

A T is drawn. The vertical line divides the account into its left and right sides. The left side of the T-account is called the debit side and the right side is called the credit side. The account name is at the top, above the horizontal line.

Journalize the adjusting entry needed at December 31 for each situation. Use the Chart of Accounts to review account names!

A two year insurance policy for $2,640 was purchased on November 1 of the current year. Record the transaction for the year ended December 31.
Date	Accounts and Explanation	Debit	Credit
Nov. 1Nov. 30Dec. 1Dec. 31Jan. 1

The unadjusted balance of Office Supplies at Dec. 31 is $5,300 and at year end the office supplies on hand totaled $1,700.
Date	Accounts and Explanation	Debit	Credit
Nov. 1Nov. 30Dec. 1Dec. 31Jan. 1

Depreciation for the current year includes Equipment, $2,900.
Date	Accounts and Explanation	Debit	Credit
Nov. 1Nov. 30Dec. 1Dec. 31Jan. 1