Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Following are two income statements for Alexis Company for the year ended December 31. The left number column is prepared before adjusting entries are

image text in transcribed

Following are two income statements for Alexis Company for the year ended December 31. The left number column is prepared before adjusting entries are recorded, and the right column is prepared after adjusting entries. The company records cash receipts and payments related to unearned and prepaid items in balance sheet accounts. Revenues Services revenue Commissions revenue Total revenues Expenses Depreciation expense-Computers $ 24,000 42,500 $ 66,500 Income Statements For Year Ended December 31 Unadjusted Adjustments Adjusted $ 29,400 42,500 71,900 1,350 1,575 12,500 14,705 e 1,170 4,500 4,500 432 3,000 3,000 1,250 1,313 21,250 28,045 $45,250 $43,855 Depreciation expense-Office furniture Salaries expense Insurance expense Rent expense Office supplies expense Advertising expense Utilities expense Total expenses Net income Analyze the statements and prepare the seven adjusting entries a. through g. that likely were recorded. Hint The entry for a. refers to revenue that has been earned but not yet billed. No adjusting entry involves cash. View transaction list Journal entry worksheet 1 2 3 4 5 Record the adjusting entry for accrued revenues. Note: Enter debits before credits Event 7 General Journal Debit Credit Record entry Clear entry View general journal

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Advanced Accounting

Authors: Joe Hoyle, Thomas Schaefer, Timothy Doupnik

10th edition

0-07-794127-6, 978-0-07-79412, 978-0077431808

More Books

Students also viewed these Accounting questions