Question
For each of the following items, write the journal entry first ( if one is needed) to record the transactions; and then the adjusting entry,
For each of the following items, write the journal entry first ( if one is needed) to record the transactions; and then the adjusting entry, if any is required, for the end of the accounting year of Ron Car Rental Company on December 31, 2016. On December 1, borrowed 300,000 cash from Nation Bank by issuing a promissory note with an interest of 12% per annum Payable in three months. On December 1, paid rental for six months beginning December 1, 2016 to May 31, 2017, at 3,000 per month. On December 31, 2016, Received telephone bills for the month December amounting to 5,600. The bill will be paid on January 2017.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started