Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

help explaining and providing examples of this cases of Accrual Methods: By applying the ACCRUAL METHOD OF ACCOUNTING, know how to JOURNALIZE any ADJUSTING ENTRY

help explaining and providing examples of this cases of Accrual Methods:

By applying the ACCRUAL METHOD OF ACCOUNTING, know how to JOURNALIZE any ADJUSTING ENTRY transaction including how to properly COMPUTE AMOUNTS that are a part of an adjusting entry (i.e., know how to adjust prepaid expenses, accrued revenues, accrued expenses, unearned revenues). For example, an incomplete list of things you should know include: o know how to calculate and journalize ACCRUED INTEREST EXPENSE and INTEREST PAYABLE of a note, o know how to compute and journalize ACCRUED ACCOUNTS RECEIVABLE and SERVICE REVENUES for services provided but not yet billed, o know how to compute and journalize DEPRECIATION EXPENSE and ACCUMULATED DEPRECIATION of a plant asset using the STRAIGHT-LINE METHOD (Cost less Salvage Value = Depreciable Base Divided by Estimated Useful Life = Annual Depreciation Expense), o know how to prorate a full year of depreciation expense to reflect that portion of the year in which the asset has been in service, o know how to compute and journalize the amount of a PREPAID INSURANCE (RENT) EXPENSE and INSURANCE (RENT) EXPENSE that has expired, o know how to compute and journalize the amount of SALARIES EXPENSE and SALARIES PAYABLE that are owed but not yet paid as of a date certain, and o know how to compute and journalize the amount of UNEARNED REVENUES and SERVICE REVENUES that have been earned as of a date certain.

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

The Whole School Audit Development Planning For Primary And Special Schools

Authors: Brian Drakeford

1st Edition

1853465011, 978-1853465017

More Books

Students also viewed these Accounting questions

Question

25.0 m C B A 52.0 m 65.0 m

Answered: 1 week ago

Question

2. Describe why we form relationships

Answered: 1 week ago

Question

5. Outline the predictable stages of most relationships

Answered: 1 week ago