I'd like to find out what would be the correct entries for the images attached, based on the facts and scenarios on the first page. Thank you.
Q1. Lowell Corporation has used the accrual basis of accounting for several years. A review of the records, however, indicates that some expenses and revenues have been handled on a cash basis because of errors made by an inexperienced bookkeeper. Income statements prepared by the bookkeeper reported $29,000 net income for 2019 and $37,000 net income for 2020. Further examination of the records reveals that the following items were handled improperly. The books are open for 2020. 1. Rent was received from a tenant in December 2019. The amount, $1,000, was recorded as revenue at that time even though the rental pertained to 2020. 2. Certain wages payable on December 31 have been consistently omitted from the records of that date and have been entered as expenses when paid in the following year. The amounts of the accruals recorded in this manner were: 31-Dec-18 1,100 31 -Dec1 9 1 ,200 31-Dec20 940 3. Invoices for certain supplies purchased have been charged to expense accounts when received. Inventories of those supplies on hand at the end of each year have been ignored, and no entry has been made for them. 31-Dec1 8 1,300 31 -Dec1 9 940 31-Dec20 1 ,420 Below is a schedule showing the derivation of corrected net income for the years 2019 and 2020. M M Net income, with errors $29,000 $37,000 Rent received in 2019, earned in 2020 (1000) 1000 Wages not accrued, 12731718 1 100 Wages not accrued, 12731719 (1200) 1200 Wages not accrued, 12731720 (940) Supplies cost not deterred, 12731718 1300 Supplies cost not deterred, 12731719 940 (940) Supplies cost not deterred, 12731720 1420 Corrected net income 27 540 $38,740 1. Make the 123122020 correcting entries. Use three journal entries (one for rent, one for wages, and one for supplies). Show calculations below each entry. Select from the following accounts when preparing your entries. Uneamed Rent Rent Revenue Wages Payable Wages Expense Supplies Supplies Expense RE (1I1l2020) a Correcting entry for rent: b Correcting entry for wages: c Correcting entry for supplies