Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Kimberly Young, DDS, opened a dental practice on January 1, 2022. During the first month of operations, the following transactions occurred 1 Performed services

image text in transcribed

Kimberly Young, DDS, opened a dental practice on January 1, 2022. During the first month of operations, the following transactions occurred 1 Performed services for patients who had dental plan insurance. At January 31, $800 of such services was completed but not yet billed to the insurance companies 2 Utility expenses incurred but not paid prior to January 31 totaled $700 3 4 Purchased dental equipment on January 1 for $82,000, paying $21,000 in cash and signing a $61.000, 3-year note payable (interest is paid each December 31). The equipment depreciates $410 per month. Interest is $610 per month Purchased a 1-year malpractice insurance policy on January 1 for $23.400 Purchased $1,700 of dental supplies (recorded as increase to Supplies). On January 31, determined that $400 of supplies were on hand Prepare the adjusting entries on January 31. Account titles are Accumulated Depreciation-Equipment, Depreciation Expense, Service Revenue, Accounts Receivable, Insurance Expense, Interest Expense, Interest Payable, Prepaid Insurance, Supplies, Supplies Expense, Utilities Expense, and Utilities Payable (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually) No. Date Account Titles and Explanation Debit Credit 1 Jan. 31 Jan. 31 3 Jan. 31 Jan 31 (To record monthly depreciation) Jan 31 (To record interest on Notes payable) Jan. 31

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: Debra C. Jeter, Paul Chaney

5th Edition

1118022297, 9781118214169, 9781118022290, 1118214161, 978-1118098615

More Books

Students also viewed these Accounting questions