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LO P3-63A. (Learning Objective 3: Making accounting adjustments) Journalize the adjusting entry needed on December 31. the end of the current accounting period, for each

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LO P3-63A. (Learning Objective 3: Making accounting adjustments) Journalize the adjusting entry needed on December 31. the end of the current accounting period, for each of the follow- ing independent cases affecting Speedy Corp. Include an explanation for each entry. a. Details of Prepaid Insurance are shown in the account: wri Prepaid Insurance Jan. 1 Bal. 900 ws Mar. 31 3,600 Speedy prepays insurance on March 31 each year. At December 31, $1.700 is still prepaid. b. Speedy pays employees each Friday. The amount of the weekly payroll is $6,200 for a five-day work week. The current accounting period ends on Tuesday. c. Speedy has a note receivable. During the current year, Speedy has earned accrued interest revenue of $500 that it will collect next year. d. The beginning balance of supplies was $2,500. During the year, Speedy purchased supplies costing $6,300, and at December 31 supplies on hand total $2,100. e. Speedy is providing services for Gold Investments, and the owner of Gold paid Speedy $15,000 as the annual service fee. Speedy recorded this amount as Unearned Service Revenue. Speedy estimates that it has earned 70% of the total fee during the current year. 1. Depreciation for the current year includes Office Furniture worth $3,200 and Equipment worth $5,000. Make a combined entry. LO P3-63A. (Learning Objective 3: Making accounting adjustments) Journalize the adjusting entry needed on December 31. the end of the current accounting period, for each of the follow- ing independent cases affecting Speedy Corp. Include an explanation for each entry. a. Details of Prepaid Insurance are shown in the account: wri Prepaid Insurance Jan. 1 Bal. 900 ws Mar. 31 3,600 Speedy prepays insurance on March 31 each year. At December 31, $1.700 is still prepaid. b. Speedy pays employees each Friday. The amount of the weekly payroll is $6,200 for a five-day work week. The current accounting period ends on Tuesday. c. Speedy has a note receivable. During the current year, Speedy has earned accrued interest revenue of $500 that it will collect next year. d. The beginning balance of supplies was $2,500. During the year, Speedy purchased supplies costing $6,300, and at December 31 supplies on hand total $2,100. e. Speedy is providing services for Gold Investments, and the owner of Gold paid Speedy $15,000 as the annual service fee. Speedy recorded this amount as Unearned Service Revenue. Speedy estimates that it has earned 70% of the total fee during the current year. 1. Depreciation for the current year includes Office Furniture worth $3,200 and Equipment worth $5,000. Make a combined entry

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