McGowan Company must make three adjusting entries on December $31,201.$

a$.$ Supplies used, $$9,700($supplies totaling $$15,400$ were purchased on December $1,201,$ and debited to the Supplies account$).$

b$.$ Expired insurance, $$6,900$; on December $1,201,$ the firm paid $$41,400$ for six months insurance coverage in advance and

debited Prepaid Insurance for this amount.

c$.$ Depreciation expense for equipment, $$4,500.$

Required:

Prepare the journal entries for these adjustments and post the entries to the general ledger accounts.

Complete this question by entering your answers in the tabs below.

Prepare the journal entries for the above adjustments.

Journal entry worksheet

Prepare the adjusting entry for supplies.

Note: Enter debits before credits.