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New Slang Pest Control has the following balances in selected accounts on December 31, 2016. Accounts Receivable $0 Accumulated Depreciation Equipment 0 Equipment 6,650 Interest
New Slang Pest Control has the following balances in selected accounts on December 31, 2016.
Accounts Receivable | $0 | ||
Accumulated Depreciation Equipment | 0 | ||
Equipment | 6,650 | ||
Interest Payable | 0 | ||
Notes Payable | 20,000 | ||
Prepaid Insurance | 2,220 | ||
Salaries and Wages Payable | 0 | ||
Supplies | 2,940 | ||
Unearned Service Revenue | 30,000 |
All of the accounts have normal balances. The information below has been gathered at December 31, 2016.
1. | Depreciation on the equipment for 2016 is $1,300. | ||
2. | New Slang Pest Control borrowed $20,000 by signing a 10%, one-year note on July 1, 2016. | ||
3. | New Slang Pest Control paid $2,220 for 12 months of insurance coverage on October 1, 2016. | ||
4. | New Slang Pest Control pays its employees total salaries of $11,000 every Monday for the preceding 5-day week (Monday-Friday). On Monday, December 27, 2016, employees were paid for the week ending December 24, 2016. All employees worked the five days ending December 31, 2016. | ||
5. | New Slang Pest Control performed disinfecting services for a client in December 2016. The client will be billed $3,200. | ||
6. | On December 1, 2016, New Slang Pest Control collected $30,000 for disinfecting processes to be performed from December 1, 2016, through May 31, 2016. | ||
7. | A count of supplies on December 31, 2016, indicates that supplies of $850 are on hand. |
Prepare in journal form, the adjusting entries for the seven items listed for New Slang Pest Control.
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