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Please write all Journal entries in your answers with little info. Exercise 3-7 Analyzing and preparing adjusting entries LO P5 Following are two income statements
Please write all Journal entries in your answers with little info.
Exercise 3-7 Analyzing and preparing adjusting entries LO P5 Following are two income statements for Alexis Co. for the year ended December 31. The left number column is prepared before adjusting entries are recorded, and the right column is prepared after adjusting entries. The company records cash receipts and payments related to unearned and prepaid items in balance sheet accounts. Income Statements For Year Ended December 31 Unadjusted Adjusted Revenues $24,000 $30,000 Fees earned Commissions earned 42,500 42,500 Total revenues $66,500 72,500 Expenses Depreciation expense-Computers Depreciation expense-Office furniture Salaries expense 1,500 1,750 14,950 1,300 4,500 480 12,500 Insurance expense Rent expense office supplies expense Advertising expense utilities expense Total expenses 4,500 3,000 1,250 3,000 1,320 21,250 28,800 $45,250 $43,700 Net income Analyze the statements and prepare the seven adjusting entries that likely were recorded. Hint: Entry for a refers to fees that have been earned but not yet billed. None of the entries involve cash. View transaction list Journal entry worksheet 1 2 3 4 5 6 7 Record the adjusting entry for accrued revenues Note: Enter debits before credits. Debit Event General Journal Credit a Record entry Clear entry View general journalStep by Step Solution
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