PREPARE A JOURNAL ENTRY

55 Adjusting Entries - Round to two decimal places. 56 57 27. The rent payment made on June 17 was for June and July. Expense the amount associated with one month's rent 58 59 28. A physical inventory showed that only $247.00 worth of office supplies remained on hand as of June 30. 60 61 29. 62 63 The annual interest rate on the mortgage payable was 9.00 percent. Interest expense for one-half month should be computed because the building and land were purchased and the liability incurred on June 16. Information relating to the prepaid insurance may be obtained from the transaction recorded on June 14. Expense the amount associated with one half month's insurance. 30. 54 65 31. A review of Byte's job worksheets show that there are unbilled revenues in the amount of $5,375 for the period of June 28-30 56 67 BB 69 70 32 71 The fixed assets have estimated useful lives as follows: Building - 31.5 years Computer Equipment - 5.0 years Office Equipment -70 years Use the straight-line method of depreciation Management has decided that assets purchased during a month are treated as if purchased on the first day of the month. The building's scrap value is $500. The office equipment has a scrap value of $500. The computer equipment has no scrap value. Calculate the depreciation for one month. 72 73 53 33. A review of the payroll records show that unpaid salaries in the amount of S606 are owed by Byte for three days, June 28 - 30 74 75 34 70 77 The note payable relating to the June 2, and 10 transactions is a five-year note, with interest at the rate of 12 percent annually. Interest expense should be computed based on a 360 day year, (IMPORTANT NOTE: The original note on the computer equipment purchased on June 2 was $128,000 On June 10, eight days later, $24,500 was repaid. Interest expense must be calculated on the $128.000 for eight days. In addition, interest experise on the S103.500 balance of the loan (S128,000 less 524500-S103,500) must be calculated for the 20 days remaining in the month of June. B D D E F F G 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 Number Name 1110 Cash 1120 Accounts Receivable 1130 Prepaid Insurance 1140 Prepaid Rent 1150 Office Supplies 1211 Office Equip 1212 Accum Depr.-Office Equip 1311 Computer Equip 1312 Accum. Depr.-Computer Equip 1411 Building Cost 1412 Accum. Depr.-Building 1510 Land 2101 Accounts Payable 2102 Advanced Payments 2103 Interest Payable 2105 Salaries Payable 2106 Income Taxes Payable 2201 Mortgage Payable 2202 Notes Payable 3100 Capital Stock 3200 Retained Earnings 3300 Dividends 3400 Income Summary 4100 Computer & Consulting Revenue 5010 Rent Expense 5020 Salary Expense 5030 Advertising Expense 5040 Repairs & Maint. Expense 5050 Ol & Gas Expense 5080 Supplies Expense 5090 Interest Expense 5100 Insurance Expense 5110 Depreciation Expense 5120 Income Tax Expense Normal Balance Debit Debit Debit Debit Debit Debit Credit Debit Credit Debit Credit Debit Credi Credit Credit Credit Credit Credit Credit Credit Credit Debit Credit Credit Debit Debit Debit Debit Debit Debit Debit Debit Debit Debit + 55 Adjusting Entries - Round to two decimal places. 56 57 27. The rent payment made on June 17 was for June and July. Expense the amount associated with one month's rent 58 59 28. A physical inventory showed that only $247.00 worth of office supplies remained on hand as of June 30. 60 61 29. 62 63 The annual interest rate on the mortgage payable was 9.00 percent. Interest expense for one-half month should be computed because the building and land were purchased and the liability incurred on June 16. Information relating to the prepaid insurance may be obtained from the transaction recorded on June 14. Expense the amount associated with one half month's insurance. 30. 54 65 31. A review of Byte's job worksheets show that there are unbilled revenues in the amount of $5,375 for the period of June 28-30 56 67 BB 69 70 32 71 The fixed assets have estimated useful lives as follows: Building - 31.5 years Computer Equipment - 5.0 years Office Equipment -70 years Use the straight-line method of depreciation Management has decided that assets purchased during a month are treated as if purchased on the first day of the month. The building's scrap value is $500. The office equipment has a scrap value of $500. The computer equipment has no scrap value. Calculate the depreciation for one month. 72 73 53 33. A review of the payroll records show that unpaid salaries in the amount of S606 are owed by Byte for three days, June 28 - 30 74 75 34 70 77 The note payable relating to the June 2, and 10 transactions is a five-year note, with interest at the rate of 12 percent annually. Interest expense should be computed based on a 360 day year, (IMPORTANT NOTE: The original note on the computer equipment purchased on June 2 was $128,000 On June 10, eight days later, $24,500 was repaid. Interest expense must be calculated on the $128.000 for eight days. In addition, interest experise on the S103.500 balance of the loan (S128,000 less 524500-S103,500) must be calculated for the 20 days remaining in the month of June. B D D E F F G 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 Number Name 1110 Cash 1120 Accounts Receivable 1130 Prepaid Insurance 1140 Prepaid Rent 1150 Office Supplies 1211 Office Equip 1212 Accum Depr.-Office Equip 1311 Computer Equip 1312 Accum. Depr.-Computer Equip 1411 Building Cost 1412 Accum. Depr.-Building 1510 Land 2101 Accounts Payable 2102 Advanced Payments 2103 Interest Payable 2105 Salaries Payable 2106 Income Taxes Payable 2201 Mortgage Payable 2202 Notes Payable 3100 Capital Stock 3200 Retained Earnings 3300 Dividends 3400 Income Summary 4100 Computer & Consulting Revenue 5010 Rent Expense 5020 Salary Expense 5030 Advertising Expense 5040 Repairs & Maint. Expense 5050 Ol & Gas Expense 5080 Supplies Expense 5090 Interest Expense 5100 Insurance Expense 5110 Depreciation Expense 5120 Income Tax Expense Normal Balance Debit Debit Debit Debit Debit Debit Credit Debit Credit Debit Credit Debit Credi Credit Credit Credit Credit Credit Credit Credit Credit Debit Credit Credit Debit Debit Debit Debit Debit Debit Debit Debit Debit Debit +