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Question 2 (21 points) Paco Painting Company's year-end is October 31. Based on an analysis of the unadjusted trial balance at October 31, 2022,
Question 2 (21 points) Paco Painting Company's year-end is October 31. Based on an analysis of the unadjusted trial balance at October 31, 2022, the following information was available for the preparation of adjusting entries: (a) The prepaid insurance account shows a balance of $1,860, the amount paid for a six month insurance policy purchased on May 1, 2022. (b) The supplies account has an unadjusted balance of $435. A count shows $150 of supplies have now been used. (c) Estimated annual depreciation on the truck is $1,725. (d) (e) The October telephone bill arrived after the unadjusted trial balance was prepared, and its $110 amount has not been paid or recorded. A client paid $1,500 for services to be provided equally over five months beginning September 1, 2022. This amount was credited to the unearned revenue account. Services performed but unrecorded and uncollected at October 31 total $2,555. (f) (g) The one employee is paid weekly and on October 31 salaries of $420 have accrued but not been recorded. 32 AM 134 to 6/20/2022
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