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Question 4 Wawasan Landscape began operations on 1 July 2021. At 31 July, the trial balance shows the following balances for selected accounts: Analysis reveals
Question 4 Wawasan Landscape began operations on 1 July 2021. At 31 July, the trial balance shows the following balances for selected accounts: Analysis reveals the following additional data. Depreciation on the equipment is 10% per annum. The note payable is dated 1 July 2021 . It is a 6 -month, 12% note. Prepaid insurance is the cost of a 2-year insurance policy, effective 1 Jaly 2021 . Landscaping services performed for other customers but not recorded at 31 July totaled RM4,900. Five customers paid for the company's 6-month landscaping service package of RMI2,500 beginning in July 2021 . The company performed services for these customers in July. Required a) Compute the depreciation, interest and insurance expenses charged for the month of July 2021. b) Prepare the adjusting entries for the month of July 2021. c) Compute the adjusted balances as at 31 July 2021 after taken up the adjusting entries for the following accounts: Service Revenue, Unearned senvice revenue and Prepaid insurance
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