Question
Set up the following ledger accounts for Magic Cleaning Co. Include the account the balances. 1. Record the following adjusting entries to reflect the accrual
Set up the following ledger accounts for Magic Cleaning Co. Include the account the balances.
1. Record the following adjusting entries to reflect the accrual and deferral of expense and revenue for the ending of December 31
2.After you have journalized and posted the transactions, record the adjusting entries on the worksheet.
1. Interest expense incurred but not yet paid on the promissory note amounted to $100.
2. Supplies used during the accounting period amounted to $200
3. Recognized the interest income accumlated on $1,000 note bearing interest of 10% dated a month before the accounting period.
4. Recognized that the cleaning income which previously received but not yet earned 30% of $9000.
5. Insurance records indicate that $1,000 of the insurance expired during the period.
6. Accrued salaries for the last three days in the old year amounting to $500
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