Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Super Smart Sdn Bhd had the following account balances at 30 April 2020. Prepaid insurance Equipment Loan Unearned revenue Service revenue RM 3,600 28,000 24,000

image text in transcribed

Super Smart Sdn Bhd had the following account balances at 30 April 2020. Prepaid insurance Equipment Loan Unearned revenue Service revenue RM 3,600 28,000 24,000 4,200 1,800 At 30 April 2020, the following information were unrecorded: a. Prepaid insurance is the cost of insurance for 2 years, effective from 1 May 2019. b. Depreciation on the equipment is RM4,000 per year. c. The loan was approved on 1 April 2020. It is a 1-year 10% bank loan. Interest on the loan is accrued at 30 April 2020. d. Customers paid a 6-month service package of RM4,200 on 31 March 2020. The customers received the first month service in April 2020. e. Services provided to customers but unbilled at 30 April 2020 totalled to RM1,500. Required: 1) Record the adjusting entries in a) to e) above in journal. 2) Update the new account balances in the prepaid insurance, unearned revenue and service revenue in the following table. RM Prepaid insurance Unearned revenue Service revenue

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Utopia The Social Audit

Authors: Travis E. Hughes

1st Edition

1505493374, 978-1505493375

More Books

Students also viewed these Accounting questions

Question

21. Consider the following four structures:

Answered: 1 week ago

Question

Identify how culture affects appropriate leadership behavior

Answered: 1 week ago