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The Blew Lawn Care Inc. began operations on April 1. At April 30, the trial balance shows the following balances for selected accounts. Prepaid Insurance
The Blew Lawn Care Inc. began operations on April 1. At April 30, the trial balance shows the following balances for selected accounts.
Prepaid Insurance $3,600
Equipment 28,000
Notes Payable 20,000
Unearned Service Revenue 4,200
Service Revenue 1,800
Analysis reveals the following additional data.
- Prepaid insurance is the cost of a 2-year insurance policy, effective April
- Depreciation on equipment is $500 per month.
- The note payable is dated April 1, it is a 6-month, 12% note.
- Seven customers paid for the companys 6-month lawn service package of $600 starting in April . The company performed services for these customers in April.
- Lawn services performed for other customers but not recorded at April 30 totaled $1,500.
REQUIRED: PREPARE ADJUSDTING ENTRIES FOR THE MONTH OF APRIL
Title Dr. Cr.
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