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The Georgia Oun Club adjusts its accounts monthly and closes its accounts annually, Club members pay their annual dues in advance by January 4. The

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The Georgia Oun Club adjusts its accounts monthly and closes its accounts annually, Club members pay their annual dues in advance by January 4. The entire amount is initially credited to Unearned Membership Dues. At the end of each month, an appropriate portion of this amount is credited to Membership Dues Earned. Guests of the club normally pay their fees before being allowed to use the facilities. The amounts collected are credited to Guest Fee Revenue at the time of receipt. Certain guests however, are billed at the end of the month The following information is available as a source for preparing adjusting entries of December 31 1. Salaries earned by the club's employees that have not yet been recorded or paid amount to $13.600 2. The Georgia State Police used the club's facilities for target practice on December 30 of the current year. At December 31, the 53.200 owed by the state police for guest fees had not yet been recorded or bulled 3. Membership does earned in December, for collections received at the beginning of the year, amount to $140.000 4. Depreciation of the furniture and fixtures in the clubhouse is based on an estimated life of eight years. These items had originally been purchased for $120.000 The straight-line method is used (Note: The clubhouse building was constructed in 1956 and is fully depreciated) 3. A 12-mooth bank loan in the amount of $60.000 had been obtained by the club on October Interest is computed at an annual rate of percent. The entire 560.000. plus all of the interest accrued over the 12-month life of the loan a due in full on September 30 of the upcoming year. The necessary adjusting entry was made on November 30 to record the first the months of cerved interest expense However, no adjustment has been made to record interest expense served in December 6. A one-year property insurance policy had been purchased on April 30 The entire premium of $10.000 was initially recorded Unexpired Insurance 7. In December, the club entered into an agreement to host the annual tournament of the Georgia Junior Rifle Antociation The club expects to generate guest feet of $7.200 from this event 8. Unrecorded Income Taxes Expense accrued in December amounts to 512.600 This amount will not be paid until January Instructions a. For each of the numbered paragraphs, prepare the necesan adjusting entry including an explanation If no adjusting entry is required, explain why b. Four types of adjusting entries are described at the beginning of the chapter Using these descriptions identify the type of each adjusting entry prepared in parta c. Although the clubhouse building is fully deprecated, it is in excellent pinal condition Explain on this can be The Georgia Oun Club adjusts its accounts monthly and closes its accounts annually, Club members pay their annual dues in advance by January 4. The entire amount is initially credited to Unearned Membership Dues. At the end of each month, an appropriate portion of this amount is credited to Membership Dues Earned. Guests of the club normally pay their fees before being allowed to use the facilities. The amounts collected are credited to Guest Fee Revenue at the time of receipt. Certain guests however, are billed at the end of the month The following information is available as a source for preparing adjusting entries of December 31 1. Salaries earned by the club's employees that have not yet been recorded or paid amount to $13.600 2. The Georgia State Police used the club's facilities for target practice on December 30 of the current year. At December 31, the 53.200 owed by the state police for guest fees had not yet been recorded or bulled 3. Membership does earned in December, for collections received at the beginning of the year, amount to $140.000 4. Depreciation of the furniture and fixtures in the clubhouse is based on an estimated life of eight years. These items had originally been purchased for $120.000 The straight-line method is used (Note: The clubhouse building was constructed in 1956 and is fully depreciated) 3. A 12-mooth bank loan in the amount of $60.000 had been obtained by the club on October Interest is computed at an annual rate of percent. The entire 560.000. plus all of the interest accrued over the 12-month life of the loan a due in full on September 30 of the upcoming year. The necessary adjusting entry was made on November 30 to record the first the months of cerved interest expense However, no adjustment has been made to record interest expense served in December 6. A one-year property insurance policy had been purchased on April 30 The entire premium of $10.000 was initially recorded Unexpired Insurance 7. In December, the club entered into an agreement to host the annual tournament of the Georgia Junior Rifle Antociation The club expects to generate guest feet of $7.200 from this event 8. Unrecorded Income Taxes Expense accrued in December amounts to 512.600 This amount will not be paid until January Instructions a. For each of the numbered paragraphs, prepare the necesan adjusting entry including an explanation If no adjusting entry is required, explain why b. Four types of adjusting entries are described at the beginning of the chapter Using these descriptions identify the type of each adjusting entry prepared in parta c. Although the clubhouse building is fully deprecated, it is in excellent pinal condition Explain on this can be

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