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The ledger of Armour Lumber Supply on July 31, 2020, includes the selected accounts below before adjusting entries have been prepared. Debit Credit $19,600 Notes
The ledger of Armour Lumber Supply on July 31, 2020, includes the selected accounts below before adjusting entries have been prepared. Debit Credit $19,600 Notes Payable Supplies Prepaid Rent Buildings Accumulated Depreciation-Buildings Unearned Service Revenue 52 $23,500 3,200 257,000 wings 147,000 11,100 11,100 An analysis of the company's accounts shows the following 1. The notes payable pays interest at a rate of 6% per year. 2. Supplies on hand at the end of the month totaled $18,800. 3. The balance in Prepaid Rent represents 4 months of rent costs. 4. Employees were owed $3,600 related to unpaid salaries and 5. Depreciation on buildings is $4,920 per year. 6. During the month, the company satisfied obligations worth $4,800 related to the Unearned Services Revenue. 7. Unpaid maintenance and repairs costs were $3,000. Prepare the adjusting entries at July 31 assuming that adjusting entries are made monthly. Use additional accounts as needed. (Credit account amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit July 31 (To record interest used) July 31 (To record supplies used) July 31 (To record rent used) July 31 (To record accrued salaries and wages) July 31 (To record monthly depreciation) July 31 (To record monthly depreciation) July 31 (To record revenue used) July 31 (To record expense used)
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