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The owner of a business was preparing financial statements for the year ended 31 December 2015. The following information had yet to be recorded in
The owner of a business was preparing financial statements for the year ended 31 December 2015. The following information had yet to be recorded in the business's general ledger. At 31 December 2015: (1) Insurance, 490, was prepaid: (2) The provision for doubtful debts should be maintained at 5% of trade receivables: at the year ended trade receivables totalled 6740. (3) Rent received for the three months ending 29 February 2016, 2220, was due but unpaid: On 31 December 2015 the balances on the general ledger accounts, prior to making any adjustments, were as follows: Record the information given in the ledger accounts shown below. The accounts should be balanced at 31 December 2015 : 1. Insurance accounts 2. Provision for doubtful debts account 3. Rent received account
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