An accountant made the following adjustments at December 31, the end of the accounting period: a. Prepaid
Question:
An accountant made the following adjustments at December 31, the end of the accounting period:
a. Prepaid insurance, beginning, $700. Payments for insurance during the period, $2,100. Prepaid insurance, ending, $800.
b. Interest revenue accrued, $900.
c. Unearned service revenue, beginning, $800. Unearned service revenue, ending, $300.
Required
Journalize the adjusting entries.
Step by Step Answer:
a Prepaid insurance Beginning balance 700 Payment this year Bal fig 2200 Ending balance 800 Ex...View the full answer
Financial Accounting
ISBN: 978-0135012840
7th edition
Authors: Walter T. Harrison, Charles T. Horngren
Related Video
Unearned revenue is money received by an individual or company for a service or product that has yet to be provided or delivered. It can be thought of as a \"prepayment\" for goods or services that a person or company is expected to supply to the purchaser at a later date. As a result of this prepayment, the seller has a liability equal to the revenue earned until the good or service is delivered. This liability is noted under current liabilities, as it is expected to be settled within a year.
Students also viewed these Accounting questions
-
An inexperienced accountant made the following entries. In each case, the explanation to the entry is correct. Instructions: Prepare the correctingentries. Dec 17 Cash 2,940 Sales Discounts Accounts...
-
Assume that at the end of the accounting period there are credit balances of $6,800 in Patient Services Revenues and $3,600 in Laboratory Fees Revenues. Prepare the required closing entry in journal...
-
Assume that at the end of the accounting period there are credit balances of $3,400 in Patient Services Revenues and $1,800 in Laboratory Fees Revenues. Prepare the required closing entry. The...
-
Modify BST to add a method rangeSearch () that takes two keys as arguments and returns an iterable over all keys that are between the two given keys. The running time should be proportional to the...
-
Brandon Inc. reported the following items in its balance sheet and income statement: net income, $85,600; gain on sale of equipment, $12,800; increase in accounts receivable, $15,400; decrease in...
-
Do you agree with the quotas established in many EU countries? Why or why not?
-
Refer to Exercise 12. Can you reject H0 at the = 0.05 level? State a conclusion. Exercise 12 A simple random sample of 17 business majors from a certain university had a mean GPA of 2.81 with a...
-
The following variable production costs apply to goods made by Raeburn Manufacturing Corporation: Item Cost per Unit Materials ............... $ 8.00 Labor ............... 3.50 Variable overhead...
-
John is a qualified accountant and a shareholder in BestCleaner Ltd (BL), a small private company in the business of manufacturing cleaning chemicals which was established one year ago. The company...
-
In July 2006, Tata Motors, an Indian auto maker, and Fiat Auto, an Italian automaker, announced their intention to form a joint venture to produce passenger cars, engines, and transmissions in India....
-
Docker Corporation began 20X9 owing notes payable of $4.0 million. During 20X9 Docker borrowed $2.6 million on notes payable and paid off $2.5 million of notes payable from prior years. Interest...
-
Bird-Kultgen, Inc., experienced four situations for its supplies. Compute the amounts indicated by question marks for each situation. For situations 1 and 2, journalize the needed transaction....
-
Prove corollary 2.5.3. Let f: X X be an operator on a complete metric space X. Suppose that for some integer N, the function fN: X X is a contraction. Then f has a unique fixed point.
-
(VGC) operates a massively multiplayer online game, charging subscription of $12. At the start of January 2021, VGC's Income statement accounts had zero balances and its balance sheet account...
-
Express the radical in simplified form. 3/1,000x45
-
Holly Springs, Incorporated contracted with Coldwater Corporation to have constructed a custom-made lathe. The machine was completed and ready for use on January 1, 2024. Holly Springs paid for the...
-
Asset Machinery Computer equipment Used delivery truck Furniture Date Placed in Service October 25 February 3 August 17 April 22 Original Basis $ 70,000 10,000 23,000 150,000 *The delivery truck is...
-
Given below are extracts from the summarised statements of financial position of Haribo Co, as at 31 December 20x8 and 20x9 20X9 $ 000 20x8 $000 Equity and Liabilities Ordinary share capital 40 000...
-
A nickel-based alloy component (INCONEL alloy 601) is designed to withstand a service stress of 4000 psi at a temperature of 925C. Determine the temperature at which the component should be operated...
-
TRUE-FALSE QUESTIONS 1. In terms of preliminary analytical procedures, assume that the company has introduced a new product with a low price point and significant customer demand. The auditor would...
-
Crescent Artichoke Growers (CAG) is a major food cooperative. Suppose CAG begins 2010 with cash of $11 million. CAG estimates cash receipts during 2010 will total $104 million. Planned payments will...
-
Gretchen Rourke, an accountant for Dublin Limited, discovers that her supervisor, Billy Dunn, made several errors last year. In total, the errors overstated the companys net income by 25%. It is not...
-
Identify the internal control weakness in the following situations. State how the person can hurt the company. a. James Mason works as a security guard at SAFETY parking in Detroit. Mason has a...
-
D. Let y, be the vertical location of a ball, and y, the vertical location of a hand. Write down a equation that means: "The ball is 2 meters above the hand."
-
Prove this equation gt2 2vit 2h = 0 - equal to t = [1 + 1 2hg 1+ vz
-
1. a. Let (1,2, -3, 5,0), = = (0, 4, 1, 1, 2) and - W = (7,1,-4,-2, 3). Find the components of i. v + w ii. 3 (2 v) - iii. (3) - (2 + 4w') 1 iv. 2 (w - 5 v + 2 v) + v - b. Find scalars C1, C2, C2,...
Study smarter with the SolutionInn App