Dr. Erica Chan, MD owns EC Health Clinic. She prepares annual financial statements and has a December

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Dr. Erica Chan, MD owns EC Health Clinic. She prepares annual financial statements and has a December 31, 2017 year-end.
a. On October 1, 2017, Dr. Chan prepaid $8,000 for four months of rent.
b. On November 1, 2017, Dr. Chan prepaid $480 to renew the clinic’s magazine subscriptions. The subscription is for one year.
c. On December 1, 2017, Dr. Chan pays $3,000 for supplies. At the end of the year, $2,000 of supplies had not been used.


Required 

For each transaction, record the initial journal entry and the adjusting entry required on December 31, 2017.

Financial Statements
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial...
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Related Book For  book-img-for-question

Fundamental Accounting Principles Volume 1

ISBN: 9781259259807

15th Canadian Edition

Authors: Kermit Larson, Tilly Jensen, Heidi Dieckmann

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