At December 31, the business gathers the following information for the adjusting entries: a. Office supplies on
Question:
At December 31, the business gathers the following information for the adjusting entries:
a. Office supplies on hand, $165.
b. Rent of one month has been used.
c. Determine the depreciation on the building using straight-line depreciation. Assume the useful life of the building is five years and the residual value is $5,000.
d. $400 of unearned revenue has now been earned.
e. The employee who has been working the rental booth has earned $1,250 in wages that will be paid January 15, 2025.
f. Canyon Canoes has earned $1,850 of canoe rental revenue that has not been recorded or received.
g. Determine the depreciation on the canoes purchased on November 3 using straight-line depreciation. Assume the useful life of the canoes is four years and the residual value is $0.
h. Determine the depreciation on the canoes purchased on December 2 using straight-line depreciation. Assume the useful life of the canoes is four years and the residual value is $0.
i. Interest expense accrued on the notes payable, $50.
Requirements
1. Journalize and post the adjusting entries using the T-accounts that you completed in Chapter F:2. In the T-accounts, denote each adjusting amount as Adj. and an account balance as Balance.
2. Prepare an adjusted trial balance as of December 31, 2024.
Step by Step Answer:
Horngrens Accounting The Financial Chapters
ISBN: 9780136162186
13th Edition
Authors: Tracie Miller Nobles, Brenda Mattison