Tooth Acres, Inc, adjusts and eloses its accounts at the end of each month. The trial...

   

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Tooth Acres, Inc, adjusts and eloses its accounts at the end of each month. The trial balance at July 31, 2001, before adjustments is as follows: . Debit Credit S 21,150 37,800 5.400 1,050 Cash Dental Fees Receivable Prepaid Rent Office Supplies Dental Equipment Accumulated Depreciation: Dental Equipment Accounts Payable Notes Payable Unearned Dental Fees 17.100 $ 5,700 3,900 10,000 24,000 20,000 23,700 Capital Stock Retained Earnings Dividends Dental Fees Earned Salaries Expense Utilities Expense Advertising Expense 7,500 26,850 19,500 1,200 3,450 S114,150 S114,150 The following information relates to month-end adjustments: Office supplies on hand July 31 amounted to $600. The useful life of the dental equipment was estimated to be 5 years with no residual value. Many patients pay in advance for major dental procedures such as root canals. Fees of $6,345 were earned during the month by performing procedures on patients who had paid a. b. с. in advance. Salaries earned by employees during the month but not yet recorded or paid amounted to $1,650. The prepaid rent represents 4-month rent that was paid on July 1. d. e. f. Dental procedures performed during the month and was billed but not yet recorded or collected amounted to $2,700. Required: Prepare the general journal adjusting entries required by Tooth Acres, Inc., on July 31, 2001. Tooth Acres, Inc, adjusts and eloses its accounts at the end of each month. The trial balance at July 31, 2001, before adjustments is as follows: . Debit Credit S 21,150 37,800 5.400 1,050 Cash Dental Fees Receivable Prepaid Rent Office Supplies Dental Equipment Accumulated Depreciation: Dental Equipment Accounts Payable Notes Payable Unearned Dental Fees 17.100 $ 5,700 3,900 10,000 24,000 20,000 23,700 Capital Stock Retained Earnings Dividends Dental Fees Earned Salaries Expense Utilities Expense Advertising Expense 7,500 26,850 19,500 1,200 3,450 S114,150 S114,150 The following information relates to month-end adjustments: Office supplies on hand July 31 amounted to $600. The useful life of the dental equipment was estimated to be 5 years with no residual value. Many patients pay in advance for major dental procedures such as root canals. Fees of $6,345 were earned during the month by performing procedures on patients who had paid a. b. с. in advance. Salaries earned by employees during the month but not yet recorded or paid amounted to $1,650. The prepaid rent represents 4-month rent that was paid on July 1. d. e. f. Dental procedures performed during the month and was billed but not yet recorded or collected amounted to $2,700. Required: Prepare the general journal adjusting entries required by Tooth Acres, Inc., on July 31, 2001.

Answer rating: 100% (QA)

Adjusting entries are those journal entries which are passed at the end of the period i... View the full answer