Adjusting entries affect one balance sheet account and one income statement account. For the entries listed below,

Question:

Adjusting entries affect one account and one income statement account. For the entries listed below, identify the account to be debited and the account to be credited. Indicate which of the two accounts is the income statement account and which is the account.
a. Entry to record annual depreciation expense.
b. Entry to show wages earned by employees but not yet paid.
c. Entry to show revenue earned that was previously received as cash in advance.
d. Entry to show expiration of prepaid insurance.
e. Entry to show revenue earned but not yet billed.
Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...