Consider the following adjusting entries:

Requirement
1. State one reason why each of the previous adjusting entries were made. Example: The explanation for journal entry a could be some of the Prepaid rent has expired. Another correct explanation would be the asset account Prepaid rent was overstated. A third correct explanation would be that Rent expense incurred wasunderstated.

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Journal Entry Accounts and Explanations Debit Credit Date a. Apr 30 Rent expense Prepaid rent 900 900 b. 30 Unearned service revenue 350 Service revenue 350 30 Supplies expense Supplies 30 Salary expense Salary payable 30 Depreciation expense-furniture Accumulated depreciation-furniture C. 200 200 d. 850 850 450 e. 450