Sane Cora Compacts bat the billowing balances in selected accounts on December 31,2015.

All the accounts have normal balances. The information below has been gathered at December 31, 2015.

1. Verne Cara Company borrowed $10,000 by signing a 12%, one.sear note on September 1, 2015.

2. A count supplies on December 31. 2015, Indicates that supplies of $900 are on hand.

3. Depreciation on the equipment for 2015, $1,000.

4. Verne Cova Company paid $2,103 for 12 months of insurance coverage on June 1, 2015.

5. On December 1, 2015. Verne Cora collected $30000 for consulting service to be performed from December 1, 2015, through March 31. 2016.

6. Verne Cova performed consulting services for a client in December 2015. The client will be billed $4200.

7. Wine coca Company pays its employees total salaries of $9,000 every Monday for the preceding 5-day wait (Monday through Friday). On Monday, December 29 employees were paid for the week ending December 26. All employee worked the last 3 days of 2015.

Prepare adjusting entries for the 7 items.

Transcribed Image Text:

Accounts Receivable Accumulated Depreciation-Equipment Equipment Interest Payable Notes Payable Prepaid Insurance Salaries and Wages Payable Supplies Unearned Service Revenue $-0- -0- 7,000 -0- 10,000 2,100 -0- 2,450 30,000 Accounts Receivable Accumulated Depreciation-Equipment Equipment Interest Payable Notes Payable Prepaid Insurance Salaries and Wages Payable Supplies Unearned Service Revenue $-0- -0- 7,000 -0- 10,000 2,100 -0- 2,450 30,000

Answer rating: 100% (QA)

1 Interest Expense Dr 400 Interest Payable Cr 400 To record interest expen... View the full answer