Adjusting Entries: Prepare the adjusting entry for each item on 01/31/21.

Prepaid Rent 01/01/21: ABC Company paid Php120,000 for 10 months rent in advance.

Prepaid Insurance 01/01/21: ABC Company acquired one-year comprehensive insurance coverage on the service vehicle and paid Php60,000 premiums.

Supplies 01/01/21: ABC Company purchased supplies, Php25,000. At the end of the accounting period, the company made a careful physical inventory of the supplies. The inventory count showed that supplies costing Php14,000 are still on hand.

Depreciation 01/01/21: ABC Company purchased a service vehicle costing Php500,000, with salvage value of Php20,000 and 5 years estimated useful life.

Depreciation 01/01/21: ABC Company purchased an office equipment costing Php72,000 and estimated useful life of 3 years and will be worthless at that time.

Unearned Revenues to Revenues 01/01/21: ABC Company received Php30,000 as advance payment from clients. By the end of the month, Php10,000 has been realized.

Accrued Salaries Assume that ABC Company has 3 employees, each with daily rate of Php700/day. What would be the adjusting entry to accrue salaries unpaid for 2 days?

Accrued Interest ABC Company borrowed Php150,000 from a bank and issued a promissory note that carried 12% interest per annum. Both principal and interest are payable in 1 year.

Accrued Revenues Suppose that ABC company rendered service to a client, Php4,000. This was already earned but unbilled.

Accrual for Uncollectible Accounts Assume that ABC Company made total credit sales of Php700,000 and prior experience indicates that 1% will be uncollectible.