Exercise 3-6 Preparing adjusting entries LO P a. Depreciation on the company's equipment for 2015 is computed to be $18,000 b. The Prepaid Insurance account had a $6,000 debit balance at December 31, 2015, before adjusting for the costs of any expired coverage An analysis of the compan's insurance polides showed that $1,610 of unexpired insurance coverage remains. c. The Office Supplies account had a $490 debit balance on December 31, 2014 and $2.680 of office supplies were purchased during the year. The December 31, 2015, physical count showed $578 of supplies available d. One-fifth of the work related to $10,000 of cash received in advance was performed this period e. The Prepaid Insurance account had a $5,400 debit balance at December 31, 2015, before adjusting for the costs of any expired coverage. An analysis of insurance policies showed that $3,790 of coverage had expired f. Wage expenses of $4,000 have been incurred but are not paid as of December 31, 2015 Prepare adjusting journal entries for the year ended (date of) December 31.2015, for each of these separate situations. Assume that prepaid expenses are initially recorded in asset accounts. Also assume that fees collected in advance of work are initially recorded as liabilities View transaction list Journal entry worksheet Depreciation on the company's equipment for 2015 is computed to be $18,000 Note: Enter debits before credits. Transaction General Journal Debit Credit Record entry Clear entry View general journal