From the following information journalize the adjusting entries for Evan's Food Sales on October 31, 2010 Use the form provided Use the Chart of Accounts given after the transactions.

Transcribed Image Text:

A) On October 1, we purchased a four-month insurance policy for $800. B) We have one Notes Payable. It is a $18,000, 90-day note that has a 12% interest rate. The note was signed on October 1. (Use a 360-day year.) C) The office supply account shows a balance of $700; we have $300 worth of supplies in the cabinet. D) Our employees (all salaried) can $7,500 per week. The work week is from Monday to Friday. October 31 is a Thursday. The prior weeks in October have already been journalized. E) Depreciation on our truck was $700 this month. Contra EVAN'S FOOD SALES CHART OF ACCOUNTS Cash Buy a frack g85,0oD thetonical Cost Accounts Receivable Office Supplies Prepaid Insurance Truck Accum. Depr.Truck Accounts Payable Accrued Interest Payable Accrued Wages Payable Notes Payable E. Barshack, Capital E. Barshack, Drawing Acumulated Depr CH I 84,000 buok value . Accumulate Depr Book value Sales Depreciation Expense Insurance Expense う DR Interest Expense Supplies Expense Wages Expense A) On October 1, we purchased a four-month insurance policy for $800. B) We have one Notes Payable. It is a $18,000, 90-day note that has a 12% interest rate. The note was signed on October 1. (Use a 360-day year.) C) The office supply account shows a balance of $700; we have $300 worth of supplies in the cabinet. D) Our employees (all salaried) can $7,500 per week. The work week is from Monday to Friday. October 31 is a Thursday. The prior weeks in October have already been journalized. E) Depreciation on our truck was $700 this month. Contra EVAN'S FOOD SALES CHART OF ACCOUNTS Cash Buy a frack g85,0oD thetonical Cost Accounts Receivable Office Supplies Prepaid Insurance Truck Accum. Depr.Truck Accounts Payable Accrued Interest Payable Accrued Wages Payable Notes Payable E. Barshack, Capital E. Barshack, Drawing Acumulated Depr CH I 84,000 buok value . Accumulate Depr Book value Sales Depreciation Expense Insurance Expense う DR Interest Expense Supplies Expense Wages Expense

Answer rating: 100% (QA)

Solution ... View the full answer