The following transactions occurred during December 2020 for ABC company: Dec,1: paid J.D 1,800 for one...

 

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The following transactions occurred during December 2020 for ABC company: Dec,1: paid J.D 1,800 for one year rent. Dec, 5: purchased supplies for J.D 3,000 cash. Additional information: The company prepares the adjusting entries monthly The supplies on hand at 31/12/2020 total J.D 1,000 Instructions: 1- Prepare the journal entries for the transactions occurred on 1/12, and 5/12 2- Prepare the adjusting entries on 31/12/2020 3- Calculate the balance of the supplies account and the prepaid rent account at 31/12/2020 4- Determine the rent expense and the supplies expense that will be reported in the income statement. The following transactions occurred during December 2020 for ABC company: Dec,1: paid J.D 1,800 for one year rent. Dec, 5: purchased supplies for J.D 3,000 cash. Additional information: The company prepares the adjusting entries monthly The supplies on hand at 31/12/2020 total J.D 1,000 Instructions: 1- Prepare the journal entries for the transactions occurred on 1/12, and 5/12 2- Prepare the adjusting entries on 31/12/2020 3- Calculate the balance of the supplies account and the prepaid rent account at 31/12/2020 4- Determine the rent expense and the supplies expense that will be reported in the income statement.