Note the standardized elements here: Debit first, credit second and indented, followed by a description. Remember every adjusting entry will have one Income Statement account and one Balance Sheet account.

Journal Date Account Debit Credit

Jan 31 Insurance Expense $2,000 $2,000

Prepaid Insurance Used one month of 6-month $12,000 pre-paid policy

Feb 15 Accounts Receivable $7,300 $ $7,300

Services for Client $10,000 prepaid in advance services completed

Feb 28 Salary Expense $17000 $17000

Salaries Payable

To recognize salaries earned being paid in March

Mar 15 Inventory $2350 $2350

Supplies

Inventory value since purchased