Question: Please help with preparing adjusting entires A-E, charting debits before credits thank you! On April 1, Jiro Nozomi created a new travel agency, Adventure Travel.
Please help with preparing adjusting entires A-E, charting debits before credits thank you!
On April 1, Jiro Nozomi created a new travel agency, Adventure Travel. The following transactions occurred during the company's first month.
April 2 Nozomi invested $33,000 cash and computer equipment worth $30,000 in the company. April 3 The company rented furnished office space by paying $2,200 cash for the first month's (April) rent. April 4 The company purchased $1,700 of office supplies for cash. April 10 The company paid $2,800 cash for a 12-month insurance policy. Coverage begins on April 11. April 14 The company paid $1,600 cash for two weeks' salaries earned by employees. April 24 The company collected $8,000 cash for commissions revenue. April 28 The company paid $1,600 cash for two weeks' salaries earned by employees. April 29 The company paid $550 cash for minor repairs to computer equipment. April 30 The company paid $800 cash for this month's telephone bill. April 30 Nozomi withdrew $2,200 cash from the company for personal use. The company's chart of accounts follows:
101Cash 106 Accounts Receivable 124Office Supplies 128 Prepaid Insurance 167 Computer Equipment 168 Accumulated Depreciation-Computer Equipment 209 Salaries Payable 301J. Nozomi, Capital 302 J. Nozomi, Withdrawals 403 Commissions Revenue 612 Depreciation Expense-Computer Equipment 622Salaries Expense 637 Insurance Expense 640Rent Expense 650 Office Supplies Expense 684 Repairs Expense 688 Telephone Expense 901 Income Summary
Use the following information to prepare adjusting entries: a. Prepaid insurance of $156 expired this month. b. At the end of the month, $600 of office supplies are still available. c. This month's depreciation on computer equipment is $400. d. Employees earned $300 of unpaid and unrecorded salaries as of month-end. e. The company earned $2,150 of commissions revenue that is not yet recorded at month-end.
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