Make the adjusted journal entries a. Becker provided$600of legal services for Biz Company on account in December.
Question:
Make the adjusted journal entries
a. Becker provided$600of legal services for Biz Company on account in December. No entry has been made for the services.
b. On November 1,2008 , Joe Criminal paid Becker$1,000for 4 months of legal services. The$1,000was placed in unearned revenue.
c. On January 1, 2008, the office supplies account had a balance of$1,000. During 2008, supplies purchased cost$500. At December 31,2008 , supplies on hand had a cost of$300
d. As of December 31, 2008, Becker employees have earned $750. They will be paid in January 2009.
e. January 1,2008 , Becker purchased a lie detector machine for$6,000. The estimated use machine is 60 months with a salvage (residual) value of 600.Having made the adjusting entry for item e, now show the balance sheet presentation of the net book value of the equipment.
f. On October 1,2008 , Becker purchased for$1,200a one-year liability insurance policy. The$1,200was placed in prepaid insurance. Fees earned but unbilled at Dec. 31,2008 are$800
Auditing and Assurance services an integrated approach
ISBN: 978-0132575959
14th Edition
Authors: Alvin a. arens, Randal j. elder, Mark s. Beasley