The unadjusted trial balances for the month of January as follows:

Cash	363,600
Accounts receivable	208,500
Inventory	83,000
Prepaid rent (Adjustment #1)	15,000
Delivery truck (Adjustment #2)	41,000
Accumulated depreciation		-
Accounts payable		59,800
Wages Payable (Adjustment #3)		7,000
Income tax payable (Adjustment #4)		-
Unearned revenue (Adjustment #5)		14,000
Common shares		478,000
Retained earnings		-
Sales revenue		381,000
Service revenue		18,000
Cost of goods sold	216,000
Wages expense	25,000
Rent expense	-
Depreciation expense	-
Income tax expense	-
Dividends declared	5,700	??????????
Totals	957,800	957,800

Record the adjusting journal entries for the month if the following happens:

1-Rent was prepaid for the period of January to December. One month has now been used.

2-The delivery truck is anticipated to last 10 years and have a residual value of $4,000.

Answer rating: 100% (QA)

To record the adjusting journal entries for the given scenarios we need to consider the adjustments ... View the full answer