Using Excel

00 OWN 1 E3-5 (LO3) Adjusting Entries The ledger of Duggan Rental Agency on March 31 of the current year includes the following selected 2 accounts before adjusting entries have been prepared. 3 Debit Credit 5 Prepaid Insurance s 3,600 6 Supplies 2,800 Equipment 25,000 Accumulated Depreciation Equipment s 8,400 9 Notes Payable 20,000 10 Unearned Rent Revenue 9,300 11 Rent Revenue 60,000 12 Interest Expense 13 Salaries and Wages Expense 14,000 15 16 An analysis of the accounts shows the following. 17 1. The equipment depreciates $250 per month 18 2. One-third of the unearned rent was recognized as revenue during the quarter. 19 3. Interest of $500 is accrued on the notes payable. 20 4. Supplies on hand total $850. 21 5. Insurance expires at the rate of $300 per month. 22 23 Instructions 24 Prepare the adjusting entries at March 31, assuming that adjusting entries are made quarterly. Additional 25 accounts are Depreciation Expense, Insurance Expense, Interest Payable, and Supplies Expense. (Omit 26 explanations.) 27 28 Debit Credit 29 1 30 31 32 33 2 34 35 36 37 3 38 39 40 4 42 43 44 45 46 47 48 41 S 00