WileyPLUS Assignment: Financial Accounting: Tools For Business Decision Making, Ch. 5 - Learning Activity - Week3 - ACC/290 - eCampus

• • Hi class,

    I feel you are all grasping the concept of adjusting entries and why they are needed. Let's take the objective we have learned and put it into practice so we understand the accounts that are impacted. I have listed some transactions that need to be recorded as adjusting entries at year end. Please pick one and show us what the adjusting entry will be, the reversing entry (if necessary), and the entry thatwill bemade when thetransactionactually occurs (if necessary).If no further transactions are needed once the adjusting entry is made, please identify the reasoning. 1) The trial balance shows supplies on hand for $900. An inventory of actual supplies shows we only have $500. 2) Company X's pay period ends at the end of the month, however employees do not get paid until the 1st. Total payroll was $20,000. 3) A self storage facility collected $400 in rents at the end of June for July rentals. 4) Depreciation for the month is $300 but has not been recorded.