Financial Accounting, Student Value Edition (4th Edition)
4th Edition
ISBN: 9780134114811
Author: Robert Kemp, Jeffrey Waybright
Publisher: PEARSON
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Textbook Question
Chapter 3, Problem 18AE
Common adjusting
Journalize the adjusting entry needed at October 31, the fiscal year-end, for each of the following independent situations. No other
- a. On August 1, $3,600 rent was collected in advance. Cash was debited and Unearned Rent Revenue was credited. The tenant was paying six months' rent in advance.
- b. The business holds a $30,000 note receivable. Interest revenue of $435 has been earned on the note but not yet received.
- c. Salaries expense is $2,300 per day, Monday through Friday, and the business pays employees each Friday. This year, October 31 falls on a Tuesday.
- d. The unadjusted balance of the Supplies account is $845. Supplies on hand total $165.
- e. Equipment was purchased two years ago at a cost of $15,000. The equipment's useful life is four years.
- f. On April 1, when $1,440 was paid for a one-year insurance policy, Prepaid Insurance was debited and Cash was credited.
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Task 8: (Individual/Pair/Group Work)
Snoopy enterprises provides collection services to its customers. year-end adjusting journal entries
are prepared every Dec. 31 as its books are closed. make the appropriate adjusting entry for each of
the ff items:
1. Uncollectible accounts at year-end is estimated to be P6,950.
2. Rent paid last April amounted to P400, 000, one fourth of which has already expired. This
was initially recorded as prepaid rent upon payment.
3. Depreciation expense for its transportation equipment, P6,780
4. Supplies purchased during the year amounted to P4,290, of which one- third has been used
during the year.
5. Unpaid salaries of its cleaners as of December 31 is P7,460.
6. Unearned interest has a balance of P3,120, of which P2,560 has already been
earned during the year. the amount was initially credited to unearned interest
upon collection
Preparing the Adjusting Entries at Year-End
On Nov. 30, 2019, the end of fiscal year, the following information is available to enable
Chapter 6: Adjusting the Accounts 6-39
NAME:
SCORE:
SECTION:
PROFESSOR:
Problem #4
you
to prepare Edgar Detoya Research and Development adjusting entries:
The Supplies account showed a beginning balance of P21,740. Purchases during the
tear were P45,260. The ending inventory revealed supplies on hand of P 13,970.
The Prepaid Insurance account showed the following on November 30:
Beginning balance
July 1
P35,800
42,000
72,720
October 1
The beginning balance represented .the unexpired portion of a one-year policy
nurchased in September 2018. The July 1 entry represented a new one-year policy, and
the Oct. 1 entry is additional coverage in the form of a three-year policy.
C The following table contains the cost and annual depreciation for buildings and
equipment, all of which the entity purchased before the current year:
Account
Cost
Annual Depreciation…
Learning Objective 3: Purchase inventory, accrue interest, and pay a short-termnote) On August 1, 2019, The Shoppes at Mill Lake, Inc., purchased inventory costing $40,000by signing a 6%, six-month, short-term note payable. The company will pay the entire note(principal and interest) on the note’s maturity date.Requirements1. Journalize the company’s purchase of inventory.2. Make the adjusting entry for accrual of interest on the note payable on December 31, 2019.3. At December 31, 2019, what is reported on the balance sheet related to this note payable?4. Record the payment of the note payable (principal and interest) on its maturity date
Chapter 3 Solutions
Financial Accounting, Student Value Edition (4th Edition)
Ch. 3 - If XYZ Consulting performs a consulting service,...Ch. 3 - Prob. 2DQCh. 3 - Prob. 3DQCh. 3 - Prob. 4DQCh. 3 - Prob. 5DQCh. 3 - Prob. 6DQCh. 3 - Prob. 7DQCh. 3 - Prob. 8DQCh. 3 - What kind of account is accumulated depreciation?...Ch. 3 - Prob. 10DQ
Ch. 3 - Prob. 1SCCh. 3 - Adjusting the accounts is the process of a....Ch. 3 - Which of the following terms describes the types...Ch. 3 - Assume the weekly payroll of ASR, Inc., is 4,500....Ch. 3 - Prob. 5SCCh. 3 - Prob. 6SCCh. 3 - Prob. 7SCCh. 3 - What do closing entries accomplish? a. Bring the...Ch. 3 - Prob. 9SCCh. 3 - Which correctly represents the flow of information...Ch. 3 - Prob. 11SCCh. 3 - Prob. 12SCCh. 3 - Prob. 1SECh. 3 - Prob. 2SECh. 3 - Prob. 3SECh. 3 - Adjusting journal entryprepaid rent (Learning...Ch. 3 - Prob. 5SECh. 3 - Prob. 6SECh. 3 - Prob. 7SECh. 3 - Adjusting journal entrysalaries, accrued revenue,...Ch. 3 - Prob. 9SECh. 3 - Closing entries (Learning Objective 4) 5-10 min....Ch. 3 - Prob. 11SECh. 3 - Prob. 12SECh. 3 - Prob. 13SECh. 3 - Exercises (Group A) E3-14A. Adjusting journal...Ch. 3 - Adjusting journal entry-prepaid insurance...Ch. 3 - Common adjusting journal entries (Learning...Ch. 3 - Prob. 17AECh. 3 - Common adjusting journal entries (Learning...Ch. 3 - Prob. 19AECh. 3 - Prob. 20AECh. 3 - Prob. 21AECh. 3 - Prob. 22AECh. 3 - Prob. 23AECh. 3 - Prob. 24AECh. 3 - Prob. 25AECh. 3 - Prob. 26AECh. 3 - Prob. 27AECh. 3 - Prob. 28BECh. 3 - Prob. 29BECh. 3 - Prob. 30BECh. 3 - Analyzing errors (Learning Objective 2) 10-15 min....Ch. 3 - Common adjusting journal entries (Learning...Ch. 3 - Prob. 33BECh. 3 - Prob. 34BECh. 3 - Prob. 35BECh. 3 - Prob. 36BECh. 3 - Prob. 37BECh. 3 - Prob. 38BECh. 3 - Prob. 39BECh. 3 - Prob. 40BECh. 3 - Prob. 41BECh. 3 - Problems (Group A) Common adjusting journal...Ch. 3 - Prob. 43APCh. 3 - Prob. 44APCh. 3 - Prob. 45APCh. 3 - Prob. 46APCh. 3 - Prob. 47APCh. 3 - Problems (Group B) Common adjusting journal...Ch. 3 - Prob. 49BPCh. 3 - Prob. 50BPCh. 3 - Effects of adjusting journal entries on income...Ch. 3 - Prob. 52BPCh. 3 - Prob. 53BPCh. 3 - Prob. 1CECh. 3 - Prob. 1CPCh. 3 - Prob. 1CFSAPCh. 3 - Prob. 1EIACh. 3 - Case 2. Brent Robertson and his banker were...Ch. 3 - Prob. 1FACh. 3 - Prob. 1IACh. 3 - Prob. 1SBACh. 3 - Written Communication You have received a letter...Ch. 3 - Prob. 1COP
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