art III Adjusting Entries (10 Points) Prepare the necessary adjusting entries at
ID: 2332137 • Letter: A
Question
art III Adjusting Entries (10 Points) Prepare the necessary adjusting entries at December 31, 2017, for the Spiceland Company for each of the following situations. Assume that no financial statements were prepared during the year and no adjusting entries have been made to date. 1) Advance payments for services of $100,000 were received during the year and the Uneaned Revenue account was credited for that amount. The balance in the Unearned Rent account was still $100,000 at year-end. By the end of the year, $81,000 had been earned. OR Services unearned Revinue loor 6l000 2) The Office Supplies account has a debit balance before adjustment of $5,000 at December 31, 2017. The office supplies purchased during 2017 amounted to $29,000, this amount was debited to the Office Supplies Expense account. At December 31, 2017, it was determined by a physical count that the office supplies on hand were $1,000. 100645006-29000 Office Supples 22 Office Spp Supplie 22 (000Explanation / Answer
Adjusting entry :
Date account and explanation debit credit Unearned rent revenue 81000 Rent revenue 81000 (To record rent earned) Office supplies expense (5000+29000-1000)-29000 4000 Office supplies 4000 (To record office supplies expense)Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.