Try another version of these questions Question 1 On November 1, MVP Sportswear prepaid six months of rent, $3,480: Record the journal entry for the payment on November 1. Record the adjusting entry required at November 30. JournalDateDescriptionDebitCreditNovember 1 Accounts ReceivableCashPrepaid RentRent ExpenseSalaries ExpenseSalaries PayableService RevenueSubscription RevenueUnearned RevenueNovember 1 Accounts ReceivableCashPrepaid RentRent ExpenseSalaries ExpenseSalaries PayableService RevenueSubscription RevenueUnearned Revenue November 30 Accounts ReceivableCashPrepaid RentRent ExpenseSalaries ExpenseSalaries PayableService RevenueSubscription RevenueUnearned RevenueNovember 30 Accounts ReceivableCashPrepaid RentRent ExpenseSalaries ExpenseSalaries PayableService RevenueSubscription RevenueUnearned Revenue JournalDateDescriptionDebitCreditNovember 1Prepaid Rent3,480November 1 Cash3,480 November 30Rent Expense580November 30 Prepaid Rent580 Question 2 Consider the following independent situations at December 31: On July 1, a business collected $6,520 rent in advance, debiting Cash and crediting Unearned Revenue. The tenant was paying one year's rent in advance. On December 31, the business must account for the amount of rent it has earned. Salaries expense is $1,380 per day—Monday through Friday—and the business pays employees each Friday. This year, December 31 falls on a Thursday. The unadjusted balance of the Office Supplies account is $2,420 Office supplies on hand total $1,640. Equipment depreciation was $210. On October 1, when the business prepaid $5,960 for a two-year insurance policy, the business debited Prepaid Insurance and credited Cash. Journalize the adjusting entry needed on December 31 for each situation. JournalDateDescriptionDebitCreditDecember 31 Accounts PayableAccounts ReceivableAccumulated Depr. - Equip.CashDepreciation ExpenseInsurance ExpenseOffice SuppliesOffice Supplies ExpensePrepaid InsuranceRent RevenueSalaries ExpenseSalaries PayableUnearned RevenueDecember 31 Accounts PayableAccounts ReceivableAccumulated Depr. - Equip.CashDepreciation ExpenseInsurance ExpenseOffice SuppliesOffice Supplies ExpensePrepaid InsuranceRent RevenueSalaries ExpenseSalaries PayableUnearned Revenue December 31 Accounts PayableAccounts ReceivableAccumulated Depr. - Equip.CashDepreciation ExpenseInsurance ExpenseOffice SuppliesOffice Supplies ExpensePrepaid InsuranceRent RevenueSalaries ExpenseSalaries PayableUnearned RevenueDecember 31 Accounts PayableAccounts ReceivableAccumulated Depr. - Equip.CashDepreciation ExpenseInsurance ExpenseOffice SuppliesOffice Supplies ExpensePrepaid InsuranceRent RevenueSalaries ExpenseSalaries PayableUnearned Revenue December 31 Accounts PayableAccounts ReceivableAccumulated Depr. - Equip.CashDepreciation ExpenseInsurance ExpenseOffice SuppliesOffice Supplies ExpensePrepaid InsuranceRent RevenueSalaries ExpenseSalaries PayableUnearned RevenueDecember 31 Accounts PayableAccounts ReceivableAccumulated Depr. - Equip.CashDepreciation ExpenseInsurance ExpenseOffice SuppliesOffice Supplies ExpensePrepaid InsuranceRent RevenueSalaries ExpenseSalaries PayableUnearned Revenue December 31 Accounts PayableAccounts ReceivableAccumulated Depr. - Equip.CashDepreciation ExpenseInsurance ExpenseOffice SuppliesOffice Supplies ExpensePrepaid InsuranceRent RevenueSalaries ExpenseSalaries PayableUnearned RevenueDecember 31 Accounts PayableAccounts ReceivableAccumulated Depr. - Equip.CashDepreciation ExpenseInsurance ExpenseOffice SuppliesOffice Supplies ExpensePrepaid InsuranceRent RevenueSalaries ExpenseSalaries PayableUnearned Revenue December 31 Accounts PayableAccounts ReceivableAccumulated Depr. - Equip.CashDepreciation ExpenseInsurance ExpenseOffice SuppliesOffice Supplies ExpensePrepaid InsuranceRent RevenueSalaries ExpenseSalaries PayableUnearned RevenueDecember 31 Accounts PayableAccounts ReceivableAccumulated Depr. - Equip.CashDepreciation ExpenseInsurance ExpenseOffice SuppliesOffice Supplies ExpensePrepaid InsuranceRent RevenueSalaries ExpenseSalaries PayableUnearned Revenue JournalDateDescriptionDebitCreditDecember 31Unearned Revenue3,260December 31 Rent Revenue3,260 December 31Salaries Expense5,520December 31 Salaries Payable5,520 December 31Office Supplies Expense780December 31 Office Supplies780 December 31Depreciation Expense210December 31 Accumulated Depr. - Equip.210 December 31Insurance Expense745December 31 Prepaid Insurance745
Try another version of these questions
On November 1, MVP Sportswear prepaid six months of rent, $3,480:
JournalDateDescriptionDebitCreditNovember 1 Accounts ReceivableCashPrepaid RentRent ExpenseSalaries ExpenseSalaries PayableService RevenueSubscription RevenueUnearned RevenueNovember 1 Accounts ReceivableCashPrepaid RentRent ExpenseSalaries ExpenseSalaries PayableService RevenueSubscription RevenueUnearned Revenue November 30 Accounts ReceivableCashPrepaid RentRent ExpenseSalaries ExpenseSalaries PayableService RevenueSubscription RevenueUnearned RevenueNovember 30 Accounts ReceivableCashPrepaid RentRent ExpenseSalaries ExpenseSalaries PayableService RevenueSubscription RevenueUnearned Revenue
Consider the following independent situations at December 31:
Journalize the adjusting entry needed on December 31 for each situation.
JournalDateDescriptionDebitCreditDecember 31 Accounts PayableAccounts ReceivableAccumulated Depr. - Equip.CashDepreciation ExpenseInsurance ExpenseOffice SuppliesOffice Supplies ExpensePrepaid InsuranceRent RevenueSalaries ExpenseSalaries PayableUnearned RevenueDecember 31 Accounts PayableAccounts ReceivableAccumulated Depr. - Equip.CashDepreciation ExpenseInsurance ExpenseOffice SuppliesOffice Supplies ExpensePrepaid InsuranceRent RevenueSalaries ExpenseSalaries PayableUnearned Revenue December 31 Accounts PayableAccounts ReceivableAccumulated Depr. - Equip.CashDepreciation ExpenseInsurance ExpenseOffice SuppliesOffice Supplies ExpensePrepaid InsuranceRent RevenueSalaries ExpenseSalaries PayableUnearned RevenueDecember 31 Accounts PayableAccounts ReceivableAccumulated Depr. - Equip.CashDepreciation ExpenseInsurance ExpenseOffice SuppliesOffice Supplies ExpensePrepaid InsuranceRent RevenueSalaries ExpenseSalaries PayableUnearned Revenue December 31 Accounts PayableAccounts ReceivableAccumulated Depr. - Equip.CashDepreciation ExpenseInsurance ExpenseOffice SuppliesOffice Supplies ExpensePrepaid InsuranceRent RevenueSalaries ExpenseSalaries PayableUnearned RevenueDecember 31 Accounts PayableAccounts ReceivableAccumulated Depr. - Equip.CashDepreciation ExpenseInsurance ExpenseOffice SuppliesOffice Supplies ExpensePrepaid InsuranceRent RevenueSalaries ExpenseSalaries PayableUnearned Revenue December 31 Accounts PayableAccounts ReceivableAccumulated Depr. - Equip.CashDepreciation ExpenseInsurance ExpenseOffice SuppliesOffice Supplies ExpensePrepaid InsuranceRent RevenueSalaries ExpenseSalaries PayableUnearned RevenueDecember 31 Accounts PayableAccounts ReceivableAccumulated Depr. - Equip.CashDepreciation ExpenseInsurance ExpenseOffice SuppliesOffice Supplies ExpensePrepaid InsuranceRent RevenueSalaries ExpenseSalaries PayableUnearned Revenue December 31 Accounts PayableAccounts ReceivableAccumulated Depr. - Equip.CashDepreciation ExpenseInsurance ExpenseOffice SuppliesOffice Supplies ExpensePrepaid InsuranceRent RevenueSalaries ExpenseSalaries PayableUnearned RevenueDecember 31 Accounts PayableAccounts ReceivableAccumulated Depr. - Equip.CashDepreciation ExpenseInsurance ExpenseOffice SuppliesOffice Supplies ExpensePrepaid InsuranceRent RevenueSalaries ExpenseSalaries PayableUnearned Revenue