Accounting Cycle Review E 0-29 Your answer ls partially correct. Try again. includes the selected accounts below before adjusting entries have been prepared. Debit Credit Investment in Note Receivable Supplies Prepaid Rent Buildings Accumulated Deprecilation-Buildings Unearned Service Revenue $18,000 22,500 5,400 210,000 135,000 11,100 An analysis of the company’s accounts shows the following. I. The investment in the notes receivable earns interest at a rate of 12% per year. 2. Supplies on hand at the end of the month totaled $17,600. 3. The balance in Prepaid Rent represents 4 months of rent costs. 4. Employees were owed $2,800 related to unpaid salaries and wages. 5. Depreciation on buildings is $6,360 per year 6. During the month, the company satisfied obligations worth $4,500 related to the Unearned Services Revenue. 7. Unpaid maintenance and repairs costs were $2,100.
[SOLVED] Question & Answer: Accounting Cycle Review E 0-29 Your answer ls partially correct. Try again. includes the selected accounts below before adjusting entries
April 20th, 2022
Expert Answer
the investment in the notes receivable earns interest at a rate of 12% per year |
Adjustment Journal entries as on July 31,2017 | ||||
Transaction | Journal entries | Debit | Credit | |
1 | Interest Revenue | $180 | ||
Interest Receivable on Investment in Note Receivable | $180 | |||
2 | Supplies Expense | $4,900 | ||
Supplies | $4,900 | |||
3 | Rent Expense | $1,350 | ||
Prepaid Rent | $1,350 | |||
4 | Salaries and Wages Expense | $2,800 | ||
Salaries and Wages Payable | $2,800 | |||
5 | Depreciation Expense | $530 | ||
Accumulated depreciation – Building | $530 | |||
6 | Unearned Service Revenue | $4,500 | ||
Service Revenue | $4,500 | |||
7 | Maintenace and Repair Expenses | $2,100 | ||
Expense Payable | $2,100 |
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[SOLVED] Question & Answer: Accounting Cycle Review E 0-29 Your answer ls partially correct. Try again. includes the selected accounts below before adjusting entries
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