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Adjusting entries should be accrual and another deferral

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Reference no: EM133009048

For your initial Discussion post, describe at least two typical adjusting entries a service-type business would need to record to bring account balances up-to-date.

For your examples, one of the adjusting entries should be an accrual and another a deferral.

-What are the purposes of each of your example adjusting entries?

-Why are these adjusting entries required?

-What if the company does not record these adjusting entries? Would financial statements be accurate? Why or why not?

-Should the adjusting entries described be posted to the general ledger before preparing an adjusted trial balance? Why or why not?Beyond the explanations above, post the actual adjusting entries (with accounts, debits and credits) for each of your examples.

Reference no: EM133009048

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