Reference no: EM132679976

Problem - Adjusting entries - On January 31, 2012, the following data were accumulated to assist the accountant in preparing the adjusting entries for Oceanside Realty:

a. Fees accrued but unbilled at January 31 are $10,280.

b. The supplies account balance on January 31 is $6,100. The supplies on hand at January 31 are $1,300.

c. Wages accrued but not paid at January 31 are $3,000.

d. The unearned rent account balance at January 31 is $4,500, representing the receipt of an advance payment on January 1 of three months' rent from tenants.

e. Depreciation of office equipment is $1,400.

Instructions -

1. Journalize the adjusting entries required at January 31, 2012.

2. Briefly explain the difference between adjusting entries and entries that would be made to correct errors.