Reference no: EM132465528

Question 1: Journalize the necessary year-end adjusting entries based on the following account balances before adjustments.

Trial Balance (partial)December 31, 20

Account Title         Debit Credit

Cash                     12,340

Supplies                   2,100

Prepaid Insurance              1,800

Equipment                            34,000

Accumulated Depreciation-Equipment 8,000

Accounts Payable                 6,430

Wages Expense                 17,333

Insurance Expense                3,800

Problem a. The inventory of supplies on hand at December 31, 20- was $230

Problem b. The 4-month insurance premium of $1,800 was purchased on December 1, 20

Problem c. The $34,000 of equipment was purchased on January 1, two years ago. It has a salvage value of $2,000. Straight-line depreciation was used to compute depreciation at the end of last year.

Problem d. Wages accrued at December 31, 20, were $3,700.