Reference no: EM13790340
Prepare adjusting entries for the year ended December 31, 2013, based on the following data:
i. A 2-year insurance policy costing $3,000 was purchased on September 30, 2013.
ii. Employee salaries are owed for 3 days of a regular 5-day work week. Weekly payroll, $8,000.
iii. The balance in Supplies before adjustment is $1,600. A physical count reveals $350 of supplies on hand on December 31, 2013.
iv. Equipment was purchased at the beginning of the year for $20,000. The equipment has a useful life of 4 years and no salvage value.
v. Unearned Service Revenue has a balance of $4,200 before adjustment. Records show that $2,725 of that amount has been earned by December 31, 2013.
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: Prepare adjusting entries for the year ended December 31, 2013, Employee salaries are owed for 3 days of a regular 5-day work week. Weekly payroll, $8,000. The balance in Supplies before adjustment is $1,600. A physical count reveals $350 of supplies..
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