Chapter 3 Homework 1 
AssignmentPrint View
4
t .
Page1 of26
it11'","
i. Oepreciation for 2011is computed to be $1O,OOO. on the company's equipment beforeadjusting
b. The PrepaidInsurance accounthad a $6,000debitbalanceat December31,2011, for the costsof any expiredcoverage.
An analysisof the company'sinsurancepoliciesshowedthat insurance coverageremains.
$720of unexpired
c. The OfficeSuppliesaccounthad a $570debitbalanceon December31,2010; and $2,680of office supplieswere purchasedduringthe year.The December31,2011,physicalcountshowed$673of supplies available. thisperiod. d. One-fifth of the workrelatedto $10,000of cashreceivedin advancewas performed
e. The PrepaidInsurance accounthad a $5,100debitbalanceat December31,2011,beforeadjusting for the costs of any expiredcoverage.An analysisof insurancepoliciesshowedthat $4,380of coveragehadexpired. f. Wageexpensesof $6,000havebeenincurredbutare not paidas of December31,2011.
Prepareadjustingjournalentriesfor the year ended(dateof) December31,2011,for eachof the
Assumethat prepaidexpensesare initiallyrecordedin assetaccounts. aboveseparatesituations. (Omitthe "$"
Alsoassumethatfeescollectedin advanceof workare initiallyrecordedas liabilities. sign in your response.)
Credit
Debit
10,000
GeneralJournal
a.
ry
10,000
depreciation-equipment
L_l
lAccumulated
f*fftr
b.
f*?52 f ;
d.
**]ffi
e.
,FZt
,rooo
r-*zaoa-
f*ffiHfl
T-"360-
l"l
f
opdil
{-*T?gil
Explanation:
= ($6,000-$720) = $5,280
b. PrepaidInsurance
c. OfficeSupplies= ($570+ $2,680- $673)= $2,577
= ($10,000 x 'l15)= $2,000
d. FeeRevenue
Notes:
PrepaidInsurance
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02106112
AssienmentPrint View
Beg.Bal.
Page2of26
::::::.::
6,000
Used
End.Bal.
Beg.Bal.
Purch.
Used
End,Baf,
673
ViewHint#1
Worksheet
Difficulty:
Medium
LearningObjective:03-Pl Prepare andexplainadjusting entries.
award:
t
L .
1opoints
a. On April1, the companyretainedan attorneyfor a flatmonthlyfee of $3,000.Thisamountis pJiO monthin whichit was
4
t .
Page1 of26
it11'","
i. Oepreciation for 2011is computed to be $1O,OOO. on the company's equipment beforeadjusting
b. The PrepaidInsurance accounthad a $6,000debitbalanceat December31,2011, for the costsof any expiredcoverage.
An analysisof the company'sinsurancepoliciesshowedthat insurance coverageremains.
$720of unexpired
c. The OfficeSuppliesaccounthad a $570debitbalanceon December31,2010; and $2,680of office supplieswere purchasedduringthe year.The December31,2011,physicalcountshowed$673of supplies available. thisperiod. d. One-fifth of the workrelatedto $10,000of cashreceivedin advancewas performed
e. The PrepaidInsurance accounthad a $5,100debitbalanceat December31,2011,beforeadjusting for the costs of any expiredcoverage.An analysisof insurancepoliciesshowedthat $4,380of coveragehadexpired. f. Wageexpensesof $6,000havebeenincurredbutare not paidas of December31,2011.
Prepareadjustingjournalentriesfor the year ended(dateof) December31,2011,for eachof the
Assumethat prepaidexpensesare initiallyrecordedin assetaccounts. aboveseparatesituations. (Omitthe "$"
Alsoassumethatfeescollectedin advanceof workare initiallyrecordedas liabilities. sign in your response.)
Credit
Debit
10,000
GeneralJournal
a.
ry
10,000
depreciation-equipment
L_l
lAccumulated
f*fftr
b.
f*?52 f ;
d.
**]ffi
e.
,FZt
,rooo
r-*zaoa-
f*ffiHfl
T-"360-
l"l
f
opdil
{-*T?gil
Explanation:
= ($6,000-$720) = $5,280
b. PrepaidInsurance
c. OfficeSupplies= ($570+ $2,680- $673)= $2,577
= ($10,000 x 'l15)= $2,000
d. FeeRevenue
Notes:
PrepaidInsurance
http:II ezto.mhhm.mcgraw-hill.com/hm_accounting.tpx
02106112
AssienmentPrint View
Beg.Bal.
Page2of26
::::::.::
6,000
Used
End.Bal.
Beg.Bal.
Purch.
Used
End,Baf,
673
ViewHint#1
Worksheet
Difficulty:
Medium
LearningObjective:03-Pl Prepare andexplainadjusting entries.
award:
t
L .
1opoints
a. On April1, the companyretainedan attorneyfor a flatmonthlyfee of $3,000.Thisamountis pJiO monthin whichit was