3.10 E3.10 (LO 3) (Adjusting Entries) Greco Resort opened for business on June 1 with eight air-conditioned units. Its trial balance on August 31 is as follows.Greco ResortTrial BalanceAugust 31, 2020DebitCreditCash$ 19,600Prepaid InsuranceSupplies4,5002,600Land20,000BuildingsEquipmentAccounts Payable120,00016,000$ 4,500 My MessagesOther data:1. The balance in prepaid insurance is a one-year premium paid on June 1, 2020.2. An inventory count on August 31 shows $450 of supplies on hand.3. Annual depreciation rates are buildings (4%) and equipment (10%). Salvage value is estimated to b10% of cost.4. Unearned Rent Revenue of $3,800 was earned prior to August 31.5. Salaries of $375 were unpaid at August 31.6. Rentals of $800 were due from tenants at August 31.7. The mortgage interest rate is 8% per year.Instructionsa. Journalize the adjusting entries on August 31 for the 3-month period June 1-August 31. (Omexplanations.)b. Prepare an adjusted trial balance on August 31.Exercis(Prepare Financial Statements)er 31, 2020, contains the following.The adjusted trial balance of Anderson Cooper Co.Anderson Cooper Co.Adjusted Trial BalanceDecember 31, 2020Dr.Cr.Cash$19 472

Adjusting Entries : Adjusting Entries are the Journal Entries that are made at the end of an…

E3.10 (LO 3) (Adjusting Entries) Greco Resort opened for business on June 1 with eight air- conditioned units. Its trial balance on August 31 is as follows. Greco Resort Trial Balance August 31, 2020 Debit Credit Cash $ 19,600 Prepaid Insurance Supplies 4,500 2,600 Land 20,000 Buildings Equipment Accounts Payable 120,000 16,000 $ 4,500

E3.10 (LO 3) (Adjusting Entries) Greco Resort opened for business on June 1 with eight air- conditioned units. Its trial balance on August 31 is as follows. Greco Resort Trial Balance August 31, 2020 Debit Credit Cash $ 19,600 Prepaid Insurance Supplies 4,500 2,600 Land 20,000 Buildings Equipment Accounts Payable 120,000 16,000 $ 4,500

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter3: Basic Accounting Systems: Accrual Basis

Section: Chapter Questions

Problem 3.23E: Adjustment for depreciation The estimated amount of depredation on equipment for the current year is...

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