For each of the following separate situations, prepare the necessary adjustments (a) using the finan- cial statement effects template, and (b) in journal entry form. 1. Unrecorded depreciation on equipment is $610. 2.Onthedateforpreparingfinancialstatements,anestimatedutilitiesexpenseof$390hasbeen incurred, but no utility bill has yet been received or paid. 3.Onthefirstdayofthecurrentperiod,rentforfourperiodswaspaidandrecordedasa$2,800 debit to Prepaid Rent and a $2,800 credit to Cash. 4.Ninemonthsago,the Hartford Financial Services Group soldaone-yearpolicytoacustomer andrecordedthereceiptofthepremiumbydebitingCashfor$624andcreditingContract Liabilitiesfor$624.Noadjustingentrieshavebeenpreparedduringthenine-monthperiod. Hartford’s annual financial statements are now being prepared. 5.Attheendoftheperiod,employeewagesof$965havebeenincurredbutnotyetpaidor recorded. 6. At the end of the period, $300 of interest income has been earned but not yet received or recorded.

Principles of Accounting Volume 1
19th Edition
ISBN:9781947172685
Author:OpenStax
Publisher:OpenStax
Chapter4: The Adjustment Process
Section: Chapter Questions
Problem 11EA: Prepare adjusting journal entries, as needed, considering the account balances excerpted from the...
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 Preparing and Journalizing Adjusting Entries
For each of the following separate situations, prepare the necessary adjustments (a) using the finan-
cial statement effects template, and (b) in journal entry form.
1. Unrecorded depreciation on equipment is $610.
2.Onthedateforpreparingfinancialstatements,anestimatedutilitiesexpenseof$390hasbeen
incurred, but no utility bill has yet been received or paid.
3.Onthefirstdayofthecurrentperiod,rentforfourperiodswaspaidandrecordedasa$2,800
debit to Prepaid Rent and a $2,800 credit to Cash.
4.Ninemonthsago,the
Hartford Financial Services Group soldaone-yearpolicytoacustomer
andrecordedthereceiptofthepremiumbydebitingCashfor$624andcreditingContract
Liabilitiesfor$624.Noadjustingentrieshavebeenpreparedduringthenine-monthperiod.
Hartford’s annual financial statements are now being prepared.
5.Attheendoftheperiod,employeewagesof$965havebeenincurredbutnotyetpaidor
recorded.
6. At the end of the period, $300 of interest income has been earned but not yet received or recorded.
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ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College