Journal entry for asset purchase Obj 2 Prepare a journal entry for the purchase of office supplies on March 9 for $1,775, paying $275 cash and the remainder on account.

Exercise 3. Provide the entries for the below independent transactions.1. Office supplies were purchased for cash on December 2, 2020 for P12,390. The supplies were to be used over the next several months. A physical inventory showed that P3,585 of the supplies were on hand on December 31, 2020. Show the entries for the purchase using the asset method and the expense method. What adjusting entries would be necessary on December 31 if financial statements are prepared at that time?ASSET METHOD EXPENSE METHODOffice supplies 12,390 Office supplies expense 12,390 Cash 12,390 Cash 12,390 Purchased supplies. Purchased supplies.Office supplies expense 8,805 Office supplies 3,585 Office supplies 8,805 Office supplies expense 3,585 12,390 – 3,585 Unused portion.2. Assume that rent of P57,600 was paid on September 1, 2020, to cover a one-year period from that date. Prepare the journal entries needed to record (a) the payment and (b) the adjustment as of December 31, 2020, using both the asset…

PE 3-7BAdjustment for DepreciationOBJ. 4 - Prepare adjusting entries for depreciation.EE 3-7 The estimated amount of depreciation on a building for the current year is$8,120. Journalize the adjusting entry (include an explanation) to record thedepreciation.

Journal entry for asset purchasePrepare a journal entry for the purchase of office supplies on March 9 for $1,775, paying $275 cash and the remainder on account.