Mint Cleaning Incorporated prepared the following unadjusted trial balance at the end of its second year of operations ending December 31. (Assume amounts are reported in thousands of dollars.) Account Titles Debit Credit Cash $ 47 Accounts Receivable 9 Prepaid Insurance 4 Equipment 98 Accumulated Depreciation $ 0 Accounts Payable 9 Salaries and Wages Payable 0 Income Tax Payable 0 Common Stock 94 Retained Earnings 10 Sales Revenue 99 Insurance Expense 0 Salaries and Wages Expense 19 Supplies Expense 35 Income Tax Expense 0 Totals $ 212 $ 212 Other data not yet recorded at December 31: Insurance expired during the year, $2. Depreciation expense for the year, $1. Salaries and wages payable, $4. Income tax expense, $6.
Mint Cleaning Incorporated prepared the following unadjusted
| Account Titles | Debit | Credit |
|---|---|---|
| Cash | $ 47 | |
| Accounts Receivable | 9 | |
| Prepaid Insurance | 4 | |
| Equipment | 98 | |
| $ 0 | ||
| Accounts Payable | 9 | |
| Salaries and Wages Payable | 0 | |
| Income Tax Payable | 0 | |
| Common Stock | 94 | |
| 10 | ||
| Sales Revenue | 99 | |
| Insurance Expense | 0 | |
| Salaries and Wages Expense | 19 | |
| Supplies Expense | 35 | |
| Income Tax Expense | 0 | |
| Totals | $ 212 | $ 212 |
Other data not yet recorded at December 31:
- Insurance expired during the year, $2.
- Depreciation expense for the year, $1.
- Salaries and wages payable, $4.
- Income tax expense, $6.
E4-16 (Algo) Part 1
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Prepare the
adjusting journal entries for the year ended December 31. (If no entry is required for a transaction/event, select "NoJournal Entry Required" in the first account field. Enter your answers in thousands of dollars.)
Journal Entry :— It is an act of recording transaction in books of account when transaction occurred.
Adjusting Entry :— These are journal entries that are passed at the end of accounting period to adjust the balance of expenses or revenues account.
General Rule :—
- Debit the receiver, credit the giver.
- Debit what comes in, credit what goes out.
- Debit all expenses & losses, credit all incomes & gains.
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