The following additional information is available at the December 31 2020 year end. A) insurance expense represent a 3 year insurance policy for the period from Jan 1 2020 to Dec 31 2022.B) a count of office supplies reveals that at Dec 31 2020, the company had $500 of offiice supplies on hand.C) the company's lease, signed on Jan 1 2020, specifies monthly rent of $4,000 or $48,000 a year.D) The December 2020 utility bill has not yet been received and is not included in the trial balance. The utility bill averages $400 a month.Using the information above, find the balances in the following account balances, after adjustment at dec31 2020: prepaid insuranceOffice supplies expensePrepaid rent Utilities expense Required informationThe partial unadjusted trial balance of Erif Corporation at December 31, 2020 follows.All accounts have normal balances.Insurance ExpenseOffice SuppliesRent ExpenseUtilities Expense36,0006.20044.0003.850The following additional information is available at the December 31, 2020 year end:a. Insurance expense represents a 3-year insurance policy for the period fromJanuary 1, 2020 to December 31, 2022, b. A count of office supplies reveals that atDecember 31, 2020 the company had $500 of office supplies on hand. c. Thecompany's lease, signed on January 1, 2020 specifies monthly rent of $4,000, or$48,000 a year. d. The December 2020 utility bill has not yet been received and isnot included in the trial balance. The utility bil averages $400 a month. Required -Using the information above, find the balances in the following account balances,after adjustment, at December 31, 2020:Prepaid Insurance

The expenses and revenue are adjusted on the basis of the period in which they are incurred.

Answered: The following additional information is…

Century 21 Accounting Multicolumn Journal

11th Edition

ISBN:9781337679503

Author:Gilbertson

Publisher:Gilbertson

Chapter22: End-of-fiscal-period Work For A Corporation

Section: Chapter Questions

Problem 1AP

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The following additional information is available at the December 31 2020 year end. A) insurance expense represent a 3 year insurance policy for the period from Jan 1 2020 to Dec 31 2022. B) a count of office supplies reveals that at Dec 31 2020, the company had $500 of offiice supplies on hand. C) the company's lease, signed on Jan 1 2020, specifies monthly rent of $4,000 or $48,000 a year. D) The December 2020 utility bill has not yet been received and is not included in the trial balance. The utility bill averages $400 a month. Using the information above, find the balances in the following account balances, after adjustment at dec31 2020: prepaid insurance Office supplies expense Prepaid rent Utilities expense