# On December 31, the end of the year, the accountant for Fireside Magazine was called away suddenly because of an emergency. However, before leaving, the accountant jotted down a few notes pertaining to the adjustments. Journalize the necessary adjusting entries. Assume that Fireside Magazine uses the periodic inventory system. a–b. A physical count of inventory revealed a balance of \$199,830. The Merchandise Inventory account shows a balance of \$202,839. c. Subscriptions received in advance amounting to \$156,200 were recorded as Unearned Subscriptions. At year-end, \$103,120 has been earned. d. Depreciation of equipment for the year is \$12,300. e. The amount of expired insurance for the year is \$1,612. f. The balance of Prepaid Rent is \$2,400, representing four months’ rent. Three months’ rent has expired. g. Three days’ salaries will be unpaid at the end of the year; total weekly (five days’) salaries are \$4,000. h. As of December 31, the balance of the supplies account is \$1,800. A physical inventory of the supplies was taken, with an amount of \$920 determined to be on hand.

### College Accounting (Book Only): A ...

13th Edition
Scott + 1 other
Publisher: South-Western College Pub
ISBN: 9781337280570

### College Accounting (Book Only): A ...

13th Edition
Scott + 1 other
Publisher: South-Western College Pub
ISBN: 9781337280570

#### Solutions

Chapter
Section
Chapter 11, Problem 6E
Textbook Problem

## Expert Solution

### Want to see the full answer?

Check out a sample textbook solution.See solution

### Want to see this answer and more?

Experts are waiting 24/7 to provide step-by-step solutions in as fast as 30 minutes!*

See Solution

*Response times vary by subject and question complexity. Median response time is 34 minutes and may be longer for new subjects.