Question

Exercise 293 Prepa r for the amounts) e for foowing transactions Crea t es are autom Wythe de 1. Unrecorded interest accrued on savings bonds is $304 2. Property taxes incurred but not pad or recorded amount to $752 3. Uneamed service revenue of 53,60 was collected in a ver and was named 4 Pregardi n ce had a $705 debit balance prior to adjustment. By year and, 60 percent was still need 5. Salaries incurred by year and t o recorded more Accedi

Answer 1

Adjusting Entries:

Credit Debit $384 No. Account title and Explanation 1 Interest receivable Interest revenue [To record accrued interet revenue) $384 $752 2 Property taxes expense Property taxes payable [To record accrued property tax expense] $752 $3,102 3 Unearned service revenue (3,760-658] Sevice revenue To record revenue earned from unearned] $3,102 $282 4 Insurance expense ($705 x 40% expired] Prepaid insurance [To record insurance expense] $282 $611 5 Salaries expense Salaries payable [To record accrued salaries expense] $611