Question

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The general ledger of Jackrabbit Rentals at January 1, 2021, includes the following account balances:

Accounts	Debits				Credits
Cash	$	46,500
Accounts Receivable		30,700
Land		115,800
Accounts Payable						15,800
Notes Payable (due in 2 years)						35,000
Common Stock						105,000
Retained Earnings						37,200
Totals	$	193,000			$	193,000

The following is a summary of the transactions for the year:

1.		January		12		Provide services to customers on account, $67,400.
2.		February		25		Provide services to customers for cash, $77,800.
3.		March		19		Collect on accounts receivable, $46,200.
4.		April		30		Issue shares of common stock in exchange for $35,000 cash.
5.		June		16		Purchase supplies on account, $13,100.
6.		July		7		Pay on accounts payable, $11,800.
7.		September		30		Pay salaries for employee work in the current year, $69,200.
8.		November		22		Pay advertising for the current year, $23,000.
9.		December		30		Pay $3,400 cash dividends to stockholders.

The following information is available for the adjusting entries.

Accrued interest on the notes payable at year-end amounted to $3,000 and will be paid January 1, 2022. Accrued salaries at year-end amounted to $2,000 and will be paid on January 5, 2022. Supplies remaining on hand at the end of the year equal $2,800.

- Record all the adjusting entries

Answer 1

fx A B С D E 1 2 Adjustment Entries 3 4 Date Account Titles and Explanation Debit Credit 5 6 3,000 7 31-Dec Interest Expenses Interest Payable (To record Accrued Interest ) 3,000 8 9 10 2,000 11 31-Dec Salaries Expenses Salaries Payable ( To record Accrued Salary) 2,000 12 13 14 10,300 15 10,300 31-Dec Supplies Expense Supplies ( To record adjusted supplies ) (=13100-2800) 16 17 18 19 20 21