Prepare the adjusting journal entries, Accounting Basics

Prepare the Adjusting Journal Entries

The ledger of Casper Consulting at January 31, 2011 includes the following selected accounts:

Casper's accountant is inexperienced, and he would like your help in preparing the company's yearend January 31, 2011 financial statements. Casper makes adjusting entries only at year end. The accountant has provided you with the following information:

1. A one-year insurance policy costing $3,600 was purchased on January 1, 2011. At that time the full amount was debited to prepaid insurance.

2. A physical inventory count on January 31, 2011 revealed $800 in supplies were still remaining.

3. Land and building were purchased on February 1, 2010 at a cost of $160,000. The building has an expected useful life of 20 years. The purchase was financed by paying $70,000 in cash and the balance on a 2-year, 8% note payable. Interest on the note is due at maturity.

4. Unearned service revenue related to a client retainer paid on January 15, 2011. On January 31, 2011, one- quarter of this amount has been earned.

Required:

Prepare the adjusting journal entries required at January 31, 2011.

Posted Date: 2/15/2013 5:51:39 AM | Location : United States







Related Discussions:- Prepare the adjusting journal entries, Assignment Help, Ask Question on Prepare the adjusting journal entries, Get Answer, Expert's Help, Prepare the adjusting journal entries Discussions

Write discussion on Prepare the adjusting journal entries
Your posts are moderated
Related Questions
Q. Explain about Accounting period? As those interested in the activities of business need timely information companies must prepare financial statements periodically. To organ

Q. Prepare a trial balance with example? The Larry Fisher was captain of the football team at Prestige University. Afterwards he earned a master's degree in business administra

hello, i am in Malaysia and try to reconcile a bank statement in USD. I am confuse on which currency should i follow to enter the bank transactions. If follow in USD, i could not

Q. What do you mean by Not-for-profit organizations? Not-for-profit organizations such like charities, fraternities, churches, and universities need accountants to record and a

formation of partnership and changes in constitution of parternship

how we can do tds audit

State about the Reporting sales taxes collected SALES TAX PAYABLE - CREDIT BALANCE SALES RETURNS INVOLVING A SALES TAX Tax should also be returned to the customer.

Accounting Errors-Transaction Errors How would the following errors affect the account balances and the basic accounting equation, Assets = Liabilities + Owners' Equity? How do the

I AM HAVING DIFFICULTIES SOLVING ONE PARTICULAR ACCOUNTING PROBLEM