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Terbish Company started operations on January 1 of the current year. It is now December 31, the end of the current fiscal year. The part-time bookkeeper needs your help to analyze the following three transactions: During the year, the company purchased office supplies that cost $1,820. At the end of the year, office supplies of $410 remained on hand.
On January 1 of the current year, the company purchased a special machine for cash at a cost of $16,610. The machine's cost is estimated to depreciate at $1,510 per year.
On July 1, the company paid cash of $920 for a one-year premium on an insurance policy on the machine; coverage begins on July 1 of the current year.
Required:
Problem 1: Complete the following schedule of the amounts that should be reported for the current year
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