How do prepare the adjusting entries at march

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The ledger of Crane Rental Agency on March 31 of the current year includes the selected accounts, shown below, before adjusting entries have been prepared.

                                               Debit                           Credit

Prepaid Insurance                     $ 3,600

Supplies                                     3,300

Equipment                                 18,750

Accumulated Depreciation-Equipment                           $ 8,300

Notes Payable                                                           24,000

Unearned Rent Revenue                                               10,200

Rent Revenue                                                            61,000

Interest Expense                            0

Salaries and Wages Expense      16,000

An analysis of the accounts shows the following.

Point 1: The equipment depreciates $300 per month

Point 2: One-third of the unearned rent revenue was earned during the quarter.

Point 3: Interest of $600 is accrued on the notes payable.

Point 4: Supplies on hand total $660.

Point 5: Insurance expires at the rate of $200 per month.

Question 1: How do Prepare the adjusting entries at March 31, assuming that adjusting entries are made quarterly. Additional accounts are Depreciation Expense, Insurance Expense, Interest Payable, and Supplies Expense.?

Reference no: EM132473714

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