Given the journal entries below, make the neccessary adjusted journal entries. 1

Question

Given the journal entries below, make the neccessary adjusted journal entries.

1/15       PBP purchased a camera from Good Co. on account for $3000. The useful life is 5 years.

1/24       PBP purchased a computer for $756. The useful life is 3 years.

1/26       PBP purchased a photo printer for $1200. The useful life is 2 years.

1/26       PBP purchased photo supplies for $500.

1/31       PBP received a $300 deposit from Mr. Moy to provide photography services at his wedding on February 4

2/6         PBP delivered photos to Mr. Moy and billed Mr. Moy for the final payment of $200.

2/8         PBP paid $1000 to Good Co.

2/14       PBP provided photo services to Sweet Hearts Anonymous at the Valentines Day dance and received $250.

2/21       PBP was hired to take photos at a sports banquet to be held on March 15th. The price was $1000 plus travel expenses with a down payment of $250.

2/22       PBP purchased photos supplies for $800 from Photo Chemical Company.

2/23       PBP paid $1500 to Good Co.

2/25       PBP received a phone bill for $86

2/28       PBP paid $500 for a malpractice insurance policy for one year.

2/28       PBP sold additional photos taken at the Valentines Day Dance for $450

3/1         PBP paid a $100 deposit to rent a booth at the county fair to be held in June.

3/3         PBP received payment from Mr. Moy

3/8         PBP paid the phone bill.

3/15       PBP took photos at the sports banquet and billed the customer for the balance. The travel expenses paid by PBP were $75.

3/19       PBP paid $500 to Good Co.

3/22       PBP received a phone bill for $98

3/28       PBP received payment from Sports Banquet

3/31       PBP landed a $5000 contract to photograph the youth baseball club in April. BPB received a down payment of $2000

4/3         PBP paid the phone bill

4/5         PBP purchased a $9000 photographic copy machine from Good Company on account. The useful life is 6 years.

4/12       BPB photographed ½ of the baseball club events scheduled for April and billed YBC for $500.

4/21       BPB received a phone bill for $84

4/29       BPB paid $287 for auto repairs that occurred while photographing the remainder of the events for YBC.   BPB billed YBC for $2500 for the work performed.

5/3         BPB paid the phone bill

5/8         BPB received payment in full from YBC

5/15       BPB paid $1200 to Good Co.

5/18       BPB obtained permission to photograph the Nicetown Highschool graduation on May 28th.

5/20       BPB purchased $2500 of Photo supplies

5/28       BPB photographed the graduation and received prepaid orders for $3600 of photos.

5/29       BPB received a phone bill for $108

5/31       BPB delivered $1200 of the graduation photos.

6/3         BPB paid the phone bill

6/8         BPB paid $1000 to Good Co.

6/15       BPB participated in the County Fair with the following results:

Received prepaid orders of $5000 for photos to be delivered by the July 15th.

Sold prints of prior photos for $1400.

Paid $1500 for the rental of the booth.

Paid $491 for travel expenses.

6/21       BPB delivered the remainder of the graduation photos.

6/27       BPB received a phone bill for $211

6/28       BPB delivered $1800 of the photos for the County Fair.

Monica also has a shoebox of gas receipts that totals $782 for her business trips during the 6 months.

Monica has done an inventory count and has $118 of supplies left in the closet on June 30.

Explanation / Answer

Adjusting entries Feb-06 Account receivable Dr 200 Advance received from customer Dr 300          Revenue Cr 500 ( To record revenue on delivery of photos with advance) Mar-15 Account receivable Dr 750 Advance received from customer Dr 250          Revenue Cr 1000 ( To record revenue on photos taken on sports banquet with advance) Apr-29 Account receivable Dr 3000 Advance received from customer Dr 2000          Revenue Cr 5000 ( To record revenue on completion of baseball event with advance) May-31 Advance received from customer Dr 1200          Revenue Cr 1200 ( To record revenue on delivery of graduation photos advance) Jun-21 Advance received from customer Dr 2400          Revenue Cr 2400 ( To record revenue on delivery of balance graduation photos advance) Jun-28 Advance received from customer Dr 1800          Revenue Cr 1800 ( To record revenue on delivery of county fair photos advance) Jun-30 Supplies Expense Dr 3682         Supplies Cr 3682 ( To record supplies expenses   500+800+2500-118) Dec-31 Depriciation Dr 600           Accumulated Depriciation Cr 600 (To record depriciation for camera 3000/5) Dec-31 Depriciation Dr 231           Accumulated Depriciation Cr 231 (To record depriciation for computer 756/36*11) Dec-31 Depriciation Dr 550           Accumulated Depriciation Cr 550 (To record depriciation for photo printer 1200/24*11) Dec-31 Depriciation Dr 1350           Accumulated Depriciation Cr 1350 (To record depriciation for photographic machine 9000/60*9) Dec-31 Insurance Expenses Dr 416.6667          Prepaid Insurance Cr 416.6667 (To record insurance expense for malpractice 500/12*10)

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