Cambridge Company is a small editorial services company owned and operated by Da

Question

Cambridge Company is a small editorial services company owned and operated by Dave Maler. On Dec. 31,2008 the end of the current year, Cambridge Company's accounting clerk prepared the unadfusted trial balance shown at the top of the following page. The data needed to determine year-end adjustments are as follows: Unexpired insurance at Dec, 31,2,700 Supplies on hand at Dec 31,480 Depreciation of building for the year, 1,600 d. Depreciation of equipment for the year, 4,400 e. Rent unearned at Dec. 31,3,250 Accrued salaries and wages at Dec. 31,2,800 g. Fees earned but unbilled on Dec. 31,6,200 1. Journalize the adjusting entries. Add additional accounts as needed. Determine the balances of the accounts affected by the adjusting entries, and prepare an adfusted trial balance.

Explanation / Answer

(1).$

a unexpired insurance Dr2700

To Insurance expense 2700

b supplies expense Dr.$480

To supply 480

c depreciation on building Dr.$1600

To accumulated depreciation on Building 1600

d depreciation on equipment Dr.$4400

To accumulated depreciation on equipment 4400

e rent income Dr.$3250

To unearned rental income 3250

f salaries and wages Dr.2800

To accrued salaries and wages 2800

g Accounts receivable Dr.$6200

To service revenue 6200

  Adjusted trial balance

Dr. Cr.

insurance insurance    (2700)

unexpired insurance 2700

supplies expense (480)

supply 480

depreciation on building 1600

accumulated depreciation on Building 1600

depreciation on equipment 4400

accumulated depreciation on equipment 4400

rent income . (3250)

unearned rental income 3250

salaries and wages .2800

accrued salaries and wages 2800

Accounts receivable 6200

service revenue - 6200

   Total   $15000     $15000

Related Questions

Navigate

• Browse (All)
• Browse C
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.