[The following information applies to the questions displayed below.] Rogers Com

Question

[The following information applies to the questions displayed below.]

Rogers Company completed the following transactions during 2014. The annual accounting period ends December 31, 2014.

Purchased merchandise for resale on account at an invoice cost of $14,830; assume a periodic inventory system.

Borrowed $30,000 from National Bank for general use; executed a 12-month, 13 percent interest-bearing note payable.

Rented a small office in a building owned by the company and collected six months’ rent in advance amounting to $9,000. (Record the collection in a way that will not require an adjusting entry at year-end.)

Received a $200 deposit from a customer as a guarantee to return a large trailer “borrowed” for 30 days.

Determined wages of $9,900 earned but not yet paid on December 31 (disregard payroll taxes).

Prepare the adjusting entry required on December 31, 2014. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Do not round your intermediate calculations.)

Rogers Company completed the following transactions during 2014. The annual accounting period ends December 31, 2014.

Explanation / Answer

Date Account title Debit credit jan 8 Purchase 14830 Accounts payable 14830 jan 17 Accounts payable 14830 cash 14830 apr 1 cash 30000 Note payable 30000 june 3 Purchase 17420 Accounts payable 17420 july 5 Accounts payable 17420 cash 17420 Aug 1 Cash 9000 Rent revenue     [9000*5/6] 7500 Unearned rent revenue   [9000*1/6] 1500 dec 20 cash 200 Deposit payable 200 dec 20 Wage expense 9900 Wages payable 9900 dec31 Interest expense 2925 Interest payable 2925 [interest accrued 30000*.13*9/12]

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