Consider each of the following independent cases and

prepare the #891

Consider each of the following independent cases and prepare the adjusting journal entry at
year- end. 1. On June 30, 2014, Able Ltd. paid $ 18,000 for a two- year insurance policy.
Insurance coverage started on July 1, 2014. The company’s bookkeeper debited insurance
expense and credited cash, $ 18,000. Able’s fiscal year ends on January 31, 205. 2. On August
1, 2014, Landlord Inc. received $ 6,400 from a tenant representing payment of rent in advance
for eight months (including August). Landlord’s bookkeeper debited cash and credited rent
expense for $ 6,400. Landlord’s fiscal year ends on December 31, 2014. 3. The accountant for
Jung Corp. computed the income tax expense for the year 2014 to be $ 12,200. Before
recording the journal entry, she noticed that the unadjusted trial balance at December 31, 2014
(the company’s fiscal year- end), included prepaid income taxes of $ 3,400 and a zero balance
for income tax expense. 4. On June 1, 2015, the supplies inventory account for Katz Ltd.
showed a debit balance of $ 4,400. During June 2015, miscellaneous supplies totalling $ 1,800
were purchased on account and recorded as follows:A physical count of supplies available at
June 30, 2015, showed that $ 2,600 of supplies were still on hand. Katz’s fiscal year ends on
June 30, 2015.View Solution:
Consider each of the following independent cases and prepare the

ANSWER
http://paperinstant.com/downloads/consider-each-of-the-following-independent-cases-and-
prepare-the/

1/1
Powered by TCPDF (www.tcpdf.org)