Joey Advertising Adjusting Journal Entries of December 1

1.
Dr Cr
Unearned Advertising Income 225,000

      Advertising Income 225,000

To record the advertising income not yet earned.
810,000
× 2.5 months=225,000
9 months

2.
Dr Cr
Subscription Expense 2,700

     Prepaid Subscription 2,700

To record the expired subscription
12,960
×5=2,700
24

3.

Dr Cr
Supplies Expense 6,300

     Supplies 6,300
To record supplies used during the year.

4.
 Dr Cr
Depreciation Expense-Equipment 50,000
        Accumulated Depreciation-Equipment 50,000
To record depreciation expense for the equipment.

5.
Dr Cr
Utilities Expense 3,123
             Utilities Payable 3,123
To record unpaid utilities.

6.

Dr Cr

Rent Expense 35,000

        Prepaid Rent 35,000

To record the expired rent.

30,000
× 7=35,000
6 months

7.

Dr Cr
Interest Receivable 7,200
        Interest Income 7,200
To record interest income earned.
120,000 x 0.12 = 14,400 x 0.5

8.
Dr Cr
Unearned Rent 132,000
        Rent Income 132,000
To record rent income earned.
396,000
× 4=132,000
12
9.

Dr Cr
Unearned Rent 640,000
        Rent Income 640,000
To record rent income earned.

10.

Dr Cr
Doubtful Accounts Expense 10,650
        Doubtful Accounts 10,650
To record estimated doubtful accounts.
355,000 x 0.03 = 10,650

11.

Dr Cr
Depreciation Expense- Building 583,333.33
        Accumulated Depreciation-building 583,333.33
To record the accumulated depreciation of
the building.