8) Rent Income account has a credit balance of 240,000 composed of the following:Rental for three months ending March 31, 2020, 45000A credit of 195,000 representing advance rental payment for one year beginning April1The December 31 adjusting entry will require a debit to rent income and a credit toUnearned Rent of?A 45000B 191250C 48750D 195000

Rent per month = Advance rental month / no. of months = 195000/12 months = 16,250

Answered: 8) Rent Income account has a credit…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Metlock, Inc. lends Grouper industries $45600 on August 1, 2022, accepting a 9-month, 15% interest note. If Metlock, Inc. prepares its financial statements as of December 31, 2022, what adjusting entry must it make? Notes Receivable 2850 Interest 2850 Revenue Interest 2850 Receivable Interest 2850 Revenue Cash 2850 Interest 2850 Revenue Accounts 2850 Receivable Interest 2850 Receivable
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HANDOUT PROBLEM for CURRENT LIABILITIES I. Prepare journal entries for the following chronological transactions and a. You sold merchandise on account for $250,000 on account. The products cost $110,000. Your company uses a perpetual inventory system. Your sales included a two-year warranty on the product. spent $1,400 to repair products in part "a." which were under warranty. b. You с. On December 31, 2021, you estimated that there would be an additional $8,000 of repairs on products in part "a." You estimated that $5.000 of the repairs would occur in 2022. In 2022, you performed $4,800 of repairs on products from part "a." and $1,920 of repairs on products sold in 2022. On December 31, 2022, you estimated that repairs on products sold in 2021 d. e. would be an additional $3,500 and for products sold in 2022 would be an additional $9,000. You believe that $5,400 of the $9,000 of repairs would occur in 2023. II. Based upon the transaction above, determine the amount of current…
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