A company has a fiscal year-end of December 31: (1) on October 1, $23,000 was paid for a one-year fire insurance policy; (2) on June 30 the company lent its chief financial officer $21,000; principal and interest at 7% are due in one year; and (3) equipment costing $71,000 was purchased at the beginning of the year for cash. Depreciation on the equipment is $14,200 per year. Prepare the necessary adjusting entries at December 31 for each of the above items. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 2 3 On June 30 the company lent its chief financial officer $21,000; principal and interest at 7% are due in one year. Note: Enter debits before credits. Transaction 2 Equipment General Journal Debit Credit >

A company has a fiscal year-end of December 31: (1) on October 1, $23,000 was paid for a one-year fire insurance policy; (2) on June 30 the company lent its chief financial officer $21,000; principal and interest at 7% are due in one year; and (3) equipment costing $71,000 was purchased at the beginning of the year for cash. Depreciation on the equipment is $14,200 per year. Prepare the necessary adjusting entries at December 31 for each of the above items. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 2 3 On June 30 the company lent its chief financial officer $21,000; principal and interest at 7% are due in one year. Note: Enter debits before credits. Transaction 2 Equipment General Journal Debit 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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