Garvey Company's unadjusted trial balance includes the following account balances as of December 31, 2020: Debits Credits $ 69,030 116,900 1,320 139,300 8,750 50,300 279, 200 Cash Accounts Receivable Interest Receivable Supplies Prepaid Insurance Notes Receivable (short-term) Equipment Accumulated Depreciation Accounts Payable Salaries and Wages Payable Deferred Revenue $ 64,800 104,600 21,700 9,300 Notes Payable (long-term) 87, 800 217, 200 144, 200 40,700 22,000 Common Shares Retained Earnings Service Revenue Interest Revenue Supplies Expense Repair and Maintenance Expense Rent Expense Depreciation Expense Insurance Expense Salaries and Wages Expense 26,550 17,900 3,050 Totals $712,300 $712,300 The following data are available to determine adjusting entries: A) Insurance purchased at the beginning of July for $8,750 provided coverage for twelve months (July 2020 through June 2019). The insurance coverage for July through December totaling $4,375 has now been used. B) The company estimates $8,200 in depreciation each year. C) A count showed $86.200 of supplies on hand at the end of the year. D) An additional $270 of interest has been earned but has not yet been collected on the outstanding notes receivable. E) Services in the amount of $5,650 were performed for customers who had previously paid in advance. F) Services in the amount of $2,100 were performed; these services have not yet been billed or recorded

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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There are 6 Journal entry’s 1. Record the adjusting entry for insurance expense expired during the period. 2. Record the adjusting entry for depreciation expense for the period. 3. Record the adjusting entry for supplies used during the period. 4. Record the adjusting entry for interest earned and receivable on the outstanding notes receivable for the period. 5. Record the adjusting entry for services performed, for which customers had previously paid in advance. 6. Record the adjusting entry for services performed, which are not yet billed or recorded
Garvey Company's unadjusted trial balance includes the following account balances as of December 31, 2020:
Debits
Credits
Cash
$ 69,030
116,900
1,320
139,300
8,750
50,300
279, 200
Accounts Receivable
Interest Receivable
Supplies
Prepaid Insurance
Notes Receivable (short-term)
Equipment
Accumulated Depreciation
Accounts Payable
Salaries and Wages Payable
$ 64,800
104, 600
21,700
Deferred Revenue
9,300
Notes Payable (long-term)
Common Shares
Retained Earnings
87, 800
217, 200
144, 200
Service Revenue
40,700
Interest Revenue
22,000
Supplies Expense
Repair and Maintenance Expense
Rent Expense
Depreciation Expense
Insurance Expense
Salaries and Wages Expense
26,550
17,900
3,050
Totals
$712,300
$712,300
The following data are available to determine adjusting entries:
A) Insurance purchased at the beginning of July for $8,750 provided coverage for twelve months (July 2020 through June 2019). The
insurance coverage for July through December totaling $4,375 has now been used.
B) The company estimates $8,200 in depreciation each year.
C) A count showed $86.200 of supplies on hand at the end of the year.
D) An additional $270 of interest has been earned but has not yet been collected on the outstanding notes receivable.
E) Services in the amount of $5,650 were performed for customers who had previously paid in advance.
F) Services in the amount of $2,100 were performed; these services have not yet been billed or recorded.
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Transcribed Image Text:Garvey Company's unadjusted trial balance includes the following account balances as of December 31, 2020: Debits Credits Cash $ 69,030 116,900 1,320 139,300 8,750 50,300 279, 200 Accounts Receivable Interest Receivable Supplies Prepaid Insurance Notes Receivable (short-term) Equipment Accumulated Depreciation Accounts Payable Salaries and Wages Payable $ 64,800 104, 600 21,700 Deferred Revenue 9,300 Notes Payable (long-term) Common Shares Retained Earnings 87, 800 217, 200 144, 200 Service Revenue 40,700 Interest Revenue 22,000 Supplies Expense Repair and Maintenance Expense Rent Expense Depreciation Expense Insurance Expense Salaries and Wages Expense 26,550 17,900 3,050 Totals $712,300 $712,300 The following data are available to determine adjusting entries: A) Insurance purchased at the beginning of July for $8,750 provided coverage for twelve months (July 2020 through June 2019). The insurance coverage for July through December totaling $4,375 has now been used. B) The company estimates $8,200 in depreciation each year. C) A count showed $86.200 of supplies on hand at the end of the year. D) An additional $270 of interest has been earned but has not yet been collected on the outstanding notes receivable. E) Services in the amount of $5,650 were performed for customers who had previously paid in advance. F) Services in the amount of $2,100 were performed; these services have not yet been billed or recorded. K Prev 3 of 50 Next >
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