Marigold Corp., opened an incorporated dental practice on January 1, 2022. During the first month of operations, the following transactions occurred. 1.   Performed services for patients who had dental plan insurance. At January 31, $890 of such services was completed but not yet billed to the insurance companies. 2.   Utility expenses incurred but not paid prior to January 31 totaled $670. 3.   Purchased dental equipment on January 1 for $85,500, paying $29,250 in cash and signing a $56,250, 3-year note payable (interest is paid each December 31). The equipment depreciates $620 per month. Interest is $470 per month. 4.   Purchased a 1-year malpractice insurance policy on January 1 for $24,000. 5.   Purchased $2,650 of dental supplies (recorded as increase to Supplies). On January 31, determined that $680 of supplies were on hand. Prepare the adjusting entries on January 31. Account titles are Accumulated Depreciation—Equipment, Depreciation Expense, Service Revenue, Accounts Receivable, Insurance Expense, Interest Expense, Interest Payable, Prepaid Insurance, Supplies, Supplies Expense, Utilities Expense, and Accounts Payable. No. Date Account Titles and Explanation Debit Credit 1. Jan. 31 enter an account title to record the first transaction Enter a debit amount Enter a credit amount     enter an account title to record the first transaction Enter a debit amount Enter a credit amount 2. Jan. 31 enter an account title to record the second transaction Enter a debit amount Enter a credit amount     enter an account title to record the second transaction Enter a debit amount Enter a credit amount 3. Jan. 31 enter an account title to record depreciation expense Enter a debit amount Enter a credit amount     enter an account title to record depreciation expense Enter a debit amount Enter a credit amount     (To record depreciation expense)         enter an account title for to record interest expense Enter a debit amount Enter a credit amount     enter an account title to record interest expense Enter a debit amount Enter a credit amount     (To record interest expense)     4. Jan. 31 enter an account title to record the fourth transaction Enter a debit amount Enter a credit amount     enter an account title to record the fourth transaction Enter a debit amount Enter a credit amount 5. Jan. 31 enter an account title to record the fifth transaction Enter a debit amount Enter a credit amount     enter an account title to record the fifth transaction Enter a debit amount Enter a credit amountMarigold Corp., opened an incorporated dental practice on January 1, 2022. During the first month of operations, the following transactions occurred. 1.   Performed services for patients who had dental plan insurance. At January 31, $890 of such services was completed but not yet billed to the insurance companies. 2.   Utility expenses incurred but not paid prior to January 31 totaled $670. 3.   Purchased dental equipment on January 1 for $85,500, paying $29,250 in cash and signing a $56,250, 3-year note payable (interest is paid each December 31). The equipment depreciates $620 per month. Interest is $470 per month. 4.   Purchased a 1-year malpractice insurance policy on January 1 for $24,000. 5.   Purchased $2,650 of dental supplies (recorded as increase to Supplies). On January 31, determined that $680 of supplies were on hand. Prepare the adjusting entries on January 31. Account titles are Accumulated Depreciation—Equipment, Depreciation Expense, Service Revenue, Accounts Receivable, Insurance Expense, Interest Expense, Interest Payable, Prepaid Insurance, Supplies, Supplies Expense, Utilities Expense, and Accounts Payable.  No. Date Account Titles and Explanation Debit Credit 1. Jan. 31 enter an account title to record the first transaction Enter a debit amount Enter a credit amount     enter an account title to record the first transaction Enter a debit amount Enter a credit amount 2. Jan. 31 enter an account title to record the second transaction Enter a debit amount Enter a credit amount     enter an account title to record the second transaction Enter a debit amount Enter a credit amount 3. Jan. 31 enter an account title to record depreciation expense Enter a debit amount Enter a credit amount     enter an account title to record depreciation expense Enter a debit amount Enter a credit amount     (To record depreciation expense)         enter an account title for to record interest expense Enter a debit amount Enter a credit amount     enter an account title to record interest expense Enter a debit amount Enter a credit amount     (To record interest expense)     4. Jan. 31 enter an account title to record the fourth transaction Enter a debit amount Enter a credit amount     enter an account title to record the fourth transaction Enter a debit amount Enter a credit amount 5. Jan. 31 enter an account title to record the fifth transaction Enter a debit amount Enter a credit amount     enter an account title to record the fifth transaction Enter a debit amount Enter a credit amount

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Marigold Corp., opened an incorporated dental practice on January 1, 2022. During the first month of operations, the following transactions occurred.

1.   Performed services for patients who had dental plan insurance. At January 31, $890 of such services was completed but not yet billed to the insurance companies.
2.   Utility expenses incurred but not paid prior to January 31 totaled $670.
3.   Purchased dental equipment on January 1 for $85,500, paying $29,250 in cash and signing a $56,250, 3-year note payable (interest is paid each December 31). The equipment depreciates $620 per month. Interest is $470 per month.
4.   Purchased a 1-year malpractice insurance policy on January 1 for $24,000.
5.   Purchased $2,650 of dental supplies (recorded as increase to Supplies). On January 31, determined that $680 of supplies were on hand.


Prepare the adjusting entries on January 31. Account titles are Accumulated Depreciation—Equipment, Depreciation Expense, Service Revenue, Accounts Receivable, Insurance Expense, Interest Expense, Interest Payable, Prepaid Insurance, Supplies, Supplies Expense, Utilities Expense, and Accounts Payable.

No.
Date
Account Titles and Explanation
Debit
Credit
1.
Jan. 31
enter an account title to record the first transaction
Enter a debit amount
Enter a credit amount
   
enter an account title to record the first transaction
Enter a debit amount
Enter a credit amount
2.
Jan. 31
enter an account title to record the second transaction
Enter a debit amount
Enter a credit amount
   
enter an account title to record the second transaction
Enter a debit amount
Enter a credit amount
3.
Jan. 31
enter an account title to record depreciation expense
Enter a debit amount
Enter a credit amount
   
enter an account title to record depreciation expense
Enter a debit amount
Enter a credit amount
    (To record depreciation expense)    
   
enter an account title for to record interest expense
Enter a debit amount
Enter a credit amount
   
enter an account title to record interest expense
Enter a debit amount
Enter a credit amount
    (To record interest expense)    
4.
Jan. 31
enter an account title to record the fourth transaction
Enter a debit amount
Enter a credit amount
   
enter an account title to record the fourth transaction
Enter a debit amount
Enter a credit amount
5.
Jan. 31
enter an account title to record the fifth transaction
Enter a debit amount
Enter a credit amount
   
enter an account title to record the fifth transaction
Enter a debit amount
Enter a credit amountMarigold Corp., opened an incorporated dental practice on January 1, 2022. During the first month of operations, the following transactions occurred.

1.   Performed services for patients who had dental plan insurance. At January 31, $890 of such services was completed but not yet billed to the insurance companies.
2.   Utility expenses incurred but not paid prior to January 31 totaled $670.
3.   Purchased dental equipment on January 1 for $85,500, paying $29,250 in cash and signing a $56,250, 3-year note payable (interest is paid each December 31). The equipment depreciates $620 per month. Interest is $470 per month.
4.   Purchased a 1-year malpractice insurance policy on January 1 for $24,000.
5.   Purchased $2,650 of dental supplies (recorded as increase to Supplies). On January 31, determined that $680 of supplies were on hand.

Prepare the adjusting entries on January 31. Account titles are Accumulated Depreciation—Equipment, Depreciation Expense, Service Revenue, Accounts Receivable, Insurance Expense, Interest Expense, Interest Payable, Prepaid Insurance, Supplies, Supplies Expense, Utilities Expense, and Accounts Payable. 

No.
Date
Account Titles and Explanation
Debit
Credit
1.
Jan. 31
enter an account title to record the first transaction
Enter a debit amount
Enter a credit amount
   
enter an account title to record the first transaction
Enter a debit amount
Enter a credit amount
2.
Jan. 31
enter an account title to record the second transaction
Enter a debit amount
Enter a credit amount
   
enter an account title to record the second transaction
Enter a debit amount
Enter a credit amount
3.
Jan. 31
enter an account title to record depreciation expense
Enter a debit amount
Enter a credit amount
   
enter an account title to record depreciation expense
Enter a debit amount
Enter a credit amount
    (To record depreciation expense)    
   
enter an account title for to record interest expense
Enter a debit amount
Enter a credit amount
   
enter an account title to record interest expense
Enter a debit amount
Enter a credit amount
    (To record interest expense)    
4.
Jan. 31
enter an account title to record the fourth transaction
Enter a debit amount
Enter a credit amount
   
enter an account title to record the fourth transaction
Enter a debit amount
Enter a credit amount
5.
Jan. 31
enter an account title to record the fifth transaction
Enter a debit amount
Enter a credit amount
   
enter an account title to record the fifth transaction
Enter a debit amount
Enter a credit amount
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