Chapter 3, Problem 12QS

To determine

Concept Introduction:

Accrued Expenses: Accrued expenses are part of accounting adjustment entries which are recorded in the closing period of the entity. These are those expenses which have been incurred but have not yet been paid. They are recorded in the books following the matching principle of accounting.

To Determine:

1. The current account balance as per the given data,

2. The current account balance as per the given data, and

3. The necessary adjusting entry as on December 31.