1. Explanation Journal: Journal is the method of recording monetary business transactions in chronological order. It records the debit and credit aspects of each transaction to abide by the double-entry system. Rules of Debit and Credit: Following rules are followed for debiting and crediting different accounts while they occur in business transactions: Debit , all increase in assets, expenses and dividends, all decrease in liabilities, revenues and stockholders’ equities. Credit, all increase in liabilities, revenues, and stockholders’ equities, all decrease in assets, expenses. Adjusting entries : Adjusting entries refers to the entries that are made at the end of an accounting period in accordance with revenue recognition principle, and expenses recognition principle. The purpose of adjusting entries is to adjust the revenue, and the expenses during the period in which they actually occurs. Record the adjustments: Figure (1) a. Accounts receivable is an asset. There is an increase in the asset. Hence, debit asset with $1,250. Service revenue is revenue which is a component of stockholders’ equity. There is an increase in the revenue which increases the stockholders’ equity. Hence, credit service revenue with $1,250. b. Unearned service revenue is a liability. There is a decrease in the liability. Hence, debit unearned service revenue with $375. Service revenue is revenue which is a component of stockholders’ equity. There is an increase in the revenue account which increases the stockholders’ equity. Hence, credit service revenue with $375. c. Supplies expense is an expense account which is a component of stockholders equity. There is an increase in the expense which decreases the stock holders’ equity. Hence, debit supplies expense with $400. Supplies are asset... 2. To determine Calculate each account’s adjusted balance.

Financial Accounting (5th Edition) (What's New in Accounting)

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ISBN: 9780134727790

Author: Robert Kemp, Jeffrey Waybright

Publisher: PEARSON

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Payroll Entries

Payroll is a comprehensive record of employees that are paid by the company. Payroll classifies employees into various categories according to their function and pays scale (basic wage, allowance, income tax, other taxes, employee loans, etc.). Payroll p…

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Chapter 3, Problem 33BE

To determine

Record the adjustments then post them to T-accounts.

To determine

Calculate each account’s adjusted balance.

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Chapter 3, Problem 32BE

Chapter 3, Problem 34BE

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Chapter 3 Solutions

Financial Accounting (5th Edition) (What's New in Accounting)

Ch. 3 - If XYZ Consulting performs a consulting service,...Ch. 3 - Prob. 2DQ Ch. 3 - Prob. 3DQ Ch. 3 - Prob. 4DQ Ch. 3 - Prob. 5DQ Ch. 3 - Prob. 6DQ Ch. 3 - Prob. 7DQ Ch. 3 - Prob. 8DQ Ch. 3 - What kind of account is accumulated depreciation?...Ch. 3 - Prob. 10DQ

Ch. 3 - Prob. 1SC Ch. 3 - Adjusting the accounts is the process of a....Ch. 3 - Which of the following terms describes the types...Ch. 3 - Assume the weekly payroll of ASR, Inc., is 4,500....Ch. 3 - Prob. 5SC Ch. 3 - Prob. 6SC Ch. 3 - Prob. 7SC Ch. 3 - What do closing entries accomplish? a. Bring the...Ch. 3 - Prob. 9SC Ch. 3 - Which correctly represents the flow of information...Ch. 3 - Prob. 11SC Ch. 3 - Prob. 12SC Ch. 3 - Prob. 1SE Ch. 3 - Prob. 2SE Ch. 3 - Prob. 3SE Ch. 3 - Adjusting journal entryprepaid rent (Learning...Ch. 3 - Prob. 5SE Ch. 3 - Prob. 6SE Ch. 3 - Prob. 7SE Ch. 3 - Adjusting journal entrysalaries, accrued revenue,...Ch. 3 - Prob. 9SE Ch. 3 - Closing entries (Learning Objective 4) 5-10 min....Ch. 3 - Prob. 11SE Ch. 3 - Prob. 12SE Ch. 3 - Preparing a post-closing trial balance (Learning...Ch. 3 - Exercises (Group A) E3-14A. Adjusting journal...Ch. 3 - Adjusting journal entry-prepaid insurance...Ch. 3 - Common adjusting journal entries (Learning...Ch. 3 - Prob. 17AE Ch. 3 - Common adjusting journal entries (Learning...Ch. 3 - Prob. 19AE Ch. 3 - Prob. 20AE Ch. 3 - Prob. 21AE Ch. 3 - Prob. 22AE Ch. 3 - Preparing a financial statement (Learning...Ch. 3 - Prob. 24AE Ch. 3 - Prob. 25AE Ch. 3 - Prob. 26AE Ch. 3 - Prob. 27AE Ch. 3 - Prob. 28BE Ch. 3 - Prob. 29BE Ch. 3 - Prob. 30BE Ch. 3 - Analyzing errors (Learning Objective 2) 10-15 min....Ch. 3 - Common adjusting journal entries (Learning...Ch. 3 - Prob. 33BE Ch. 3 - Prob. 34BE Ch. 3 - Prob. 35BE Ch. 3 - Prob. 36BE Ch. 3 - Prob. 37BE Ch. 3 - Prob. 38BE Ch. 3 - Prob. 39BE Ch. 3 - Prob. 40BE Ch. 3 - Preparing closing entries (Learning Objective 4)...Ch. 3 - Problems (Group A) Common adjusting journal...Ch. 3 - Prob. 43AP Ch. 3 - Prob. 44AP Ch. 3 - Prob. 45AP Ch. 3 - Prob. 46AP Ch. 3 - Prob. 47AP Ch. 3 - Problems (Group B) Common adjusting journal...Ch. 3 - Re-creating adjusting journal entries from a trial...Ch. 3 - Preparing adjusting journal entries and an...Ch. 3 - Effects of adjusting journal entries on income...Ch. 3 - Preparing financial statements (Learning Objective...Ch. 3 - Preparing closing entries and a post-closing trial...Ch. 3 - This exercise continues the accounting process for...Ch. 3 - This problem continues the accounting process for...Ch. 3 - Prob. 1CFSAP Ch. 3 - Prob. 1EIA Ch. 3 - Case 2. Brent Robertson and his banker were...Ch. 3 - Prob. 1FA Ch. 3 - Prob. 1IA Ch. 3 - Prob. 1SBA Ch. 3 - Written Communication You have received a letter...Ch. 3 - Journalizing, Posting, Adjusting, Preparing, and...

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