Chapter 3, Problem 3QS

Identifying accounting adjustments

Classify the following adjusting entries as involving prepaid expenses (PE), unearned revenues (UR), accrued expenses (AE), or accrued revenues (AR).

____________a. To record revenue earned that was previously received as cash in advance.

____________b. To record wages expense incurred but not yet paid (nor recorded).

____________c. To record revenue earned but not yet billed (nor recorded).

____________d. To record expiration of prepaid insurance.

____________e. To record annual depreciation expense.