The ledger of Beckett Rental Agency on March 31 of the current year includes the selected accounts below before adjusting entries have been prepared.

Debit Credit
Supplies $ 3,000
Prepaid Insurance 3,600
Equipment 25,000
Accumulated Depreciation—Equipment $ 8,400
Notes Payable 20,000
Unearned Rent Revenue 12,400
Rent Revenue 60,000
Interest Expense 0
Salaries and Wages Expense 14,000

An analysis of the accounts shows the following.

1. The equipment depreciates $280 per month.
2. Half of the unearned rent revenue was earned during the quarter.
3. Interest of $400 is accrued on the notes payable.
4. Supplies on hand total $850.
5. Insurance expires at the rate of $400 per month.

Prepare the adjusting entries at March 31, assuming that adjusting entries are made quarterly.

Explanation:

The adjusting journal entries are shown below:

1. Depreciation Expense A/c Dr $ 840    ($280 × 3 months for one quarter)

            To Accumulated Depreciation - Equipment A/c $840

(Being depreciation expense is recorded)

2. Unearned Rent Revenue A/c Dr $6,200     ($12,400 ÷ 2)

           To Rent Revenue A/c. $6,200

(Being half rent revenue earned is recorded)

3. Interest Expense A/c Dr $400

           To Accrued Interest A/c $400

(Being accrued interest is recorded)

4. Supplies Expense A/c  $2,150

             To Supplies A/c  $2,150

(Being the supplies expense is recorded)

The supplies expense is computed below

= Supplies balance - supplies on hand

= $3,000 - $850

= $2,150

5. Insurance Expense A/c Dr $1,200       ($400 × 3 months in one quarter)

                To Prepaid Insurance A/c $1,200

(Being the insurance expense is recorded)

answer; blank (1) hrm specialists,blank(2); line managers;

muslims control the north africa during the period of 1500 up

to 1800. they made a barrier to prevent further european exploration from

entering the africa from the north. however, the dutch ware still able to move

toward the interior with having south africa as one of the routes leading to

the east for trading with asia.