At the end of its first year, the trial balance of Blossom Company shows Equipment $21,500 and zero balances in Accumulated Depreciation—Equipment and Depreciation Expense. Depreciation for the year is estimated to be $4,300. Prepare the adjusting entry for depreciation at December 31.

The adjusting entry is shown below.

Explanation:

According to the scenario, the given data are as follows:

Estimated depreciation for year = $4,300

So, the adjusting entry  for depreciation is shown below:

Adjusting Entry

Dec.31

Depreciation expense A/c Dr.     $4,300

           To Accumulated Depreciation-Equipment A/c      $4,300

(Being the Depreciation expense is recorded)

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