Assume this week is the end of 2018. It has been a wonderful year-end for you...

Assume this week is the end of 2018. It has been a wonderful year-end for you because your business Computer Servicing and Networking Business was doing great! But don't forget that you need to complete adjusting entities on Dec 31, 2018. Please give me one each example of two types of adjusting entries:

1. Deferred accounts

2. Accrued accounts

Please feel free to read the text books, but make sure you use transactions of your own company. For example:

1. Deferred expenses- Unearned Revenue

Scenario: I own a catering service. On Dec 16, 2018 one of my clients came to my office and asked me to provide the catering service on his birthday party for the next 30 days. He knew I would be very busy then, so he paid me $1,000 in advance. Deal! Here I need to record an entry on Dec 16 and adjust it on Dec 31. (Only entries, no ledgers needed)

Date Accounts and Explanation Debit Credit Dec. 16 Cash 1,000 Unearned Revenue 1,000 Collected cash for future services

Date Accounts and Explanation Debit Credit Dec. 31 Unearned Revenue 500 Service Revenue 500 To record service revenue earned that was collected in advance

Solutions

Expert Solution

ekkarill92 answered 1 year ago

Next > < Previous

Related Solutions

Assume that TDW Corporation (calendar-year-end) has 2018 taxable income of $650,000 for purposes of computing the...

Assume that TDW Corporation (calendar-year-end) has 2018 taxable income of $650,000 for purposes of computing the §179 expense. The company acquired the following assets during 2018: Asset Placed in Service Basis Machinery September 12 $2,270,000 Computer Equipment February 10 $263,000 Furniture April 2 $880,000 Total $3,413,00 a. What is the maximum amount of §179 expense TDW may deduct for 2018? b. What is the maximum total depreciation, including §179 expense, that TDW may deduct in 2018 on the assets it...

Assume that TDW Corporation (calendar-year-end) has 2018 taxable income of $674,000 for purposes of computing the...

Assume that TDW Corporation (calendar-year-end) has 2018 taxable income of $674,000 for purposes of computing the §179 expense. The company acquired the following assets during 2018: (Use MACRS Table 1, Table 2, Table 3, Table 4 and Table 5.) Placed in Asset Service Basis Machinery September 12 $ 2,273,000 Computer equipment February 10 266,900 Furniture April 2 885,100 Total $ 3,425,000 b. What is the maximum total depreciation, including §179 expense, that TDW may deduct in 2018 on the assets...

The December 31, 2018, year-end inventory balance of the Raymond Corporation is $234,000. You have been...

The December 31, 2018, year-end inventory balance of the Raymond Corporation is $234,000. You have been asked to review the following transactions to determine if they have been correctly recorded. Goods shipped to Raymond f.o.b. destination on December 26, 2018, were received on January 2, 2019. The invoice cost of $42,000 is included in the preliminary inventory balance. At year-end, Raymond held $26,000 of merchandise on consignment from the Harrison Company. This merchandise is included in the preliminary inventory balance....

Your boss has just congratulated you on the wonderful job you did this year. In order...

Your boss has just congratulated you on the wonderful job you did this year. In order to formally recognize your achievements, he would like to either give you a bonus, or increase your salary. If you take the bonus, you will receive $5,000 immediately. The salary increase would be a 1.5% addition to the 40,000 per annum you currently receive, payable at each year-end. In either event, you must pay taxes at a rate of 44% and plan to work...

Assume the year end for Oblix Company is December 31. Selected transactions of fiscal year 2018...

Assume the year end for Oblix Company is December 31. Selected transactions of fiscal year 2018 for Oblix Company are presented below. All accounts are in normal balance: Beginning balance account receivable, $8,162; beginning balance allowance for doubtful accounts, $272. Service revenue all on account, $75,906. Collections on account, $74,628. Write-offs of uncollectible accounts receivable, $200. Recovered an account receivable that had been previously been written off, $100. Aging schedule of accounts receivable at year-end: Days Outstanding Outstanding Amount %...

• Now, it is end of 2018, Ron has been investing with Bloom mutual fund for...

• Now, it is end of 2018, Ron has been investing with Bloom mutual fund for 4 years now. This morning, Ron was reviewing his investment statements and show the following information (Please ignore any fund expenses info. in solving this question) Year Beginning balance Ending balance Dividends per share No. Shares Share price No. Shares Share price 2015 20,000 15 20,000 16 0.50 2016 20,625 16 20,625 13.75 0.60 2017 21,525 13.75 21,525 17 0.632 2018 22,325 17 22,325...

5. Assume that the economy has been growing at 2 % per year. You are an...

5. Assume that the economy has been growing at 2 % per year. You are an economist working at a Central Bank and need to establish what are the long-run effects of increasing the growth of the money supply to 10 % per year. State and then explain the long-run effects of this change on each of the following (give numerical estimates when possible): a) The annual rate of inflation b) The real interest rate c) The nominal interest rate

imagine if you will, that Ryder Corp has at the end of 2018 an amount of...

imagine if you will, that Ryder Corp has at the end of 2018 an amount of $62,000 in its accrued payroll (aka wages payable) account. During 2019, no changes were made to the accrued payroll account so that it is still $62,000. Whenever, payroll was accounted for in 2019, the payroll department simply debited the payroll expense and credited cash (no journal entry to accrued payroll). No one was concerned about the monthly financial statements or the payroll expense being...

imagine if you will, that Ryder Corp has at the end of 2018 an amount of...

#3: Now, it is end of 2018, Ron has been investing with Bloom mutual fund for...

#3: Now, it is end of 2018, Ron has been investing with Bloom mutual fund for 4 years now. This morning, Ron was reviewing his investment statements and show the following information (Please ignore any fund expenses info. in solving this question) Year Beginning balance Ending balance Dividends per share No. Shares Share price No. Shares Share price 2015 20,000 15 20,000 16 0.50 2016 20,625 16 20,625 13.75 0.60 2017 21,525 13.75 21,525 17 0.632 2018 22,325 17 22,325...

Subjects