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In: Accounting

X Company's accountant made adjusting entries at the end of the period for the following reasons:...

X Company's accountant made adjusting entries at the end of the period for the following reasons:

$2,443 of unpaid interest on a bank loan

$564 of wages that were earned by employees but not paid

$1,490 of insurance that expired

What was the effect of these entries on total equities?

Solutions

Expert Solution

Calculate total effect on total equities :

Interest expense 2443
Wages expense 564
Insurance expense 1490
Total expense 4497

Total equity decrease by 4497

ekkarill92 answered 2 years ago
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