Business, 18.09.2021 21:00 robbyd47

Prepayment of Expenses JDM Inc. made the following prepayments for expense items during 2011:
a. Prepaid building rent for one year on April 1 by paying $6,600. Prepaid rent was debited for the amount paid.
b. Prepaid twelve months’ insurance on October 1 by paying $4,200. Prepaid insurance was debited.
c. Purchased $5,250 of office supplies on October 15, debiting supplies for the full amount. Office supplies costing $1,085 remain unused at December 31, 2011.
d. Paid $600 for a 12-month service contract for repairs and maintenance on computer. The contract begins November 1. The full amount of the payment was debited to prepaid repairs and maintenance.
Required:
1. Prepare journal entries to record the payment of cash for each transaction.
2. Prepare adjusting entries for the prepayments at December 31, 2011.
3. For all of the above items, assume that the accountant failed to make the adjusting entries. What would be the effect on net income?

Answers: 2

Show answers

Another question on Business

Business, 22.06.2019 01:40

Suppose general motors demands labor according to the labor demand function 푤푤= 40−0. 5퐸퐸, where 푤푤 is the hourly wage and 퐸퐸 is the number of employees. the united auto workers union has a utility function given by 푈푈=푊푊∗퐸퐸. a.in 1984, the united auto workers union started negotiations with general motors by assuming that they were a monopoly union. find the wage and employment demands that the united auto workers union would have demanded before any bargaining began. b.if general motors and the united auto workers union both had excellent bargaining representatives, would this be the final labor contract? if not, then explain in words and graphically where they would end up after the bargaining process.

Answers: 1

Answer

Business, 22.06.2019 09:30

Any point on a country's production possibilities frontier represents a combination of two goods that an economy:

Answers: 3

Answer

Business, 22.06.2019 10:30

Describe three scenarios in which you might utilize mathematics to investigate a crime scene, accident scene, or to make decisions involving police practice. be sure to explain how math is used in police as they work through each scenario.

Answers: 1

Answer

Business, 22.06.2019 11:50

The smelting department of kiner company has the following production and cost data for november. production: beginning work in process 3,700 units that are 100% complete as to materials and 23% complete as to conversion costs; units transferred out 10,500 units; and ending work in process 8,100 units that are 100% complete as to materials and 41% complete as to conversion costs. compute the equivalent units of production for (a) materials and (b) conversion costs for the month of november. materials conversion costs total equivalent units

Answers: 1

Answer

You know the right answer?

Prepayment of Expenses JDM Inc. made the following prepayments for expense items during 2011:

Questions