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Chapter 03
Course: ACCT 220, Spring 2008School: Findlay
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Word Count: 209
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Exercise 3-1 1. 2. 3. B. E. C. 4. 5. 6. F D A. Exercise 3-2 a. Unearned Fee Revenue ................................................................. Fee Revenue .............................................................................. To record earned portion of fee received in advance. Wages Expense .............................................................................. Wages Payable...
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Exercise 3-1 1. 2. 3. B. E. C. 4. 5. 6. F D A. Exercise 3-2 a. Unearned Fee Revenue ................................................................. Fee Revenue .............................................................................. To record earned portion of fee received in advance. Wages Expense .............................................................................. Wages Payable .......................................................................... To record wages accrued but not yet paid. <a href="/keyword/depreciation-expense/" >depreciation expense</a> --Equipment ............................................. Accumulated Depreciation--Equipment ................................ To record <a href="/keyword/depreciation-expense/" >depreciation expense</a> for the year. Office Supplies Expense ................................................................ Office Supplies** ....................................................................... To record office supplies used ($480 + $5,349 - $587). Insurance Expense ........................................................................ Prepaid Insurance* ................................................................... To record <a href="/keyword/insurance-coverage/" >insurance coverage</a> expired ($5,000 - $2,200). Interest Receivable ........................................................................ Interest Revenue....................................................................... To record interest earned but not yet received. Interest Expense ............................................................................ Interest Payable ......................................................................... To record interest incurred but not yet paid. 10,000 10,000 9,000 9,000 19,127 19,127 5,242 5,242 2,800 2,800 750 750 3,500 3,500 b. c. d. e. f. g. Notes: Prepaid Insurance* Beg. Bal. 5,000 ? End. Bal. 2,200 Used End. Bal. Beg. Bal. Purch. Office Supplies** 480 5,349 ? 587 Used Exercise 3-3 a. <a href="/keyword/depreciation-expense/" >depreciation expense</a> --Equipment ............................................. Accumulated Depreciation--Equipment ................................ To record <a href="/keyword/depreciation-expense/" >depreciation expense</a> for the year. Insurance Expense ........................................................................ Prepaid Insurance* ................................................................... To record <a href="/keyword/insurance-coverage/" >insurance coverage</a> that expired ($7,000 - $1,040). Office Supplies Expense ................................................................ Office Supplies** ....................................................................... To record office supplies used ($300 + $2,680 - $354). Unearned Fee Revenue ................................................................. Fee Revenue .............................................................................. To record earned portion of fee received in advance ($10,000 x 1/2). Insurance Expense ........................................................................ Prepaid Insurance .................................................................... To record <a href="/keyword/insurance-coverage/" >insurance coverage</a> that expired. Wages Expense .............................................................................. Wages Payable .......................................................................... To record wages accrued but not yet paid. 16,000 16,000 b. 5,960 5,960 c. 2,626 2,626 d. 5,000 5,000 e. 4,600 4,600 f. 4,000 4,000 Notes: Bal. Bal. Prepaid Insurance* 7,000 ? End. Bal. 1,040 Used End. Bal. Beg. Bal. Purch. Office Supplies** 300 2,680 ? 354 Used
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