The following transactions were completed during 20A by Eagle Company.
accounting period ends December 31.
Provide the adjusting entries required at December 31, 20A.
A) On December 31, 20A, Eagle Company owed employees $1,750 for wages that were
earned by them during December and were not recorded.
B) During 20A, Eagle Company purchased office supplies that cost $500 which were
placed in the supplies room for use as needed.
The purchase was recorded as follows:
Office supplies inventory
At the beginning of 20A, the inventory of unused office supplies was $75. At the end of
20A, a count showed unused office supplies in the supply room amounting to $100.
Office Supplies Inventory
C) On December 1, 20A, Eagle Company rented some office space to another party.
Eagle collected $900 rent for the period December 1, 20A, to February 28, 20B. The rent
collected was recorded as follows:
December 1, 20A:
D) On June 1, 20A, Eagle Company borrowed $2,000 cash on a one-year, 10% interest-
bearing, note payable. The interest is payable on the due date, May 31, 20B.
was recorded as follows:
June 1, 20A:
($2,000 x 10% x 7/12)