Accounting - 5 Interest Expense 425 Interest Payable 425...

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Sheet1 Page 1 Mike's Bikes, Inc. Adjusting Journal Entries December 31, 2007 Date Description Debit Credit Dec. 31 2007 1. Account Receivable 2,500 Sales Revenue 2,500 To recognize revenue for services rendered from an order in December. 2. Salary Expense 5,300 Salary Payable 5,300 To accrue wages owed to employees but unpaid as of December month-end. 3. Depreciation Expense – Equipment 2,250 Accumulated Depreciation – Equipment 2,250 Monthly depreciation expense on equipment 4. Insurance Expense 300 Unexpired Insurance 300 Insurance expense for December ($3,600/12)
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Unformatted text preview: 5. Interest Expense 425 Interest Payable 425 Interest expense accrued during December on loan 6. Office Supplies Expense 150 Office Supplies 150 Office Supplies used during December 7. No entry because no point of sale. 8. Income Taxes Expense 1,650 Income Taxes Payable 1,650 Sheet1 Page 2 Estimated income taxes applicable to taxable income earned in December 9. Cost of Goods Sold 830 Inventory 830 Adjust for inventory (shrinkage amount) difference. Sheet1 Page 3 Sheet1 Page 4...
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This note was uploaded on 09/06/2011 for the course FIN n/a taught by Professor N/a during the Spring '06 term at University of Phoenix.

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Accounting - 5 Interest Expense 425 Interest Payable 425...

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