Adjusting Entries for Practice

Adjusting Entries for Practice - EnchantedForest,,...

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Adjusting Entries for Practice Enchanted Forest, a large campground in SC, adjusts its accounts monthly and  closes its accts. Annually on Dec 21. Most guests of the campground pay at the  time they check out. The amounts collected are credited to Camper Revenue.  The following info is available as a source for preparing the adjusting entries at  Dec. 31 Enchanted Forest invests some of its excess cash in certificates of deposit (CDs)  with its local bank, Accrued interest revenue on its CDS at Dec 31 is $400. None  of the interest has yet been receive (Debit Interest Receivable) a. Interest receivable 400 a.i. Revenue- interest A six month bank loan in the amount of 1200 had been obtained on sep1 interest  to be computed at an annual rate of 8.5% and is payable when the loan becomes  due Record the accrued interest Interest expense $85 Accrued interest payable $85
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This document was uploaded on 11/04/2011 for the course SPEA-V 246 at Indiana.

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Adjusting Entries for Practice - EnchantedForest,,...

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