Prepare adjusting entries for prepaid expenses

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Unformatted text preview: “Prepaid Expenses” Example (Insurance): On Oct. 4th, Pioneer Advertising paid $600 for a Example (Insurance) On Oct. 4 one­year fire insurance policy. Show the journal entry to record the payment on Oct 4th. Oct. 4 Prepaid insurance 600 Cash 600 Prepaid Insurance Debit Cash Credit Debit Cash 600 Chapter 3-19 Credit Prepaid Ins 600 LO 5 LO Prepare adjusting entries for deferrals. Prepare Adjusting Entries for “Prepaid Expenses” Adjusting Entries for “Prepaid Expenses” Example (Insurance): On Oct. 4th, Pioneer Advertising paid Example (Insurance) $600 for a one-year fire insurance policy. Show the adjusting journal Show the entry required at Oct. 31st. Oct. 31 Insurance expense 50 Prepaid insurance Prepaid Insurance 50 Insurance Expense Debit Credit Debit Cash 600 Ins exp 50 Prep ins 50 600 Chapter 3-20 Bal b/d 550 Credit Inc Stat 50 Bal c/d 550 600 LO 5 LO Prepare adjusting entries for deferrals. Prepare Adjusting Entries for “Prepaid Expenses” Adjusting Entries for “Prepaid Expenses” Depreciation Buildin...
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