Debit credit prepaid insurance supplies shop shelving

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Debit Credit Prepaid Insurance Supplies Shop Shelving Unearned Rental Fees Salaries Expense Rental Fees Revenue 4 500 720 24 000 32 600 4 800 13 200 Additional information (a) Prepaid insurance represents premiums for 1 year paid on 1 April. (b) Supplies of $430 were on hand at 30 June. (c) Shop shelving, which had been purchased on 1 January, is expected to last 10 years and have a residual value of $2000. (d) Amanda collected 4 months’ rent in advance on 1 June from a number of tenants. (e) Accrued salaries not recorded as at 30 June are $2400. Required Record in the general journal the necessary adjusting entries on 30 June. AMANDA’S ART SUPPLIES General Journal Date Particulars Debit Credit June 30 Insurance Expense 1 125 Prepaid Insurance 1 125 Insurance expired. ($4500 × 3/12)
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Supplies Expense 290 Supplies 290 Supplies used. ($720 $430) Depreciation Expense Shop Shelving 1 100 Accumulated Depreciation Shop Shelving 1 100 Depreciation on office equipment. ($24 000 $2000)/10 × 6/12 = $1100) Unearned Rental Fees 1 200 Rental Fees Revenue 1 200 Rental fees earned for one month. ($4800 ÷ 4) Salaries Expense 2 400 Salaries Payable 2 400 Accrued salaries.
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