Prepaid Insurance (debit) $12,000 Cash (credit) $12,000 Adjusting Entry: Insurance Expense (debit) $9,000 Prepaid Insurance (credit) $9,000 Recall on January 1, Rhody paid $20,000 for equipment. The equipment has a useful life of 5 years. Original Entry: Equipment (debit) $20,000 ...
百度试题 结果1 题目An adjusting entry could be made for each of the following except: A. Prepaid expenses. B. Depreciation. C. Owner withdrawals. D. Unearned revenues. E. Accrued revenues. 相关知识点: 试题来源: 解析 A. B. D. E.反馈 收藏 ...
This will reduce the number of account receivables reported on the balance sheet because it is likely that the company will never receive payment for that debt. In other words, when credit losses are taken directly, a bad debts expense account is debited to reduce income and equity. Then ...
百度试题 结果1 题目MAKE ENTRY FOR THE FOLLOWING TRANSACTION.Prepaid insurance expense, $40,000.相关知识点: 试题来源: 解析 Prepaid insurance 40,000 Cash in Bank 40,000 反馈 收藏
The expense is recognized on the income statement because the employees have “earned” the payment, but the cash payment remains unmet. How Do Accrued Wages Work? The accounting term “accrued wages” describes the unpaid compensation not yet paid by a company to employees for the services ...
Prepaid Expense Journal Entry Certificate of Deposit in Accounting Obsolete Inventory Allowance Customer Credit Note Issued Double Entry Bookkeeping References At double entry bookkeeping.com you will find references for all our topics. Generally the references are usually in the form of tables and serv...
Explain the need for accruals and other adjustments in preparing financial statements. A is correct. The adjusting entry to record the expiry of a prepaid expense is the reduction of an asset (the prepaid) and the recognition of the expense.反馈...
It appears on the assets side of the balance sheet as a prepaid expense for the buyer. Such advances are usually required when a buyer has defaulted payments in the past, so it protects the sellers from such unforeseen events, especially in the corporate world where the size of consignments...
Example:The company paid rent of $2,500 in advance for May during April. Now, the company can show the conversion of prepaid rent for May into rent expense in the following adjusting journal entry. 6. Reversing Reversing journal entries helps reverse or delete adjustments/entries from previous...
the basic storage units for accounting data and are used to accumulate amounts from simalar transations. 账户就是会计数据的载体,它能够累加相似商业交易的数据。 Assets 资产 现金账户 Debit + Credit - 股东投资 3000 机器3000 借款8000 原材料 800 销售额 400 工资2400 余额Balance 5200 Liabilities 负债...