Adjusting Entries - Accruals Practice Assignment 1 R. Parce Floor Covering Incorporated
Adjusting Entries - Accruals Practice Assignment 1 R. Parce Floor Covering Incorporated
Adjusting Entries - Accruals Practice Assignment 1 R. Parce Floor Covering Incorporated
Practice Assignment 1
The transactions for R. Parce Floor Covering Inc. for the year 2019 have been recorded in the accounting system. This
assignment requires you to record the adjusting entries for December 2019.
Dec. 31 - Performed services for a client for 850. The customer will be billed in January.
Dec. 31 - 15,000 was borrowed by signing a 10%, 2 year note on September 1, 2019. Record the interest on the note.
Practice Assignment 2
Kaela Mae Gym on Wheels
Kaela Mae Gym on Wheels provides gymnastics lessons at various daycare centers. The transactions for the year 2019
have been recorded in the accounting system. This assignment requires you to prepare adjusting entries for December
2019.
Dec. 31 The note payable of 8,000 has been outstanding since July 1, 2019. Under the terms of the note, the note
plus interest (12%) is to be paid on July 1, 2019. No interest has been recorded on the note.
Practice Assignment 3
R. Parce Floor Covering Incorporated
The transactions for R. Parce Floor Covering Inc. for the year 2018 have been recorded in the accounting system. This
assignment requires you to prepare adjusting entries for December 2019.
Dec. 31 Services were provided to a customer for 550. The cash was collected in advance on December 10, 2019.
Dec. 31 On September 1, 2019, R. Parce Floor Covering Inc. had paid 5,400 as rent for a six-month period. This
had been recorded as prepaid rent.
Dec. 31 The amount of supplies available at the end of December was 400. The amount of supplies at the
beginning of the period was 260. 350 of supplies were purchased during the year.
Dec. 31 A computer was purchased on January 1, 2017, for 2,400. The useful life of the computer is 4 years.
Kaela Mae on Wheels provides gymnastics lessons at various daycare centers. The transactions for the year 2019 have
been recorded in the accounting system. This assignment requires you to prepare adjusting entries for December 2019.
Dec. 31 A number of children registered on December 1 and paid the month's fees in advance. These fees totaled
500 and unearned revenue was credited when the fees were paid.
Dec. 31 The amount of supplies available at the end of December was 500. The amount of supplies at the
beginning of the period was 1,500.
Dec. 31 On January 1, 2017, Kaela Mae Gym on Wheels had purchased a computer for 2,000. The estimated
useful life of the computer is 4 years. Record the depreciation for 2019.
Dec. 31 On December 1, 2019, Kaela Mae Gym on Wheels had paid 2,400 as rent for a three-month period. This
had been recorded as prepaid rent.
Practice Assignment 5
Clean-Rite Service
The transactions for Clean-Rite Service for March 2000 have been recorded in the accounting system. Clean-Rite Service
is organized as a sole-proprietorship. This problem illustrates the preparation of closing entries for March 2000. The trial
balance for March 31, 2000, is given below:
Clean-Rite Service
Trial Balance
March 31, 2000
Mar. 31
Mar. 31
Mar. 31