Several Transactions for Menlo Co $\$ 36,000$ For a Three-Year Period

question 48

Essay

Several transactions for Menlo Co.are presented below.The company adjusts its books only at year-end.
a. On February 1, Menlo Co. leased a warehouse to another company for $\$ 36,000$ for a three-year period. The company credited a revenue account on Februaty 1 when the total amount of $\$ 36,000$ was received in cash
b. On September 1, Menlo Co. paid $\$ 4,800$ to a local trucking company for certain deliveries each day over a two-year period of time. The company charged an asset account on September 1.
c.On May 1 , the company borrowed $\$ 10,000$ on an $8 \%$ , one-year note.
d.On March 10, Menlo Co. bought $\$ 180$ of office supplies and debited the office supplies account. At the beginning of the year; office supplies of $\$ 30$ were on hand and disclosed on the Januaty 1 balance sheet. At the end of the year, there were $\$ 46$ of office supplies on hand. Required:
Prepare adjusting entries for December 31.

---

Definitions:

Confidential Issues

Matters that require protection due to their sensitive nature, involving secrecy and privacy.

Distributing Handouts

The process of giving out educational materials or information to participants or members of an audience.

Pronunciation

The way in which a word is spoken, reflecting regional or national variations in language.

Verbal Fillers

Words or phrases, often with little meaning, used to fill pauses during speech, such as "um," "like," or "you know."