The Balances of the Ledger Accounts for Oleman Services on January

question 1

Essay

The balances of the ledger accounts for Oleman Services on January 31,2016,and the information needed for adjustments are shown below.Prepare the Trial Balance section,record the adjustments,and complete the worksheet. Adjustment information:
(a)The supplies were purchased on January 1,2016.An inventory of supplies showed $600 on hand on January 31,2016.
(b)The amount of Prepaid Insurance represents a payment made January 1,2016,for a six-month insurance policy.
(c)The equipment,purchased January 1,2016,has an estimated useful life of 5 years with no salvage value.The firm uses the straight-line method of depreciation.

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