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Prepare Adjusting Entries for the Following Transactions

question 137

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Prepare adjusting entries for the following transactions. 1. Interest accrued on notes receivable is $270. 2. Property taxes owing but not paid or recorded amount to $700 . 3. Legal service revenues of $3,000 were collected in advance. By year end, $600 was earned. 4. Prepaid insurance had a $400 debit balance prior to adjustment. By year end, 40% was still unexpired. 5. Salaries owing at year end but not yet paid or recorded amounted to $950 .


Definitions:

Sea Cave

A type of cave formed primarily by the wave action of the sea, often found along coastlines.

Sea Stack

An isolated, pillar-like, rocky island or pinnacle near a rocky coastline.

Promontory

A high point of land or rock projecting into a body of water or over a lowland, often offering broad views of the surrounding area.

Longshore Current

A current that runs parallel to the shore, generated by waves hitting the shoreline at an angle.

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