The Trial Balances Before and After Adjustments for Old Julian

question 21

Essay

The trial balances before and after adjustments for Old Julian Calendars at the end of its fiscal year are presented below. Cont'd
Instructions
Prepare the adjusting entries that were made.

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Definitions:

Flexible Exchange Rates

A currency system where the value of a currency in relation to others is determined by the foreign exchange market without direct government control.

Inflation

The rate at which the general level of prices for goods and services is rising, and, subsequently, purchasing power is falling. Central banks attempt to limit inflation, and avoid deflation, in order to keep the economy running smoothly.

Unemployment

The situation when individuals who are capable of working and willing to work cannot find employment.

Balance of Payments

A comprehensive record of all economic transactions between residents of a country and the rest of the world during a specific period.