The Following Is a Partial List of Items from Stables

question 209

Essay

The following is a partial list of items from Stables & Nobles,Inc.'s December 31,2011 financial statements.
Part A: In the worksheet below,record the effect of these five adjustments on the accounting equation for the year ended December 31,2011.Show the correct dollar amounts,and write in the titles of the accounts affected.
1.There are 3 months left of the 12-month,$12,000 insurance policy that began April 1,2011.
2.Interest of $2,500 is owed and will be paid in January 2012.
3.Two-thirds of the revenue received in advance has been earned as of December 31,2011.
4.Rent paid in advance for twelve months starting August 1,2011 was adjusted.
5.Owed $5,000 of salaries for work done in December.The next payday is Jan.3,2012. Part B: Fill in the adjusted balances as of December 31,2012.Some of the accounts that have been adjusted are not included in this table. Part C:

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Definitions:

Heating System

A mechanism for maintaining temperatures at an acceptable level; by using thermal energy within a home, building, or other dwelling.

Required Rate Of Return

The minimal annual profit rate required to attract investment from individuals or corporations into a specific security or initiative.

Net Present Value

A financial analysis technique used to estimate the viability of projects or investments by discounting expected future cash flows to their present value.

Payback Period

The duration of time it takes to recoup the initial investment in a project or asset.