Read Each of the Following Transactions for Enterprises Security Systems

question 20

Essay

Read each of the following transactions for Enterprises Security Systems. Determine the accounts and amounts to be debited and credited in the necessary end-of-July adjustments.
A. On July 1, 2013, Enterprises Security Systems, a new firm, bought supplies for $2,300. The $2,300 was debited to the Supplies account. An inventory of supplies at the end of June showed that supplies costing $900 were on hand.
B. On July 1, 2013, the firm bought equipment costing $24,000. The equipment has an expected useful life of 10 years and no salvage value. The firm will use the straight-line method of depreciation.
C. On July 1, 2013, the firm paid $4,500 rent in advance for a nine-month period. The $4,500 was debited to the Prepaid Rent account.

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Definitions:

Resolving Queries

The process of addressing and clarifying doubts or questions that arise in any context, ensuring understanding or resolving issues.

Time-Driven

Pertaining to operations or processes that are initiated, executed, or measured based on time.

Activity-Based Costing

A method in accounting that assigns costs to products or services based on the activities and resources that go into producing them, aiming for more accurate costing.

Resolving Queries

The process of addressing and answering questions or concerns, commonly within a customer service or information technology context.