End-Of-Period Adjustments-Effect on Profit

question 23

Essay

End-of-period adjustments-effect on profit
Before making any year-end adjusting entries, the revenues of Hot Jazz Studio exceeded expenses by $127,000. However, the following adjustments are necessary:
(A.) Prepaid rent consumed, $1,500.
(B.) Services rendered to clients but not yet billed, $20,000.
(C.) Interest accrued on notes payable, $1,100
(D.) Depreciation, $4,800.
(E.) Accrued wages payable, $3,900.
(F.) Fees collected in advance which have now been earned, $7,100.
Complete the schedule to determine the profit of Hot Jazz Studio after these adjustments have been recorded. Show the effect of each adjustment in the space provided. Compute profit after adjustments and place answer in space provided.

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Definitions:

Self-Directed Search

A self-administered, scored, and interpreted interest inventory that was created by Holland and uses his personality types.

Reliability

In statistics and psychometrics, reliability refers to the consistency of a measure or test over time or across different raters.

Validity

The degree to which a test accurately measures what it is intended to measure.