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prepare journal Entries for adjusting entries.

REVIEW, PRACTICE, AND APPLY (c) The Prepaid Insurance account shows a debit balance of $3,240, representing a 3-year premium paid on March 1 of the current year. (d) Salaries of $72,000 are paid weekly on Monday for the preceding 5-day work week. This year, December 31 fell on a Tuesday. 2 es 480 Problem 9-2A Objective: To record adjustments in T accounts Directions: In each of the following unrelated transactions, record in T accounts opening balances, purchases, and adjustments as of December 31 of the current year. (a) Merchandise inventory (beginning) on January 1 was $91,645. Merchandise inventory (ending) on December 31 is $87,365. (b) The Office Supplies account shows a January 1 balance of $8,145, a July 1 purchase of $17,510, and a December 31 inventory of $4.175. (c) The Store Supplies account shows a January 1 balance of $7.250, a March 1 purchase of $15,595, and a December 31 inventory of $8.165. (d) The Prepaid Insurance account shows a payment for a 2-year policy on October ! of this year in the amount of $1.800. (e) Salaries of $18.000 are paid weekly on Monday for the preceding 5-day work week. This year, December 31 fell on a Tuesday. (1) Depreciation expense on office equipment is $15,000. s 1, 2 5,580 Problem 9-3A Objective: To prepare a work sheet Account balances and adjustment data for Moreira Carpet Shop follow Account Balance S 6.735 Accounts Receivable

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