- Problem 3 4b Algo Record Adjusting Entries Lo3 3 Cutters Lawn Service Provides General Lawn Maintenance To Customers 1 (42.34 KiB) Viewed 47 times
- Problem 3 4b Algo Record Adjusting Entries Lo3 3 Cutters Lawn Service Provides General Lawn Maintenance To Customers 2 (35.82 KiB) Viewed 47 times
Problem 3-4B (Algo) Record adjusting entries (LO3-3) Cutters Lawn Service provides general lawn maintenance to customers. The
company's fiscal year-end is December 31. Information necessary to prepare the year-end adjusting entries appears below. 1. On October 1, 2024, Cutters lent $105,000 to another
company. A note was signed with principal and 8% interest to be paid on September 30, 2025. 2. On November 1, 2024, the
company paid its landlord $21,000 representing rent for the months of November through January. Prepaid Rent was debited for the entire amount. 3. On August 1, 2024, Cutters collected $25,500 in advance rent from another
company that is renting a portion of Cutters's building. The $25,500 represents one year's rent, and the entire amount was credited to Deferred Revenue. 4. Depreciation for the year is $22,500. 5. Vacation pay for the year that had been earned by employees but not paid to them or recorded is $12,500. The
company records vacation pay as Salaries Expense. 6. Cutters began the year with $26,000 in its Supplies account. During the year $66,500 in supplies were purchased and debited to the Supplies account. At year-end,supplies costing $26,500 remain on hand. Required: Prepare the necessary adjusting entries on December 31, 2024. (Do not round intermediate calculations. If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.)
Required: Prepare the necessary adjusting entries on December 31, 2024. (Do not round intermediate calculations. If no entry is required for a particular transaction/event, select "No. Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 1 2 5 Record entry On October 1, 2024, Cutters lent $105,000 to another
company. A note was signed with principal and 8% Interest to be paid on September 30, 2025. Record the adjusting entry for interest at its year-end of December 31. Note: Enter debits before credits Date December 31 General Journal 6 Clear entry Debit Credit View general journal