Prepare the adjusting entries for the following items at June 30: Accrued interest expense on loan payable, office supplies used, depreciation of office equipment, and unearned fees earned.

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Asked on March 31, 2026Accounting

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Accepted Answer · 2026-03-31T12:24:08.898Z

Here are the adjusting entries: Adjusting Entries 1. Interest expense accrued on loan payable l r r Date & Debit (\) & Credit (\) \\ June 30 & & \\ Interest Expense & 520 & \\ Interest Payable & & 520 \\ (To record accrued interest expense) & & \\ 2. Office supplies used Office Supplies (initial) = 4,020 Office Supplies (on hand) = 560 Office Supplies used = 4,020 - 560 = 3,460 l r r Date & Debit (\) & Credit (\) \\ June 30 & & \\ Office Supplies Expense & 3,460 & \\ Office Supplies & & 3,460 \\ (To record office supplies used) & & \\ 3. Depreciation of office equipment l r r Date & Debit (\) & Credit (\) \\ June 30 & & \\ Depreciation Expense & 1,020 & \\ Accumulated Depreciation—Office Equipment & & 1,020 \\ (To record depreciation expense) & & \\ 4. Unearned fees earned Unearned Fees (initial) = 1,100 Amount earned = 1,100 × (1)/(2) = 550 l r r Date & Debit (\) & Credit (\) \\ June 30 & & \\ Unearned Fees & 550 & \\ Fees Revenue & & 550 \\ (To record unearned fees earned) & & \\ 5. Prepaid rent expired Prepaid Rent (initial) = 2,100 Covers 3 months (June, July, August) Monthly rent expense = (\2,100)/(3) = \700 l r r Date & Debit (\) & Credit (\) \\ June 30 & & \\ Rent Expense & 700 & \\ Prepaid Rent & & 700 \\ (To record expired prepaid rent) & & \\ 6. Prepaid insurance expired Prepaid Insurance (initial) = 2,730 Amount expired = 2,730 × 80\% = 2,184 l r r Date & Debit (\) & Credit (\) \\ June 30 & & \\ Insurance Expense & 2,184 & \\ Prepaid Insurance & & 2,184 \\ (To record expired prepaid insurance) & & \\ 7. Accrued salaries expense l r r Date & Debit (\) & Credit (\) \\ June 30 & & \\ Salaries Expense & 1,660 & \\ Salaries Payable & & 1,660 \\ (To record accrued salaries expense) & & \\ 8. Accrued telephone expense l r r Date & Debit (\) & Credit (\) \\ June 30 & & \\ Telephone Expense & 670 & \\ Telephone Payable & & 670 \\ (To record accrued telephone expense) & & \\

Accepted Answer · 2026-03-31T12:24:08.898Z

Here are the adjusting entries: Adjusting Entries 1. Interest expense accrued on loan payable l r r Date & Debit (\) & Credit (\) \\ June 30 & & \\ Interest Expense & 520 & \\ Interest Payable & & 520 \\ (To record accrued interest expense) & & \\ 2. Office supplies used Office Supplies (initial) = 4,020 Office Supplies (on hand) = 560 Office Supplies used = 4,020 - 560 = 3,460 l r r Date & Debit (\) & Credit (\) \\ June 30 & & \\ Office Supplies Expense & 3,460 & \\ Office Supplies & & 3,460 \\ (To record office supplies used) & & \\ 3. Depreciation of office equipment l r r Date & Debit (\) & Credit (\) \\ June 30 & & \\ Depreciation Expense & 1,020 & \\ Accumulated Depreciation—Office Equipment & & 1,020 \\ (To record depreciation expense) & & \\ 4. Unearned fees earned Unearned Fees (initial) = 1,100 Amount earned = 1,100 × (1)/(2) = 550 l r r Date & Debit (\) & Credit (\) \\ June 30 & & \\ Unearned Fees & 550 & \\ Fees Revenue & & 550 \\ (To record unearned fees earned) & & \\ 5. Prepaid rent expired Prepaid Rent (initial) = 2,100 Covers 3 months (June, July, August) Monthly rent expense = (\2,100)/(3) = \700 l r r Date & Debit (\) & Credit (\) \\ June 30 & & \\ Rent Expense & 700 & \\ Prepaid Rent & & 700 \\ (To record expired prepaid rent) & & \\ 6. Prepaid insurance expired Prepaid Insurance (initial) = 2,730 Amount expired = 2,730 × 80\% = 2,184 l r r Date & Debit (\) & Credit (\) \\ June 30 & & \\ Insurance Expense & 2,184 & \\ Prepaid Insurance & & 2,184 \\ (To record expired prepaid insurance) & & \\ 7. Accrued salaries expense l r r Date & Debit (\) & Credit (\) \\ June 30 & & \\ Salaries Expense & 1,660 & \\ Salaries Payable & & 1,660 \\ (To record accrued salaries expense) & & \\ 8. Accrued telephone expense l r r Date & Debit (\) & Credit (\) \\ June 30 & & \\ Telephone Expense & 670 & \\ Telephone Payable & & 670 \\ (To record accrued telephone expense) & & \\

Prepare the adjusting entries for the following items at June 30: Accrued interest expense on loan payable, office supplies used, depreciation of office equipment, and unearned fees earned.

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Prepare the adjusting entries for the following items at June 30: Accrued interest expense on loan payable, office supplies used, depreciation of office equipment, and unearned fees earned.

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More Accounting Questions