Additional Brief Exercise 199 Prepare adjusting entries for

Additional Brief Exercise 199 Prepare adjusting entries for the following transactions. (Credit account titles are automatically indented when the amount is entered. Do not indent manually If no entry is required, select \"No Entry\" for the account titles and enter O for the amounts. 1. Depreciation on equipment is $900 for the accounting period 2. There was no beginning balance of supplies and purchased $500 of supplies during the period. At the end of the period $150 of supplies were on hand. 3. Prepaid rent had a $1,000 normal balance prior to adjustment. By year end $400 was unexpired No. Account Titles and Explanation Debit Credit 1. 2. 3.

Solution

No. Account Titles and Explanation Debit Credit 1) Depreciation Expense $        900 Accumulated depreciation - Equipment $        900 (To record depreciation expense for year end) 2) Supplies Expense 350 Supplies 350 (To record supplies used during the year) 3) Rent Expense 600 Prepaid Rent 600 (To record rent expired during the year) Working: 2) Supplies- Beginning 0 Add:Supplies purchased 500 Less:Supplies at the end 150 Supplies Expense 350 3) Prepaid Rent-Beginning 1000 Less:Prepaid rent -Ending 400 Rent Expense 600