Financial & Managerial Accounting 3rd Edition by Charles Horngren,Harrison, Walter,Suzanne Oliver

تمرين 16

Explaining worksheet items
Link Back to Chapter 3 ( Adjusting Entries ). Consider the following adjusting entries:

Requirement
1. State one reason why each of the previous adjusting entries were made.
Example: The explanation for journal entry a could be some of the Prepaid rent has expired. Another correct explanation would be the asset account Prepaid rent was overstated. A third correct explanation would be that Rent expense incurred was understated.