Financial accounting 16th Edition by Jan Williams,Susan Haka,Mark Bettner ,Joseph Carcello

تمرين 9

On February 1, Watson Storage agreed to rent Hillbourne Manufacturing warehouse space for $300 per month.illbourne Manufacturing paid the first three months' rent in advance.
a.repare the necessary adjusting entry for Hillbourne Manufacturing on February 28, assuming it recorded the expenditure on February 1 as Prepaid Rent.
b.repare the necessary adjusting entry for Watson Storage on February 28, assuming it recorded Hillbourne Manufacturing's payment as Unearned Rent Revenue.