Selected accounts of The Willard Company are shown below as of January 31 of the current year, before any adjusting entries have been made. Willard's accounting year begins on January 1.

Determine the financial statement effect of the necessary January 31 adjustments:
a) Prepaid advertising represents advertising for January, February, and March.
b) January 31 supplies on hand total $1,100.
c) Test equipment is expected to last 10 years.
d) Last month the firm received $5,600 of service fees in advance. The firm performed the necessary work during January.
e) Accrued salaries not recorded at January 31 are $1,000.
Using the following format, in the column of the respective account classification, write the 1) name of each account affected by the transaction, and 2) the dollar amount and direction of the effect on Assets, Liabilities, Equity, Revenues and Expenses, for each of the adjustments necessary at the end of January:

Question

Selected accounts of The Willard Company are shown below as of January 31 of the current year, before any adjusting entries have been made. Willard's accounting year begins on January 1.
  
Determine the financial statement effect of the necessary January 31 adjustments:
a) Prepaid advertising represents advertising for January, February, and March.
b) January 31 supplies on hand total $1,100.
c) Test equipment is expected to last 10 years.
d) Last month the firm received $5,600 of service fees in advance. The firm performed the necessary work during January.
e) Accrued salaries not recorded at January 31 are $1,000.
Using the following format, in the column of the respective account classification, write the 1) name of each account affected by the transaction, and 2) the dollar amount and direction of the effect on Assets, Liabilities, Equity, Revenues and Expenses, for each of the adjustments necessary at the end of January:

Quizplus · Accepted Answer

The Answer of Selected accounts of The Willard Company are shown below as of January 31 of the current year, before any adjusting entries have been made. Willard's accounting year begins on January 1.
  
Determine the financial statement effect of the necessary January 31 adjustments:
a) Prepaid advertising represents advertising for January, February, and March.
b) January 31 supplies on hand total $1,100.
c) Test equipment is expected to last 10 years.
d) Last month the firm received $5,600 of service fees in advance. The firm performed the necessary work during January.
e) Accrued salaries not recorded at January 31 are $1,000.
Using the following format, in the column of the respective account classification, write the 1) name of each account affected by the transaction, and 2) the dollar amount and direction of the effect on Assets, Liabilities, Equity, Revenues and Expenses, for each of the adjustments necessary at the end of January:

Selected Accounts of the Willard Company Are Shown Below as of January