The unadjusted trial balance of Sketch Star Makers Inc.,prepared as of December 31,2015,includes the following account balances.All of the accounts listed have normal balances.
The following information is also available:
A) A count of supplies revealed $400 worth on hand at December 31, 2015.
B) An insurance policy, purchased on January 1, 2014, covers four years.
C) The equipment depreciates at a rate of $1,000 per year; no depreciation has been recorded for 2015.
D) Three-fifths (or 60%) of the amount recorded as Unearned Revenue remains unearned as of December 31, 2015
E) The accrued amount of salaries and wages at December 31, 2015 are $2,000.
Required:
Prepare the required adjustments for the company as of December 31, 2015.
Correct Answer:
Verified
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