Solved

Garvey Company's Unadjusted Trial Balance Includes the Following Account Balances

Question 235

Essay

Garvey Company's unadjusted trial balance includes the following account balances as of December 31,2015:
Garvey Company's unadjusted trial balance includes the following account balances as of December 31,2015:     The following data are available to determine adjusting entries:  A) Insurance purchased at the beginning of July for $8,700 provided coverage for twelve months (July 2015 through June 2016). The insurance coverage for July through December totaling $4,250 has now been used. B) The company estimates $8,150 in depreciation each year. C) A count showed $85,700 of supplies on hand at the end of the year. D) An additional $260 of interest has been earned but has not yet been uncollected on the outstanding notes receivable. E) Services in the amount of $5,600 were performed for customers who had previously paid in advance. F) Services in the amount of $2,000 were performed; these services have not yet been billed or recorded.
The following data are available to determine adjusting entries:
A) Insurance purchased at the beginning of July for $8,700 provided coverage for twelve months (July 2015 through June 2016). The insurance coverage for July through December totaling $4,250 has now been used.
B) The company estimates $8,150 in depreciation each year.
C) A count showed $85,700 of supplies on hand at the end of the year.
D) An additional $260 of interest has been earned but has not yet been uncollected on the outstanding notes receivable.
E) Services in the amount of $5,600 were performed for customers who had previously paid in advance.
F) Services in the amount of $2,000 were performed; these services have not yet been billed or recorded.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents