Read the description of following adjustments that are required at the end of the accounting period for Paulo Consulting Services. Record the necessary adjusting entries on page 2 of a general journal. Omit the descriptions.
A. Equipment purchased on January 1, 2013, for $24,000 has an estimated useful life of 5 years with no salvage value. Depreciation is computed using the straight-line method.
B. Signed a 3-month contract for $4,500 of prepaid advertising on January 1, 2013.
C. Prepaid rent for the year on January 1, 2013. Rent expired during the month of January 2013, $1,600.
D. Purchased supplies for $2,000 on January 1, 2013. Inventory of supplies was $1,200 on January 31, 2013.

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The Answer of Read the description of following adjustments that are required at the end of the accounting period for Paulo Consulting Services. Record the necessary adjusting entries on page 2 of a general journal. Omit the descriptions.
A. Equipment purchased on January 1, 2013, for $24,000 has an estimated useful life of 5 years with no salvage value. Depreciation is computed using the straight-line method.
B. Signed a 3-month contract for $4,500 of prepaid advertising on January 1, 2013.
C. Prepaid rent for the year on January 1, 2013. Rent expired during the month of January 2013, $1,600.
D. Purchased supplies for $2,000 on January 1, 2013. Inventory of supplies was $1,200 on January 31, 2013.

Read the Description of Following Adjustments That Are Required at the End