Answer:
depreciation expense 11,000 debit
acc dep equipment 11,000 credit
insurance expense 7,430 debit
prepaid expense 7,430 credit
supplies expense 2,604 debit
supplies 2,604 credit
unearned revenue 8,000 debit
service revenue 8,000 credit
rent expense 3,730 debit
prepaid rent 3,730 credit
wages expense 3,000 debit
wages payable 3,000 credit
Explanation:
9000 insurance - 1,570 unexpired = 7,430 expired
supplies
beginning 420
purchased 2,680
ending (496)
consumed: 2,604
as the service were earned we decrease the unearned amount and recognzie our service revenue
we are given with the expired amount of the rent so we declare it.
same goes for wages, we are givne with the accrued amount
