Question

The bookkeeper for Sunland Company asks you to prepare the following accrual adjusting entries at December 31. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.)
A. Interest on notes payable of $370 is accrued.
B. Services performed but unbilled totals $1,830.
C. Salaries of $900 earned by employees have not been recorded.

Answer 1

Answer:

Explanation:

The adjusting entries are shown below:

A. Interest expense A/c Dr $370

            To Interest Payable            $370

(Being accrued interest adjusted)

B.  Accounts receivable A/c Dr $1,830

         To Service revenue A/c                $1,830

(Being unbilled amount recorded)

C. Salary expense A/c Dr $900

            To Salary Payable            $900

(Being earned salaries are recorded)