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levacccp [35]
3 years ago
6

Adjustment for Unearned RevenueOn June 1, 20Y2, Herbal Co. received $42,890 for the rent of land for 12 months.Journalize the ad

justing entry required for unearned rent on December 31, 20Y2. Round your answers to the nearest dollar amount. If an amount box does not require an entry, leave it _______.
Business
1 answer:
serious [3.7K]3 years ago
6 0

Answer:

Dr unearned rent $25,019

Cr rental income              $25,019

Explanation:

The cash received on June 1 20Y2 for 12 months rent would have been debited cash while the unearned rent account would have been debited with the same amount.

As of December 31, 20Y2, the rent of 7-month(June-December) have now been earned and adjusted as follows:

earned rent for 7 months=$42,890*7/12=$25,019

The earned rental income would be debited to unearned rent and credit to rental income

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Answer:

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6 0
3 years ago
Assume that you contribute $200 per month to a retirement plan for 20 years. Then you are able to increase the contribution to $
sveta [45]

Answer:

Total FV= $1,220,441.33

Explanation:

<u>First, we need to calculate the value of the $200 for 20 years. To calculate the future value, we need to use the following formula:</u>

FV= {A*[(1+i)^n-1]}/i

A= monthly deposit

A= 200

n= 20*12= 240

Intertest rate= 0.07/12= 0.005833

FV= {200*[(1.005833^240) - 1]} / 0.005833

FV= $104,180.27

<u>Now, the value of the $300 for 30 years. At the same time, the future amount of the first investment. Each one with its separate formula.  </u>

$300 monthly investment:

n= 300*12= 360

FV= {300*[(1.005833^360) - 1]} / 0.005833

FV= $365,962.41

$104,180.27 investment:

FV= PV*(1+i)^n

FV= 104,180.27*(1.005833^360)

FV= $854,478,92

<u>Finally, the total FV:</u>

Total FV= 854,478.92 + 365,962.41

Total FV= $1,220,441.33

6 0
3 years ago
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Answer:

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Explanation:

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