Hello, I'm trying to get my adjusted trial balance to balance, my Professor isn't the best when it comes to helping people out. I have done these, but I'm not sure if the answers are right.
Reord Depreciation Expense for the month, where approriate:
a) assume all long term assets were purchased on August 1 of the year acquired for depreciation calculations
Equipment #1: Date/Year of Purchase is August 1, 2010, Useful Life is 5 years, No Salvage Value, Original Cost is $5000
Equipment #2: Date/Year of Purchase is August 1, 2011, Useful life is 5 years, No Salvage Value, Original Cost is $1000
The Adjusting Trial Balance is for August 31, 2013.
2. Accure interest on Note Payable. The money was borrowed on November 1, 2012 at an interest rate of 7%. Note Payable is $5000
3. The original license cost was paid in full, representing a 12 month period, on July 1, 2013. PrePaid License is $968.
4. Accrue Wage, assuming a 7 day week, at $100 per day. Employees were paid on August 2, 9, 16, 23, 30.
For the double declining depreciation I ended up with:
#1
Dr Deprecation Expense 3920
Cr Acc Depreciation 3920
#2
Dr Depreciation Expense 784
Cr Acc Depreciation 784
2. 5000*.07/12=29.17*1=29.17
Dr Interest Expense 29.17
Cr Interest Payable 29.17
3. 968/12=80.67*2=161.33
Dr License Expense 161.33
Cr License Payable 161.33
4.
Dr Wages Expense 100
Cr Wages Payable 100
Any help is appreciated, thanks.
Reord Depreciation Expense for the month, where approriate:
a) assume all long term assets were purchased on August 1 of the year acquired for depreciation calculations
Equipment #1: Date/Year of Purchase is August 1, 2010, Useful Life is 5 years, No Salvage Value, Original Cost is $5000
Equipment #2: Date/Year of Purchase is August 1, 2011, Useful life is 5 years, No Salvage Value, Original Cost is $1000
The Adjusting Trial Balance is for August 31, 2013.
2. Accure interest on Note Payable. The money was borrowed on November 1, 2012 at an interest rate of 7%. Note Payable is $5000
3. The original license cost was paid in full, representing a 12 month period, on July 1, 2013. PrePaid License is $968.
4. Accrue Wage, assuming a 7 day week, at $100 per day. Employees were paid on August 2, 9, 16, 23, 30.
For the double declining depreciation I ended up with:
#1
Dr Deprecation Expense 3920
Cr Acc Depreciation 3920
#2
Dr Depreciation Expense 784
Cr Acc Depreciation 784
2. 5000*.07/12=29.17*1=29.17
Dr Interest Expense 29.17
Cr Interest Payable 29.17
3. 968/12=80.67*2=161.33
Dr License Expense 161.33
Cr License Payable 161.33
4.
Dr Wages Expense 100
Cr Wages Payable 100
Any help is appreciated, thanks.
