give journal entries for the following adjustments
salaries 5000 are outstanding
insurance amounting to 2000 is paid in advance
4000 for rent has been received in advance
commission earned but not received 1000
interest on capital 1500
interest on drawings 300
write off 2000 as further debts
closing stock 3000
i will mark it as a brainlist who answered very nicely and one more thing is that the answers should draw in columns and explain
Answers
Answer:
journal entries:
1.salary a/c....dr 5000
to outstanding salary a/c. 5000
2.prepaid insurance a/c....dr. 2000
to insurance a/c. 2000
3.rent a/c....dr 4000
to rent receive in advance a/c. 4000
4.accured commission a/c.....dr. 1000
to commission a/c. 1000
5. (I) interset on capital a/c.....dr 1500
to owner's capital a/c 1500
(II) profit and loss a/c....dr 1500
to interest on Capital a/c. 1500
6(I) owners capital a/c ....dr 300
to interest on drawing a/c. 300
(II) interest on drawing a/c....dr 300
to profit and loss a/c. 300
7.cash a/c.....dr 2000
to debtor a/c. 2000
8.closing stock a/c.....dr 3000
to trading a/c. 3000
Explanation:
hello! friend,I hope this will your answer
1.outstanding salary: it is credited because the owner has to pay it ,as he already consume the services. it is a labality for the owner .
2.prepaid insurance:it is debited because the owner paid it in advance but services of insurance is not consume till now .so ,it is as assets for the owner.
3.rent receive in advance:the rent has received in advance but services are not offered ..so,it is labality for the owner.
4.accured commission: commission earned but not received so,it is also an assets for the owner.
5.interest on capital: it is an assets for the business as it is received by business and we do all the transactions on the behalf of business.
interest on drawing:it is credited as it is labality.
6.debtors: it is credited because these are written off there values go down.
7.closing stock: it is an assets for the business
I am new on brainly,so don't know much about it like how to draw Columns.so I can't.i hope you will understand my situation that why I can't explain the answer in format.
Explanation:
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