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    Adjusting Entries for Pioneer Advertising Agency Inc.

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    The trial balance for Pioneer Advertising Agency Inc., is shown:
    PIONEER ADVERTISING AGENCY INC.
    Trial Balance
    October 31, 2006
    Debit Credit
    Cash $15,200
    Advertising Supplies 2,500
    Prepaid Insurance 600
    Office Equipment 5,000
    Notes Payable $ 5,000
    Accounts Payable 2,500
    Unearned Revenue 1,200
    Common Stock 10,000
    Retained Earnings -0-
    Dividends 500
    Service Revenue 10,000
    Salaries Expense 4,000
    Rent Expense 900
    =$28,700 = $28,700

    In lieu of the adjusting entries shown in the text at October 31, assume the following adjustment data.

    1. Advertising supplies on hand at October 31 total $850.
    2. Expired insurance for the month is $100.
    3. Depreciation for the month is $50.
    4. Unearned revenue earned in October totals $600.
    5. Services provided but not recorded at October 31 are $450.
    6. Interest accrued at October 31 is $70.
    7. Accrued salaries at October 31 are $1,200.

    Instructions
    Prepare the adjusting entries for the items above.

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    https://brainmass.com/business/the-adjusting-process/adjusting-entries-for-pioneer-advertising-agency-inc-116086

    Solution Preview

    The trial balance for Pioneer Advertising Agency Inc., is shown:
    PIONEER ADVERTISING AGENCY INC.
    Trial Balance
    October 31, 2006
    Debit Credit
    Cash $15,200
    Advertising Supplies 2,500
    Prepaid Insurance 600
    Office Equipment 5,000
    Notes Payable $ 5,000
    Accounts Payable 2,500
    ...

    Solution Summary

    This solution is comprised of adjusting entries for Pioneer Advertising Agency Inc.

    $2.19

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