BUS 320F-Land 50000 Note Receivable 40000 Prepaid insurance 48000

Adjust Entries QuestionThe company has a December 31, year end..($) Land 50000 Note Receivable 40000 Prepaid insurance 48000 Machine 20000 Rent Revenue 220000 Supplies expense 12000Question1. The company has a $100,000 payroll each week and employees have a 5 day work week. December 31 is on a Thursday.2. The note was signed on April 1, bears 4% interest, and is due in 3 years.3. Rent was collected on Oct 1 for a ten month rental of a building that the company no longer uses in its own opreations.4. the insurance policy was purchased on Sep. 1 and is for 1 year of coverage.5. Depreciable assets have a 10 yrs life and salvage value of 2000. The straight line method is used.

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