a. On October 1, 2012, Hurricane lends $8,000 to another company. The other company signs a note indicating principal and...
a.
On October 1, 2012, Hurricane lends $8,000 to another company. The other company signs a note indicating principal and 8% interest will be paid to Hurricane on September 30, 2013.
b.
On November 1, 2012, Hurricane pays its landlord $3,000 representing rent for the months of November through January. The payment is debited to Prepaid Rent for the entire amount.
c.
On August 1, 2012, Hurricane collects $15,600 in advance from another company that is renting a portion of Hurricane’s factory. The $15,600 represents one year's rent and the entire amount is credited to Unearned Revenue.
d.
Depreciation on machinery is $4,900 for the year.
e.
Salaries for the year earned by employees but not paid to them or recorded are $3,600.
f.
Hurricane begins the year with $980 in supplies. During the year, the company purchases $3,900 in supplies and debits that amount to Supplies. At year-end, supplies costing $2,500 remain on hand.
for these questions it wants to know what account to use, and what amount to debit and credit into each account.
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