Read the description of following adjustments that are required at the end of the accounting period for Paulo Consulting Services. Record the necessary adjusting entries required at the end of January on page 2 of a general journal. Omit the descriptions.
A. Equipment was purchased on January 1, 2019, for $60,000 and has an estimated useful life of 7 years with a salvage value of $3,720. Depreciation is computed using the straight-line method.
B. Signed a 5-month contract for $4,500 of prepaid advertising on January 1, 2019.
C. Prepaid rent for the year on January 1, 2019, in the amount of $22,200.
D. Purchased supplies for $3,200 on January 1, 2019. Inventory of supplies was $2,800 on January 31, 2019.

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The Answer of Read the description of following adjustments that are required at the end of the accounting period for Paulo Consulting Services. Record the necessary adjusting entries required at the end of January on page 2 of a general journal. Omit the descriptions.
A. Equipment was purchased on January 1, 2019, for $60,000 and has an estimated useful life of 7 years with a salvage value of $3,720. Depreciation is computed using the straight-line method.
B. Signed a 5-month contract for $4,500 of prepaid advertising on January 1, 2019.
C. Prepaid rent for the year on January 1, 2019, in the amount of $22,200.
D. Purchased supplies for $3,200 on January 1, 2019. Inventory of supplies was $2,800 on January 31, 2019.

Read the Description of Following Adjustments That Are Required at the End