[bgriffi3]

1. Journalize the adjusting entry required.
a. Depreciation of office equipment is $1,600.00
Question is this just a one entry like Balance or correction

[morgaine300]

Please see the guidelines for posting homework:
Ask Me Help Desk - Announcements in Forum : Homework Help

And I do not understand what "Question is this just a one entry like Balance or correction" means.

[bgriffi3]

I am new at this and we at Ch 3 with problems Serier A

On August 31, 2010, the following data were acculated to assist the accountant in preparing the adjusting entries for Cobalt Realty:

a. Fees accired but unbilled at August 31 are $9,560.00

e. Depreication of office equipment is $1,600.00

1.) Journalize the adjusting entries required at August 31, 2010.

I do not have entries to start with so I am confused on what they expect me to do, just make it similar to a balance correction entry?
Man this is wonderful if folks can respond to problems others have. The teacher mainly lectures not really in a teaching manner. My biggest problem is the understanding of what they want me to do.

[bgriffi3]

Ok I am not getting any response here, so I am thinking maybe you want to see me do somework first.

a. I am thinking
Debit Credit
Fees earned 9560.00
Accounts rec 9560.00

I have not had Depreciation yet, that will take some time.

[ArcSine]

The usual journal entry to record depreciation expense is to debit Depreciation Expense (an Income Statement account), and credit Accumulated Depreciation (a Balance Sheet account).

[morgaine300]

Ok I am not getting any response here, so I am thinking maybe you want to see me do somework first.

First, read my post #2 where I gave you the link to our guidelines about posting homework, which specifically states that we want to see your attempts to do the work first. If you read that, you shouldn't have to guess that we want to see some work.

Also, it's a volunteer site and people come when they have time, and no one is obligated to answer anything, or sometimes don't know how. There aren't any guarantees.

a. I am thinking
Debit Credit
Fees earned 9560.00
Accounts rec 9560.00

Those two accounts are used, but notice it loses any "columns" you attempt to make, so you have to write Dr and Cr on everything. If you've done that in the proper format, which requires listing the debit first, then it's backwards.

What do you mean that you "do not have entries to start with"? You mean that you're not understanding entries? It is definitely necessary to understand the rules of debits & credits first. Adjusting entries are just entries, so they're following the same rules. They're just done for different reasons, but they follow the sames rules. And entries will remain through the class, so it's something you'll have to get down.

The rules:
... Debit... Credit
Assets... increase... decrease
Liabilities... decrease... increase
Equity... decrease... increase
Revenue... decrease... increase
Expense... increase... decrease

Every account has to fit into one of these classifications, so it also requires knowing what accounts go where. Then you need to know if you want to increase or decrease that account. The increasing side is also called the "normal balance." The balance should be on that side. (i.e. cash is an asset, and therefore its normal balance is debit. If you want to increase, you debit; if you want to decrease, you credit. Etc.)

But there's also the interpretation and that isn't something someone can put into a neat package. Adjusting entries follow the rules, but also require the same sort of interpretation.

If you're having questions on specific things, ask them. But it's imperative that you memorize the rules, that you know those five classifications, and that you get a reasonable start on the interpretation part. (That's also partly just experience and practice.)