Don't give answer in image format Journal entry worksheet<2DateDecember 313The balance of Deferred Revenue, $3,000, represents payment in advancefrom a customer. By the end of the year, $750 of the services have beenprovided. Record the adjusting entry on December 31.Note: Enter debits before credits.Record entry4General JournalClear entryDebitCreditView general journal Problem 3-2A (Static) Convert cash-basis accounting to accrual-basis accounting (LO3-1, 3-2)Minutemen Law Services maintains its books using cash-basis accounting. However, the company decides to borrow $100,000 from alocal bank, and the bank requires Minutemen to provide annual financial statements prepared using accrual-basis accounting as partof the creditworthiness verification. During 2024, the company records the following cash flows:$70,000Cash collected from customersCash paid for:SalariesSuppliesRentInsuranceUtilitiesNet cash flowsYou are able to determine the following information:January 1, 2024$21,000Accounts ReceivablePrepaid InsuranceSuppliesSalaries PayableExpenses:$36,0004,0005,0007,0003,0005,0002,700MINUTEMEN LAW SERVICESIncome StatementFor the Year Ended December 31, 2024Total Expenses55,000$15,000Required:Prepare an accrual-basis income statement for the year ended December 31, 2024, by calculating accrual-basis revenues andexpenses.December 31, 2024$24,0003,7002,0004,400

Deferred revenue is cash received in advance . It is for services or products that are to be…

Answered: 2 3 4 ce of Deferred Revenue, $3,000,…

2 3 4 ce of Deferred Revenue, $3,000, represents payment in advanc stomer. By the end of the year, $750 of the services have been Record the adjusting entry on December 31. bits before credits.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter5: The Income Statement And The Statement Of Cash Flows

Section: Chapter Questions

Problem 11C

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