Prepare the adjusting entries for the month of March.
The ledger of Buerhle, Inc. on March 31, 2011, includes the following selected accounts before adjusting entries.
Debit
Credit
Prepaid Insurance
2,400
Office Supplies
2,500
Office Equipment
30,000
Unearned Revenue
10,000
An analysis of the accounts shows the following:
1. Insurance expires at the rate of $300 per month.
2. Supplies on hand total $900.
3. The office equipment depreciates $500 per month.
4. 2/5 of the unearned revenue was earned in March.
Prepare the adjusting entries for the month of March.