The ledger of Shamrock, Inc. on March 31, 2017, includes the following selected accounts before adjusting entries. Debit Credit
Supplies 2,610
Prepaid Insurance 2,480
Equipment 22,500
Unearned Service Revenue 12,000

An analysis of the accounts shows the following.

1. Insurance expires at the rate of $310 per month.
2. Supplies on hand total $960.
3. The equipment depreciates $150 per month.
4. During March, services were performed for two-fifths of the unearned service revenue.

Required:
Prepare the adjusting entries for the month of March.

Answer and Explanation:

The adjusting entries are as follows:

1Insurance expense Dr$310

           To Prepaid Insurance  $310

(Being insurance expense is recorded)  

2Supplies expense Dr $1,650 ($2,610 - $960)

           To Supplies $1,650

(Being supplies expense is recorded)  

3Depreciation expense Dr $150

           To Accumulated Depreciation - Equipment $150

(Being depreciation expense is recorded)  

4Unearned service revenue Dr (two-fifth of $12,000) $4,800

           To Service Revenue $4,800

(Being service revenue is recorded)

it was decent, could have been a little better.. how bout you lol.

i think the answer to your question is b. directive