On October 31, 2008, the following data were accumulated to assist the accountant in preparing the adjusting entries for Twin Bluffs Realty:
a. Fees accrued but unbilled at October 31 are $11,385.
b. The supplies account balance on October 31 is $2,973. The supplies on hand at October 31 are $740.
c. Wages accrued but not paid at October 31 are $1,500.
d. The unearned rent account balance at October 31 is $9,450, representing the receipt of an advance payment on October 1 of three months’ rent from tenants.
e. Depreciation of office equipment is $2,650.
1. Journalize the adjusting entries required at October 31, 2008.
2. Briefly explain the difference between adjusting entries and entries that would be made to correct errors.