At the end of its first year, the trial balance of Blossom Company shows Equipment $21,500 and zero balances in Accumulated Depreciation-Equipment and Depreciation Expense. Depreciation for the year is estimated to be $4,300. Prepare the adjusting entry for depreciation at December 31.

The adjusting entry is shown below.

Explanation:

According to the scenario, the given data are as follows:

Estimated depreciation for year = $4,300

So, the adjusting entry for depreciation is shown below:

Adjusting Entry

Dec. 31

Depreciation expense A/c Dr. $4,300

To Accumulated Depreciation-Equipment A/c $4,300

(Being the Depreciation expense is recorded)