Assume the unadjusted and adjusted trial balances for Milky Way Theater, Inc., at November 30, 2010, show the following data:

Requirement 1. Journalize the adjusting entries that account for the differences between the two trial balances.

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Milky Way Theater, Inc. Trial Balance November 30, 2010 UNADJUSTED ADJUSTED TRIAL BALANCE TRIAL BALANCE ACCOUNT DR. CR. DR. CR. Cash $ 9,200 $ 9,200 Accounts Receivable 6,200 6,200 Supplies 2,200 800 Prepaid Rent 3,600 2,700 Equipment 26,000 26,000 Accumulated Depreciation, Equipment $ 4,700 $ 6,200 Accounts Payable 2,600 2,600 Salary Payable 1,250 Interest Payable 290 Unearned Service Revenue 3,000 2,100 Notes Payable 7,000 7,000 Common Stock 15,000 15,000 Retained Earnings 2,900 2,900 Dividends 12,000 12,000 Service Revenue 53,400 54,300 Salary Expense 23,600 24,850 Rent Expense 4,800 5,700 Depreciation Expense, Equipment 750 2,250 Interest Expense 250 540 Supplies Expense 1,400 Total $88,600 $88,600 $91,640 $91,640