Dellroy Rentals Company faced the following situations. Journalize the adjusting entry needed at December 31, 2016, for each situation. Consider each fact separately.
a. The business has interest expense of $3,200 that it must pay early in January 2017.
b. Interest revenue of $4,100 has been earned but not yet received.
c. On July 1, 2016, when the business collected $12,000 rent in advance, it debited Cash and credited Unearned Rent Revenue. The tenant was paying for two years' rent.
d. Salary expense is $6,100 per day-Monday through Friday-and the business pays employees each Friday. This year, December 31 falls on a Thursday.
e. The unadjusted balance of the Supplies account is $3,200. The total cost of supplies on hand is $1,300.
f. Equipment was purchased on January 1 of this year at a cost of $ 180,000. The equipment's useful life is five years. There is no residual value. Record depreciation for this year and then determine the equipment's book value.