On December 31, the adjusted trial balance of Select Employment Agency shows the following selected data.

$24,500 $93,800 8,300 1,300 Analysis shows that adjusting entries were made to (1) accrue $5,000 of service revenue and (2) accrue $1,300 interest expense.

Service Revenue Interest Payable Accounts Receivable Interest Expense Instructions

(a) Prepare the closing entries for the temporary accounts shown above at December 31.

(b) Prepare the reversing entries en January 1.

(c) Post the entries in

(a) and (b). Underline and balance the accounts. (Use T-accounts.)

(d) Prepare the entries to record (1) the collection of the accrued revenue on January 10 and (2) the payment-of all interest due ($3,000) on January 15.

(e) Post the entries in

(d) to the temporary accounts.