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Yummy Foods purchased a two-year fire and extended coverage insurance policy on August 1, 2018, and charged the $3,960 premium to Insurance expense. At its December 31, 2018, year-end, Yummy Foods would record which of the following adjusting entries? Insurance expense 825 Prepaid insurance Insurance payable 3, 135 3,960 Prepaid insurance 3, 135 3,135 Insurance expense 825 Prepaid insurance 825 Insurance expense 825 Insurance expense 825 Prepaid insurance The employees of Neat Clothes work Monday through Friday. Every other Friday the company issues payroll checks totaling $31,000. The current pay period ends on Friday, July 3. Neat Clothes is now preparing quarterly financial statements for the three months ended June 30. What is the adjusting entry to record accrued salaries at the end of June? Prepaid salaries Salaries payable 9, 300 9,300 Salaries expense 21, 700 Prepaid salaries Salaries payable 9, 300 31, 000 Salaries expense Salaries payable 6, 200 6, 200 Salaries expense 21,700 Salaries payable 21, 700 Mama's Pizza Shoppe borrowed $9,800 at 12 % interest on May 1, 2018, with principal and interest due on October 31, 2019. The company's fiscal year ends June 30, 2018. What adjusting entry is necessary on June 30, 2018? Prepaid interest Interest payable 196 196 Interest expense Interest payable 196 196 Interest expense 392 Interest payable 392 No entry On September 15, 2018, Oliver's Mortuary received a $8,400, nine-month note bearing interest at an annual rate of 8 % from the estate of Jay Hendrix for services rendered. Oliver's has a December 31 year-end. What adjusting entry will the company record on December 31, 2018? Interest receivable 672 Interest revenue 196 Cash 476 Interest receivable 196 Notes receivable 196 Interest receivable 476 Interest revenue 476 Interest receivable 196 Interest revenue 196