1 E4-9 The ledger of Howard Rental Agency on March 31 of the current year includes the selected accounts below before adjusting entries have been prepared. Supplies Prepaid Insurance Equipment Accumulated Depreciation-Equipment Notes Payable Unearned Rent Revenue Rent Revenue Interest Expense Salaries and Wages Expense An analysis of the accounts shows the following. 1. The equipment depreciates $280 per month. Debit $ 3,000 Credit 3,600 25,000 $ 8,400 20,000 12,400 60,000 14,000 2. Half of the unearned rent revenue was earned during the quarter. 3. Interest of $400 is accrued on the notes payable. 4. Supplies on hand total $850. 5. Insurance expires at the rate of $400 per month. Instructions Prepare the adjusting entries at March 31, assuming that adjusting entries are made quar- terly. Additional accounts are Depreciation Expense, Insurance Expense, Interest Payable, and Supplies Expense. Date Particular Debit Credit Q2 Shams Company prepares yearly financial statements. Listed below are all the accounts and their balances on the December 31, 2016 trial balance before any adjustments have been made for the year. Cash Accounts Receivable Prepaid Insurance Equipment Supplies Accounts Payable Notes Payable Unearned Service Revenue $13,000 3,700 36,000 $50,000 6,700 33,920 40,000 12,000 For each of the following transactions below, prepare the journal entry to record the adjusting entry required on December 31, the end of the accounting year. (a) A three-year insurance was purchased on August 1, 2016. (b) Supplies worth $4,700 have been used for the year. (c) Notes payable for two years with interest rate of 10% acquired on June 1, 2016. (d) Services performed for the last three days of the years' worth $20,000 have not been recorded or received by December 31, 2011. (e) $2,000 of the unearned revenue remained unearned at the end of the year. (f) Salaries worth $4,000 have not been paid at the end of the year. (g) Equipment was purchased on September 1, 2016. It is estimated to have 5 years of useful life with $10,000 salvage value. Required: Prepare Adjusting entries as at December 31. Date Particular Debit Credit