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1 Waterway Limited has the following information available for accruals for the year ended December 31, 2021. The company adjusts its accounts annually. The December

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1 Waterway Limited has the following information available for accruals for the year ended December 31, 2021. The company adjusts its accounts annually. The December utility bill for $387 was unrecorded on December 31. Waterway paid the bill on January 21, 2 Waterway is open seven days a week and employees are paid a total of $3,710 every Monday for a seven-day (Monday- Sunday) workweek. December 31 is a Friday, so employees will have worked five days (Monday, December 27 to Friday, December 31) that they have not been paid for by yearend. Employees will be paid next on Monday, January 3. 3 Waterway signed a $46,500,5% bank loan on November 1, 2020, due in two years, Interest is payable on the first day of each following month and was last paid on December 1. Waterway receives a fee from Pizza Shop next door for all pizzas sold to customers using Waterway's facility. The amount owing for December is $300, which Pizza Shop will pay on January 4. (Hint: Use the Fees Earned account.) 5. Waterway rented some of its unused warehouse space to a client for $6,400 a month, payable the first day of the following month. It received the rent for the month of December on January 2. 4 For each situation, prepare the adjusting entry required at December 31. (list all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter for the amounts, Round answers to 0 decimal places, c.8.5,275.) No. Date Account Titles and Explanation Debit Credit Dec 1. 31 2. 31 For each situation, prepare the adjusting entry required at December 31. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required. select "No Entry" for the account titles and enter o for the amounts. Round answers to o decimal places, eg,5,275.) Debit Credit No. Date Account Titles and Explanation Dec 31 1 2 31 3. 31 4 31 5. 31 For each situation, prepare the journal entry to record the subsequent cash transaction in 2022. (Record journal entries in the order presented in the problem. List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter for the amounts. Round answers to 0 decimal places, e.g. 5,275.) Debit Credit Date Account Titles and Explanation Jan 21 Jan 3 Jan 1 Jan, 4 Jan, 2

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