3:17 Explain why companies.sometimes recognize deferrals for prepaid expenses and deferted revenues. Give an example of an adjusting entry to update each of these items at yearend. 3-18 Explain. wby companies sometimes recognize accruals for accrued expenses and accrued revenues. Give an example of an adjusting entry to record each of these items. 3-19 Give two examples of adjusting entries to record estimated, iteros. Joclude in one example a discussion of how straight-line depreciation expense is computed