At December 31, 2017, Bob Industrial Corporation (BIL) has the followingunadjustedtrial balance:

Cash

$43,200

Accounts Receivable

79,000

Allowance for Doubtful Accounts

$2,500

Merchandise Inventory

54,720

Prepaid Rent

28,000

Investment in Pecan Corp. Bonds

70,000

Plant and Equipment

135,000

Accumulated Depreciation

10,740

Accounts Payable

11,370

Bonds Payable

95,000

Common Shares

170,000

Retained Earnings

97,180

Sales Revenue

225,555

Cost of Goods Sold

154,400

Transportation-Out

11,000

Salaries and Wages Expense

36,500

Interest Expense

2,040

Rent Revenue

16,000

Miscellaneous Expense

6985

Insurance Expense

7,500

$628,345

$628,345

Additional data:

1.The balance in theInsurance Expense accountcontains the premium costs of three policies:

Policy 1, remaining cost of $2,550, 1-yr. term, effective June 1, 2016;

Policy 2, original cost of $2,700, 3-yr. term, effective Oct. 1, 2017;

Policy 3, original cost of $2,250, 1-yr. term, effective Mar. 1, 2017

2.On August 31, 2017, BIL received $16,000 as prepaid rent from a lessee for an 20-month lease beginning on that date, which was credited to the Rent Revenue account.

3.All depreciable assets are depreciated at 10% per year. However, any acquisitions and disposals during the year are depreciated at half this rate. There were no acquisitions of PPE during 2017. On December 31, 2017, the balance in the Plant and Equipment account was $230,000.

4.On December 28, 2017, the bookkeeper incorrectly debited Sales Revenue and credited A/R for a receipt on account from a regular customer of $10,000.

5.At December 31, 2017, salaries accrued but unpaid were $4,500.

6.Based upon an aging of the accounts, Hazelnut estimates that 5% of the Accounts Receivable balance on December 31, 2017 will become uncollectible.

7.On October 1, 2017, BIL purchased, as a temporary investment, $70,000, 6% bonds of XYZ Corp. at par. The bonds mature on August 1, 2020. Interest payment dates are July 31 and January 31.

8.On April 30, 2017, BIL rented a warehouse for $2,000 per month, paying $24,000 in advance.

Q:For the above additional information provided,record the necessary correcting and adjusting entries