Below is the unadjusted trial balance of FOURCO. Using this information, answer questions 19-26.

	Debit	Credit
Cash	$18,300
Accounts receivable	27,000
Prepaid rent	5,000
Office supplies	1,200
Equipment	21,800
Accumulated depreciation		$6,000
Notes payable		8,000
Accounts payable		3,000
Unearned fees		14,000
Capital stock		18,000
Retained earnings		16,000
Fees earned		30,000
Salaries expense	14,000
Utilities expense	2,000
Insurance expense	5,800
Totals	$96,000	$96,000

20. FOURCO has earned fees of $6,000 by performing services for clients, but has not yet recorded those fees. Which is the correct adjusting journal entry?

a. Debit Fees earned 6,000 and credit Accounts receivable 6,000

b. Debit Unearned fees 6,000 and credit Accounts receivable 6,000

c. Debit Accounts receivable 6,000 and credit Fees earned 6,000

d. Debit Accounts receivable 6,000 and credit Unearned fees 6,000

21. Some of FOURCO's clients have paid for their services in advance. During the past month, FOURCO has performed services of $4,600 for some of those clients who have already paid. Which is the correct adjusting journal entry?

a. Debit Fees earned 4,600 and credit Unearned fees 4,600

b. Debit Unearned fees 4,600 and credit Accounts receivable 4,600

c. Debit Accounts receivable 4,600 and credit Fees earned 4,600

d. Debit Unearned fees 4,600 and credit Fees earned 4,600

22. FOURCO determined that $500 of office supplies were used during the month. Which is the correct adjusting journal entry?

a. Debit Office supplies 500 and credit Office supplies expense 500

b. Debit Office supplies expense 700 and credit Office supplies 700

c. Debit Office supplies expense 500 and credit Accounts payable 500

d. Debit Office supplies expense 500 and credit Office supplies 500

23. At the beginning of the current month, FOURCO paid for two months' rent in advance. Which is the correct adjusting journal entry at the end of the current month?

a. Debit Rent expense 2,500 and credit Prepaid rent 2,500

b. Debit Prepaid rent 2,500 and credit Rent expense 2,500

c. Debit Prepaid rent 5,000 and credit Cash 5,000

d. Debit Rent expense 5,000 and credit Prepaid rent 5,000

24. FOURCO depreciates its equipment by $300 per month. Which is the correct adjusting journal entry?

a. Debit Accumulated depreciation 300 and credit Depreciation expense 300

b. Debit Equipment 300 and credit Accumulated depreciation 300

c. Debit Depreciation expense 300 and credit Equipment 300

d. Debit Depreciation expense 300 and credit Accumulated depreciation 300

25. FOURCO signed a note payable at the beginning of the current month. The note carries an interest rate of 6%. The note and all of the interest are due in three months. Which is the correct adjusting journal entry to record interest for the current month?

a. Debit Interest expense 120 and credit Interest payable 120

b. Debit Interest expense 480 and credit Interest payable 480

c. Debit Interest expense 160 and credit Interest payable 160

d. Debit Interest expense 40 and credit Interest payable 40

26. Salaries earned by employees during the month but not yet recorded amounted to $2,300. Which is the correct adjusting journal entry?

a. Debit Salaries payable 2,300 and credit Salaries expense 2,300

b. Debit Salaries expense 2,300 and credit Accounts payable 2,300

c. Debit Salaries payable 2,300 and credit Unearned fees 2,300

d. Debit Salaries expense 2,300 and credit Salaries payable 2,300