During April interest of $250 has accrued (accumulated) on a note payable. However it will be paid on December 31. Required: With regard to the above situation: a. State whether it is a prepaid expense, unearned revenue, accrued revenue or an accrued expense. b. Assuming that the accounting period is 1 month, prepare the necessary adjusting entry on April 30. Answer a. This situation is a Prepaid expense Unearned Revenue Accrued Expense Accrued Revenue b. The necessary adjusting entry is the following: DATE ACCOUNT TITLES April 30 DEBIT CREDIT . $ On April 5 supplies of $200 were purchased and paid in cash. On April 30 a physical count reveals that $130 of supplies was used during the month. Required: With regard to the above situation: a. State whether it is a prepaid expense, umearned revenue, accrued revenue or an accrued expense. b. Assuming that the accounting period is 1 month, prepare the necessary adjusting entry on April 30. Answer a. This situation is a OPrepaid expense Unearned Revenue Accrued Expense Accrued Revenue b. The necessary adjusting entry is the following: DATE ACCOUNT TITLES April 30 DEBIT CREDIT e $ 0