Elizabeth Barrett owns and manages Kinelee's Irish Pub. Elizabeth prepares her operation's financial statements using accrual accounting and a calendar year.

On Dec 1 of the current year Elizabeth borrowed, by signing a 6 month personal not, $50,000 from her local bank to purchase new dispensing systems that will allow her to expand the number of draft beer she can serve. Annual interest on the note is 12%. No principal repayment or interest payments are due on the note until May 31 of next year, at which time all of the principal and interest are due.

On Dec 31 of this year, Elizabeth prepares her year-end income statement and balance sheet. Answer the interest payable accounts to properly record the impact of this loan on her year-end financial statements.

Kinelees Irish Pub Year-End Adjusting Entry
(a)	What is the amount of the adjusting accounting entry that Elizabeth must make?
(b)	What is the name of the account that must be debited?
(c)	What is the name of the account that must be credited?
(d)	On which financial statement will the account to be debited be found?
(e)	On which financial statement will the account to be credited be found?
(f)	What would be the impact on the interest expense account if this adjusting entry is not completed?
(g)	What would be the impact on net income if this adjusting entry is not completed?
(h)	What would be the impact on owners' equity if this adjusting entry is not completed?
(i)	What would be the impact on the interest payable account if this adjusting entry is not completed?