Exercise 4.7 (Algo) Preparing Various Adjusting Entries (LO4-1, LO4-2, LO4-3, LO4-4, LO4-5, L04-6, L04- 9) Sweeney & Allen, a large marketing firm, adjusts its accounts at the end of each month. The following information is available for the year ending December 31, 1. A bank loan had been obtained on December 1. Accrued interest on the loan at December 31 amounts to $1,210. No Interest expense has yet been recorded. 2. Depreciation of the firm's office building is based on an estimated life of 30 years. The building was purchased four years ago for $310,000 3. Accrued, but unbilled, revenue during December amounts to $70,000 4. On March 1, the firm paid $1,800 to renew a 12-month insurance policy. The entire amount was recorded as Prepaid Insurance 5. The firm received $15,000 from King Biscuit Company in advance of developing a six-month marketing campaign. The entire amount was initially recorded as Uneamed Revenue. At December 31, $4,100 ned actually been earned by the firm 6. The company's policy is to pay its employees every Friday. Since December 31 fell on a Wednesday, there was an accrued liability for salaries amounting to $2,400. a. Record the necessary adjusting journal entries on December 31 b. By how much did Sweeney & Allen's net income increase or decrease as a result of the adjusting entries performed in part a? Ignore income taxes.) Complete this question by entering your answers in the tabs below. Required A Required B C