Fill in the t-accounts for each situation and label each transaction as Deferrals/Prepaid or Accrual. Calculate the adjusted balance and use a Bal. post reference to show the ending balance of each account.

1. Completed services that were paid for six months earlier, $970. The Service Revenue unadjusted balance as of December 31 is $9,100. The Unearned Revenue balance as of December 31 is $8,100.

2. Incurred interest expense of $2,900.

3. A two year insurance policy for $1,320 was purchased on November 1 of the current year. Record the transaction for the year ended December 31.