In December of Year 3 Xatasy Corp. neglected to accrue estimated royalty revenues for product licensing agreements signed during the last quarter of Year 3. All royalties earned in a quarter are due by the end of the following quarter. Royalties are generally expected to be 5% of sales. Year 3 sales for these new licensing agreements signed during the last quarter of the year totaled $100,000. Xatasy is subject to a 30% tax rate on all revenues earned during the year.

Make the needed correcting JE if this error is discovered in early February of Year 4 (after Y3 financial statements are issued)