Instructions (1) For each of the above transactions, prepare the journal entry to record the initial transaction (b) For each of the above tractions, prepare the adjusting joumal entry that is required on December 31. (Hint: Use the account Service Revenue for item 3 and Repairs and Maintenance Expense for item 4) (c) Post the journal entries in parts () and (b) to accounts and determine the final balance in each account balance. (Now: Posting to the Cash account is not required) E4-18 Greenock Limited has the following information available for accruals for the year ended December 31, 2017. The company adjusts its accounts annually. 1. The December utility bill for 5425 was unrecorded on December 31, Greenock paid the bill on January 11. 2. Greenock is open 7 days a week and employees are paid a total of $3,500 every Monday for a 7-day (Monday-Sunday) workweek. December 31 is a Thursday, so employees will have worked 4 days (Monday, December 28-Thursday, December 31) that they have not been paid for by year-end. Employees will be paid next on January 4. 3. Greenock signed a $45,000, 5% bank loan on November 1, 2016, due in 2 years. Interest is payable on the first day of each following month. 4. Greenock receives a fee from Pizza Shop next door for all pinas sold to customers using Greenocks facility. The amount owed for December is $300, which Pizza Shop will pay on January 4. (Hint: Use the Service Revenue account) 5. Greenock rented some of its used warehouse space to a client for $6,000 a month, payable the first day of the following month. It received the rent for the month of December on January 2 Instruction () For each situation, prepare the adjusting entry required at December 31. (Round all calculations to the nearest dollar) (b) For cach situation, prepare the journal entry to record the subsequent cash transaction in 2018. Check y EXERCISE 4-18 (a. only) Prepare Adjusting Entries GENERAL JOURNAL Account Titles ADJUSTING ENTRIES Debit Credit Date 2017 1111 1. Dec. 31 2. Dec. 31 3 Dec 31 Notes: Assume the note is issued on November 1, 2017 & ignore the 2 sentence regarding payment of interest on the 1" day of the following month. 4. Dec. 31 5. Dec. 31 Check figure: Total debits = $9,100