It is important that you understand how to adjust the accounts at the end of the accounting period. Choose ONE of the transactions below and show the Journal entry in good format with an explanation.

Transactions for Betterton Welding Services:

a. Depreciation for the current year includes equipment, $2,100.

b. Each Monday, Betterton pays employees for the previous weeks work. The amount of weekly payroll is $1,400 for a seven-day workweek (Monday to Sunday). This year, December 31 falls on Thursday.