iting Concepts Questions 7 and 8 refer to the following entries: X Company prepares monthly financial statements. On October 31, its accountant made adjusting entries to recognize $5,635 of unpaid interest expense on a bank loan $1,975 of wages that were earned by employees but not paid . $3,750 of rent and insurance that had expired . $7,176 of depreciation 8ptr. What was the effect of these entries on Retained Earnings in October? 7. AO S-18,536 BO $-23,170 CO s-28,962 DO S-36,203 EO S-45,254 FO $-56,567 8 pt 8. What was the effect of these entries on total equities in October? 8. AO $5,197 BO $-7,535 CO -10,926 DO S-15,843 EO -22,972 FO $-33,309