Non-depreciable Accounts
Bank Accounts	Cash on hand	Cash	12/31/2021	26,200
Other Current Assets	Prepaid Expenses	Office Supplies	12/31/2021	1,875
Other Current Assets	Prepaid Expenses	Prepaid Insurance	12/31/2021	2,400
Other Current Liabilities	Other Current Liabilities	Interest Payable	12/31/2021	4,800
Other Current Liabilities	Loan Payable	Short-term business loans	12/31/2021	20,000
Depreciable Accounts	Depreciable Accounts
Fixed Assets	Furniture & Fixtures	Main Office Furniture	12/31/2021	22,000
Fixed Assets	Accumulated Depreciation	Main Office Furniture - Accumulated Depreciation	12/31/2021	8,800
Fixed Assets	Machinery & Equipment	Main Office Equipment	12/31/2021	8,000
Fixed Assets	Accumulated Depreciation	Main Office Equipment - Accumulated Depreciation	12/31/2021	2,200

Create the journal entry adjustments for January 31st using the information below. Five sets (pairs) of adjusting journal entries must be entered.:

- All furniture, fixtures, and office equipment have an estimated five-year life with no salvage value. Depreciation is amortized monthly.

- The prepaid insurance is a general business insurance policy and expires in one year.

- Short-term business loans account is a 12-month note and it is due to Kerry Savings and Loans. Interest is accrued each month, and the annual interest rate is 12 percent.

- Office supplies are counted at the end of each month. Supplies on hand at the end of January are $1,750.

Hint: sum of all debit amounts (or credit amounts) is equal to $1,025.