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Novak Corp. has the following information available for accruals for the year ended December 31,2022 . The company adjusts its accounts annually. 1. The December
Novak Corp. has the following information available for accruals for the year ended December 31,2022 . The company adjusts its accounts annually. 1. The December utility bill for $772 was unrecorded on December 31 . Novak paid the bill on January 11. 2. Novak is open 7 days a week and employees are paid a total of $6,160 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. Novak signed a $79,200,5% bank loan on November 1, 2021, due in 2 years. Interest is payable on the first day of each following month (For example, interest incurred during November is paid on December 1 .). 4. Novak receives a fee from Pizza Shop next door for all pizzas sold to customers using Novak's facility. The amount owed for December is $528, which Pizza Shop will pay on January 4 . (Hint: Use the Service Revenue account.) 5. Novak rented some of its unused warehouse space to a client for $10,560 a month, payable the first day of the following month. It received the rent for the month of December on January 2. Aal. Open. Bal. 4 Totals eTextbook and Media eTextbook and Media
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