On April 1, Griffith Publishing Company received $1,548 from Santa Fe, Inc. for 36-month subscriptions to several different magazines. The company credited Unearned Fees for the amount received and the subscriptions started immediately. What is the adjusting entry that should be recorded by Griffith Publishing Company on December 31 of the first year?

Options:

	debit Unearned Fees, $1,548; credit Fees Earned, $1,548.
	debit Unearned Fees, $516; credit Fees Earned, $516.
	debit Unearned Fees, $1,161; credit Fees Earned, $1,161.
	debit Unearned Fees, $129; credit Fees Earned, $129.
	debit Unearned Fees, $387; credit Fees Earned, $387.

On December 1, Milton Company borrowed $300,000, at 8% annual interest, from the Tennessee National Bank. Interest is paid when the loan matures one year from the issue date. What is the adjusting entry for accruing interest that Milton would need to make on December 31, the calendar year-end?

Options:

	debit Interest Payable, $2,000; credit Interest Expense, $2,000.
	debit Interest Expense, $2,000; credit Interest Payable, $2,000.
	debit Interest Expense, $2,000; credit Cash, $2,000.
	debit Interest Expense, $4,000; credit Interest Payable, $4,000.
	debit Interest Expense, $24,000; credit Interest Payable, $24,000.