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Part 2) Complete the end of year accrual adjustments for the following situations. Put each end of year adjustment (A, B, C, and D) on
Part 2) Complete the end of year accrual adjustments for the following situations. Put each end of year adjustment (A, B, C, and D) on its own page. It is 12/31/2022 and Bulldog Farms need to do their end of year adjustments for 2022. Remember, EOY adjustments can be positive or negative. The adjustments they need to complete are: A) Feeder Livestock Inventory Raised for Sale adjustment (20 points) - (the example on pages 77- 79 will help). - At the beginning of the year (1/1/2022) they had $34,000 of raised feeder livestock on hand. -During 2022, they sold $109,000 worth of market livestock. - At the end of the year (12/31/2022) they had $48,000 of raised feeder livestock on hand. B) Feed Inventory Purchased for Use adjustment (20 points) - (the example on pages 69-72 will help). - At the beginning of the year (1/1/2022) they had $68,000 of purchased feed on hand. -During 2022, they bought $212,000 worth of feed. - At the end of the year (12/31/2022) they had $57,000 of purchased feed on hand. C) Interest Payable adjustment (20 points) - (the example of pages 84-85 will help). - At the beginning of the year (1/1/2022) the Interest Payable balance was $4,000. -During 2022, they had Interest Expenses of $7,000. - At the end of the year (12/31/2022) they determine they have accrued interest of $6,000. D) Prepaid Expense adjustment (20 points) - (the example on pages 79-80 will help). - At the beginning of the year (1/1/2022) they had $24,000 of prepaid insurance. - On September 1, 2022, they purchased a new one-year insurance policy for $48,000. - You will need to determine how much unpaid insurance remains at the end of the year (12/31/2022) in order to complete this adjustment. For each end-of-year accrual adjustment, 1) calculate the necessary adjustment, 2) complete the related journal entry, 3) complete the income statement adjustment, and 4) show the proper balance sheet entry for the relevant account
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