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E4-11 (Algo) Determining Financial Statement Effects of Seven Typical Adjusting Entries LO4-1 Johnson's Boat Yard, Inc., repairs, stores, and cleans boats for customers. It is completing the accounting process for the year just ended on November 30. The transactions for the past year have been journalized and posted. The following data with respect to adjusting entries at year-end are available: a. Johnson's winterized (cleaned and covered) three boats for customers at the end of November but did not record the service for $4,600. b. On October 1, Johnson's paid $1,680 to the local newspaper for an advertisement to run every Thursday for 12 weeks. All ads have been run except for three Thursdays in December to complete the 12-week contract. C. Johnson's borrowed $246,000 at a(n) 11 percent annual interest rate on April 1 of the current year to expand its boat storage facility. The loan requires Johnson's to pay the interest quarterly until the note is repaid in three years. Johnson's paid quarterly interest on July 1 and October 1. d. The Sanjeev family paid Johnson's $4,440 on November 1 to store its sailboat for the winter until May 1 of the next fiscal year. Johnson's credited the full amount to Unearned Storage Revenue on November 1. e. Johnson's used boat-lifting equipment that cost $280,000; $28,000 was the estimated depreciation for the current year. f. Boat repair supplies on hand at the beginning of the current year totaled $17,400. Repair supplies purchased and debited to Supplies during the year amounted to $47,300. The year-end count showed $11,600 of the supplies on hand. g. Wages of $5,400 earned by employees during November were unpaid and unrecorded at November 30. The next payroll date will be December 5 of the next fiscal year. Required: For each of the transactions above, indicate the amount and the direction of effects of the adjusting entry on the elements of the balance sheet and income statement. (Enter negative amounts with a minus sign.) Balance Sheet Income Statement Transaction Assets Liabilities Stockholders' Equity Revenues Expenses Net Income a. b. C. d. e. f. g