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please help and please solve this questions In each of the following transactions (a) through ( c ) for Catena's Marketing Company, indicate the effect
please help and please solve this questions
In each of the following transactions (a) through ( c ) for Catena's Marketing Company, indicate the effect of the adjusting entry on the elements of the balance sheet and income statement. Note: Reductions in account balances should be indicated with a minus sign. a. Collected $1,200 rent for the period December 1 of the current year to April 1 of next year, which was credited to Unearned Rent Revenue on December 1. b. Purchased a machine for $32,000 cash on January 1. The company estimates annual depreciation at $3,200. c. Paid $5,000 for a two-year insurance premium on July 1 of the current year, debited Prepaid Insurance for that amount. For each of the following transactions (a) through (c) for Catena's Marketing Company, prepare the adjusting entry at the end of the current year, December 31. The process includes (1) determining if revenue was earned or an expense was incurred and (2) determining whether cash was received or paid in the past or will be received or paid in the future. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. a. Estimated electricity usage at $450 for December; to be paid in January of next year. b. On September 1 of the current year, loaned $6,000 to an officer who will repay the loan principal and interest in one year at an annual interest rate of 14 percent. c. Owed wages to 10 employees who worked four days at $200 each per day at the end of the current year. The company will pay employees at the end of the first week of next yearStep by Step Solution
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