Practice Problem-Adjusting Entries Prepared Quarterly Cami Company has the following balances in select accounts on December 31, 2021. All accounts have normal balances. Accounts Receivable Accumulated Depreciation $ 0 50,000 Salaries and Wages Payable Equipment 40,000 Interest Payable o Unearned Service Revenue 96,000 Supplies 12,000 Prepaid Insurance 24,000 Notes Payable 120,000 The information below has been gathered at December 31, 2021. Prior adjustments have been made for quarters one through three. Interest will be paid when the note is repaid. 1. December 31 is a Tuesday and employees are paid on Fridays. Cami Company has two employees who are paid $1,000 each for a 5-day work week. 2. Supplies on hand total $1,700. 3. Cami Company paid $24,000 for 24 months of insurance coverage effective May 1, 2021. 4. Cami Company borrowed $120,000 signing a 10%, one-year note on March 1, 2021. 5. The equipment was purchased on July 1, 2021. The equipment depreciates $4,000 a year. 6. Cami Company has invoices representing $40,000 of services performed during the last few days of the year. These services have not been recorded as of December 31, 2021. 7. Advertising expenses incurred but not paid on December 31, 2021, are $3,800. 8. On August 1, 2021, Cami Company collected $96,000 for consulting services to be performed evenly from September 1, 2021, through April 30, 2022. Instructions: Prepare adjusting entries for the eight items described above. Cami Company prepares adjustments quarterly. Skip a line between journal entries.