Prepare the December 31, 2018 adjusting entries for the Mansfield Company for the following transactions:

• On September 30, 2018, the Mansfield Company issued a $50,000 note to the James Company. The note was signed with principal and interest at 6% payable on September 30, 2019.

• On October 1, 2018, Mansfield paid its landlord one years rent in advance of $15,000.

• Employees are paid on the 22^nd of the month for salaries earned from the 1^st through 15^th of the month. Salaries earned from the 16^th through the end of the month are paid on the 7^th of the following month. Salaries earned from the December 16^th 31^st are $25,000.