Req A and C to Reg B Show how the December 31, Year 1, adjusting entry to recognize the accrued interest exper equation. (Do not round intermediate calculations. Round your answers to the nearest whole decreases to account balances with a minus sign.) Assets LEACH COMPANY Accounting Equation for Year 1 Liabilities Equity Note Interest Common Payable " Payable Stock - Event Cash = Retained Earnings Note Adj.