Requirements 1 and 2. Using the T-accounts opened for you, insert the unadjusted June 30 balances. Journalize and post the June 30 adjusting entries to the accounts. Identify each adjusting entry by letter.

We will start with Requirement 2, journalizing the journal entries, to assist us in posting to the T-accounts. (Record debits first, then credits. Select the explanation on the last line of the journal entry table.)

a. The long-term debt is payable in annual installments of $60,000, with the next installment due on July31. On that date,Quick Ship will also pay one year's interest at 10%. Interest was paid on July 31 of the preceding year. Make the adjusting entry to accrue interest expense at year-end.

Date Accounts and Explanation Debit Credit (a) b. Gross unpaid salaries for the last payroll of the fiscal year were $4,500. Assume that employee income taxes withheld are $900 and that all earnings are subject to OASDI. (Round amounts to the nearest dollar.)

Date Accounts and Explanation Debit Credit (b) c. Record the associated employer taxes payable for the last payroll of the fiscal year, $4,500. Assume that the earnings are not subject to unemployment. (Round amounts to the nearest dollar.)

Date Accounts and Explanation Debit Credit (c) d. On February 1, the company collected one year's rent of $6,000 in advance.

Date Accounts and Explanation Debit Credit (d) The selected T-accounts have been opened for you. Insert the unadjusted June 30 balances, using a "Beg. Bal." posting reference to show the unadjusted balance of each account. If an account has a zero unadjusted balance, enter a "0" on the normal balance side of the account. Post the adjusting entries to the T-accounts using the corresponding letters (a) through (d) as posting references. Use a "Bal." posting reference to show the ending balance of each account. Accounts Payable FICA-OASDI Taxes Payable Interest Payable FICA-Medicare Taxes Payable Salaries Payable Unearned Rent Revenue Employee Income Taxes Payable Long-Term Notes Payable Requirement 3. Prepare the current liabilities section of the balance sheet at June30, 2016. Quick Ship Balance Sheet (partial) June 30, 2016

General Ledger Accounts Payable	$114,000
Interest Payable	0
Salaries Payable	0
Employee Income Taxes Payable	0
FICA-OASDI Taxes Payable	0
FICA-Medicare Taxes Payable	0
Federal Unemployment Taxes Payable	0
State Unemployment Taxes Payable	0
Unearned Rent Revenue	6,000
Long-Term Notes Payable	300,000

a.	The long-term debt is payable in annual installments of $60,000, with the next installment due on July 31 On that date, Quick Ship will also pay one year's interest at 10%. Interest was paid on July 31 of the preceding year. Make the adjusting entry to accrue interest expense at year-end.
b.	Gross unpaid salaries for the last payroll of the fiscal year were $4,500. Assume that employee income taxes withheld are $900 and that all earnings are subject to OASDI.
c.	Record the associated employer taxes payable for the last payroll of the fiscal year, $$4,500. Assume that the earnings are not subject to unemployment.
d.	On February 1, the company collected one year's rent of $6,000 in advance.

For all payroll calculations, use the following tax rates and round amounts to the nearest cent:

Employee:	OASDI: 6.26.2% on first $ 117 comma 000$117,000 earned; Medicare: 1.451.45% up to $ 200 comma 000$200,000, 2.352.35% on earnings above $ 200 comma 000$200,000.
Employer:	OASDI: 6.2% on first $117,000 earned; Medicare: 1.45% on all earnings.