Review of Deferred Revenue:

$1.$ On April $1,$ customer pays the company $$12,000$ for one year$$s service.

$2.$ On December $31,$ company adjusts books.

Review of Interest Expense:

$1.$ On November $1,$ company takes out a $9$ month, $6\%,$ $$100,000$ note payable with the bank.

$2.$ On December $31,$ company adjusts books.