The records of Jerick Corp. show the following information. Required: Prepare adjusting journal entries to adjust the books of Jerick Corp. at December 31, 2016. 30 points (a) Purchased a three-year property insurance policy for $10, 800 on September 1, 2016, and recorded the premium payment by a debit to the asset account-Prepaid Insurance. Record the adjusting entry for four months' insurance expense on 12/31/16. (b) Borrowed $60,000 on a 1-year, 12% note on August 1, 2016. Interest is payable at maturity. Record the adjusting entry for five months' interest expense for 2016 and the credit is to the liability-Interest Payable. (c) Collected $8, 400 on September 1, 2016, to cover six months' rent paid in advance, and recorded the receipt in a revenue account. Record the adjusting entry for four months' insurance revenue for 2016. (d) The Allowance for Doubtful Accounts shows an unadjusted balance of $500 (debit) as of December 31, 2016. Based on the 12/31/balance of Accounts Receivable (1% of 187, 200). it is determined that the credit balance in the allowance account should be $1, 872 at 12/31/16