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Use the following information for the Exercises below. (Static) [The following information applies to the questions displayed below.] a. M&R Company provided $2,000 in
Use the following information for the Exercises below. (Static) [The following information applies to the questions displayed below.] a. M&R Company provided $2,000 in services to customers in December, which are not yet recorded. Those customers are expected to pay the company in January following the company's year-end. b. Wage expenses of $1,000 have been incurred but are not paid as of December 31. c. M&R Company has a $5,000 bank loan and has incurred (but not recorded) 8% interest expense of $400 for the year ended December 31. The company will pay the $400 interest in cash on January 2 following the company's year-end. d. M&R Company hired a firm that provided lawn services during December for $500. M&R will pay for December lawn services on January 15 following the company's year-end. e. M&R Company has earned $200 in interest revenue from investments for the year ended December 31. The interest revenue will be received on January 15 following the company's year-end. f. Salary expenses of $900 have been earned by supervisors but not paid as of December 31. Exercise 3-12 (Static) Analyzing adjusting entries using accounting equation LO P3, P4 For each of the above separate cases, analyze each adjusting entry by showing its effects on the accounting equation-specifically, identify the accounts and amounts (including (+) increase or (-) decrease) for each transaction or event. b d 0. t Assets Liabilities Equity Exercise 3-12 (Static) Analysing adjusting entries using accounting equation LO P3 P4 Mich Y J - O 4 4 x C v B N M x x command L conmant 4 3 option
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