Use the following to answer questions 9-10 On November 1, the company received a $50,000 payment from a customer for services to be rendered evenly over the next five months. Deferred Revenue was credited on November 1" and no other entries regarding this transaction were made until December 31st. 9. $ 10. S After the adjusting entry has been recorded on December 31", determine the ending balance in the deferred revenue account that should be recorded on the December 31" Balance Sheet. After the adjusting entry has been recorded on December 31", determine the amount of service revenue that should be recognized for this customer on the annual income statement on December 31st. Use the following to answer questions 11-12 On September 1" the company borrows $1,000,000 from a local bank for nine months. A note is signed with principal and 3% interest to be paid when the note matures next year. A note payable was recognized on September 1" and no other entries regarding this transaction were made until December 31st. 11. S In the adjusting entry recorded on December 31" determine the amount of interest expense that should be reported. 12. What effect would failure to record the adjusting entry for this note payable have on the financial statement items? A. would cause it to be overstated B. would cause it to be understated C. would have no effect Assets Liabilities Stockholders' Equity Revenue Expenses Net income