You have been assigned to examine the financial statement of SPD Company for the year 2015. You discovered the following situations : In October, 2013 the company sold goods $4,600 on credit. This revenue was mistakenly recorded as debit cash and credit sales $6,400 (All cash received in 2014). a. b. On Dec 31, 2014 the company forgot to adjust accrued interest $1,200 from notes payable. (Interest Expense was recorded when it paid during 2015).

You have been assigned to examine the nancial statement of SPD Company for the year 2015. You discovered the following situations : a. In October, 2013 the company sold goods $4,600 on credit. This revenue was mistakenly recorded as debit cash and credit sales $6,400 (All cash received in 2014). b. On Dec 31, 2014 the company forgot to adjust accrued interest $1,200 from notes payable. (Interest Expense was recorded when it paid during 2015). Required : (Ignore income tax consideration) Prepare adjusting or correcting entries on December 31, 2015: If the books have not been closed If the books have been closed