Reference no: EM131221470
Record the necessary adjusting entries. If any, to be recorded on Demcember 31, 2016. Show all computation.
1, On February 1, 2016, the company loaned $100,000 to a supplier and received a 5-year, 12% note. The first annual interest payment is due January 31, 2017.
2, On November 15, 2016, the company received $50,000 from a customer for accounting services to be provide in 2017. The $50,000 was credited to sales revenue.
3, On December 1, 2016, the company paid $12,000 for a 1-year insurance policy beginning on ths date. Prepaid insurance was debited.
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