Record the necessary adjusting entry for Huskies Insurance

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Question - Consider the following transactions for Huskies Insurance Company:

1. Equipment costing $38,400 is purchased at the beginning of the year for cash. Depreciation on the equipment is $6,400 per year.

2. On June 30, the company lends its chief financial officer $44,000; principal and interest at 7% are due in one year.

3. On October 1, the company receives $13,600 from a customer for a one-year property insurance policy. Deferred Revenue is credited.

Required - For each item, record the necessary adjusting entry for Huskies Insurance at its year-end of December 31. No adjusting entries were made during the year.

Reference no: EM132497119

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