Refer to Exercise 2 9 and respond to the following requirements Required
Refer to Exercise 2–9 and respond to the following requirements.

1. If Microchip's accountant employed reversing entries for prepayments, which transactions would be affected?
2. Prepare the original transactions creating the prepayments and the adjusting entries at the end of 2011 for the transactions you identified in requirement 1.
3. Prepare the appropriate reversing entries at the beginning of 2012.

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