Pastina Company sells various types of pasta to grocery chains as private label brands. The company’s reporting year-end is December 31. The unadjusted trial balance as of December 31, 2024, appears below.

Information necessary to prepare the year-end adjusting entries appears below.
1. Depreciation on the office equipment for the year is $10,000.
2. Employee salaries are paid twice a month, on the 22nd for salaries earned from the 1st through the 15th, and on the 7th of the following month for salaries earned from the 16th through the end of the month. Salaries earned from December 16 through December 31, 2024, were $1,500.
3. On October 1, 2024, Pastina borrowed $50,000 from a local bank and signed a note. The note requires interest to be paid annually on September 30 at 12%. The principal is due in 10 years.
4. On March 1, 2024, the company lent a supplier $20,000, and a note was signed requiring principal and interest at 8% to be paid on February 28, 2025.
5. On April 1, 2024, the company paid an insurance company $6,000 for a one-year fire insurance policy. The entire $6,000 was debited to prepaid insurance at the time of the payment.
6. $800 of supplies remained on hand on December 31, 2024.
7. The company received $2,000 from a customer in December for 1,500 pounds of spaghetti to be delivered in January 2025. Pastina credited deferred sales revenue at the time cash was received.
8. On December 1, 2024, $2,000 rent was paid to the owner of the building. The payment represented rent for December 2024 and January 2025 at $1,000 per month. The entire amount was debited to prepaid rent at the time of the payment.

Required:
Prepare the necessary December 31, 2024, adjusting journal entries.

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Account Title Cash Accounts receivable Supplies Inventory Notes receivable Interest receivable Prepaid rent Prepaid insurance Office equipment Accumulated depreciation Accounts payable Salaries payable Notes payable Interest payable Deferred sales revenue Common stock Retained earnings Dividends Sales revenue Interest revenue Cost of goods sold Salaries expense Rent expense Depreciation expense Interest expense Supplies expense Insurance expense Advertising expense Totals Debits $ 30,000 40,000 1,500 60,000 20,000 0 2,000 6,000 80,000 4,000 70,000 18,900 11,000 0 0 1,100 3,000 $347,500 Credits $ 30,000 31,000 0 50,000 0 2,000 60,000 28,500 146,000 0 $347,500