Benson Bicycle specializes in custom painting and design of bicycles. December 31 is the company's fiscal...

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Benson Bicycle specializes in custom painting and design of bicycles. December 31 is the company's fiscal year-end. Information necessary to prepare the year-end adjustments appears below. 1. A three-year fire insurance policy was purchased on July 1, 2024, for $20,100. The company recorded the amount in Prepaid Insurance on July 1. 2. Employee salaries of $26,400 for the month of December will be paid in early January. 3. On November 1, 2024, the company received $8,100 in cash from a customer requesting a custom design for six identical bikes ($1,350 each). The entire amount is recorded in Deferred Revenue on November 1. By the end of the year, four of the bikes have been completed. 4. Supplies at the beginning of the year totaled $3,400. During 2024, additional supplies of $19,400 were purchased and recorded in Supplies at the time of purchase. Supplies remaining at the end of the year total $5,400. 5. Benson paid a local radio station $13,400 for four months of advertising on December 1, 2024. The advertising will appear evenl over the four-month period. The company recorded the entire amount in Prepaid Advertising on December 1. 6. Benson borrowed $38,100 on March 1, 2024. The principal is due to be paid in five years. Interest is payable each March 1 at an annual rate of 10%. Required: Record the necessary adjusting entries on December 31, 2024. W Note: Do not round intermediate calculations. If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Benson Bicycle specializes in custom painting and design of bicycles. December 31 is the company's fiscal year-end. Information necessary to prepare the year-end adjustments appears below. 1. A three-year fire insurance policy was purchased on July 1, 2024, for $20,100. The company recorded the amount in Prepaid Insurance on July 1. 2. Employee salaries of $26,400 for the month of December will be paid in early January. 3. On November 1, 2024, the company received $8,100 in cash from a customer requesting a custom design for six identical bikes ($1,350 each). The entire amount is recorded in Deferred Revenue on November 1. By the end of the year, four of the bikes have been completed. 4. Supplies at the beginning of the year totaled $3,400. During 2024, additional supplies of $19,400 were purchased and recorded in Supplies at the time of purchase. Supplies remaining at the end of the year total $5,400. 5. Benson paid a local radio station $13,400 for four months of advertising on December 1, 2024. The advertising will appear evenl over the four-month period. The company recorded the entire amount in Prepaid Advertising on December 1. 6. Benson borrowed $38,100 on March 1, 2024. The principal is due to be paid in five years. Interest is payable each March 1 at an annual rate of 10%. Required: Record the necessary adjusting entries on December 31, 2024. W Note: Do not round intermediate calculations. If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.

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