In analyzing the accounts of Sydney Corporation, the adjusting d

In analyzing the accounts of Sydney Corporation, the adjusting data listed below are determined on December 31, the end of an annual fiscal period.
(a) The prepaid insurance account shows a debit of $6,000, representing the cost of a 2-year earthquake insurance policy dated July 1.
(b) On August 1, Rent Revenue was credited for $9,450, representing revenue from subrental for a 7-month period beginning on that date.
(c) Purchase of advertising materials for $3,550 during the year was recorded in the advertising expense account. On December 31, advertising materials costing $500 are on hand.
(d) On November 1, $4,200 was paid for rent for a 6-month period beginning on that date. The rent expense account was debited.
(e) Miscellaneous Office Expense was debited for office supplies of $950 purchased during the year. On December 31, office supplies of $125 are on hand.
(f) Interest of $534 has accrued on notes payable.
1. Give the adjusting entry for each item.
2. What sources would provide the information for each adjustment?


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