Zheng Corporation had the following selected transactions in the month of March. The company adjusts its accounts monthly.

1. Th e company has an 8%, $12,000 bank loan payable due in one year. Interest is payable on the first day of each following month.
2. At the end of March, the company earned $250 interest on its investments. The bank deposited this amount in Zheng’s cash account on April 1.
3. Zheng has five employees who each earn $200 a day. Salaries are normally paid on Fridays for work completed Monday through Friday of the same week. Salaries were last paid on Friday, March 27. March 31 falls on a Tuesday this year. Salaries will be paid next on Friday, April 3.
4. At the end of March, the company owed the utility company $550 and the telephone company $200 for services received during the month. These bills were paid on April 10.
5. At the end of March, Zheng has earned service revenue of $3,000 that it has not yet billed. It bills its clients for this amount on April 4. On April 30, it collects $2,000 of this amount due.

Instructions
(a) For each of the above situations, prepare the adjusting journal entry required at March 31.
(b) For each of the above situations, prepare the journal entry to record the subsequent cash transaction in April.