Alena Co. was organized on July 1, 2020. Quarterly financial statements are prepared. The unadjusted and adjusted trial balances as of September 30 are shown below.

Instructions
a. Journalize the adjusting entries that were made.
b. Prepare an income statement and an owner’s equity statement for the 3 months ending September 30 and a statement of fi nancial position at September 30.
c. If the note bears interest at 12%, how many months has it been outstanding?

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Alena Co. Trial Balance September 30, 2020 Adjusted Unadjusted Cr. Dr. Dr. Cr. $ 8,700 $ 8,700 Cash Accounts Receivable 10,400 11,500 Supplies Prepaid Rent Equipment Accumulated Depreciation-Equipment Notes Payable Accounts Payable Salaries and Wages Payable Interest Payable Unearned Rent Revenue 1,500 2,200 18,000 650 500 18,000 $ 700 $ -0- 10,000 2,500 10,000 2,500 -0- 725 100 -0- 1,900 22,000 450 Owner's Capital Owner's Drawings 22,000 1,600 1,600 Service Revenue 16,000 1,410 17,100 2,860 Rent Revenue 8,725 Salaries and Wages Expense Rent Expense Depreciation Expense Supplies Expense Utilities Expense Interest Expense 8,000 1,900 3,600 700 850 1,510 1,510 100 $53,810 $53,810 $56,435 $56,435