Refer to E4-4.

Required:

Record the required adjusting journal entry for transactions (a) and (b).

Data from E4-4:

Mobo, a wireless phone carrier, completed its first year of operations on October 31. All of the year’s entries have been recorded, except for the following:

a. At year-end, employees earned wages of $6,000, which will be paid on the next payroll date, November 6.

b. At year-end, the company had earned interest revenue of $3,000. It will be collected December 1.