Determine the impact on the balance sheet accounts if the following information is not used to adjust the accounts of Mood Food Company for the month of January, 2012.

1. The company rents extra office space to Beulah, CPAs. Beulah pays the $6,000 rent annually on January 1.

2. The company has an outstanding loan to its President in the amount of $100,000. The loan accrues interest at the annual rate of 6%. Principal and interest are due January 1, 2014.

3. The company completed work on a project during January that was not yet billed to the client. The client will be charged $3,100.

Answer rating: 100% (QA)

Since it was a loan amount 100000 Mood Food Company ... View the full answer