The Information necessary for preparing the December $31,2024,$ year$-$end adjusting entries for Vito's Pizza Parlor appears below. Prepare the necessary adjusting journal entrles on December $31,2024.$

Determine the amount by which net income would be misstated if Vito's falled to record these adjusting entries. $($Ignore Income tax expense.$)$

Answer is complete but not entirely correct.

Complete this question by entering your answers in the tabs below.

Prepare the necessary adjusting journal entries on December $31,2024.$

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field. Do not round intermediate calculations.

$\backslash$table$[[$No$,$Transaction,General Journal,Debit,Credit$],[1,$a$.,$Interest receivable,$775,],[,,$Interest revenue,,$775],[2,$b$.,$Depreciation expense,$1,900>,],[,,$Accumulated depreciation,,$1,900],[3,$c$.,$Deferred rent revenue,$2,100>,],[,,$Rent revenue,,$2,100],[4,$d$.,$Insurance expense,$855,],[,,$Prepaid insurance,,$855],[5,$e$.,$Interest expense,$475,],[,,$Interest payable,,$475],[6,$f$.,$Supplies expense,$910*,],[,,$Supplies,,$910]]$

a$.$ On July $1,2024,$ purchased $$15,500$ of IBM Corporation bonds at face value. The bonds pay Interest twice a year on January $1$ and

July $1.$ The annual interest rate is $10\%.$

b$.$ Vito's depreclable equipment has a cost of $$7,600,$ a four$-$year life, and no salvage value. The equipment was purchased in $2022.$

The straight$-$IIne depreclation method is used.

c$.$ On November $1,2024,$ the bar area was leased to Jack Donaldson for one year. Vito's recelved $$6,300$ representing the first six

months' rent and credited deferred rent revenue at the time cash was recelved.

d$.$ On April $1,2024,$ the company pald $$2,280$ for a two$-$year fire insurance policy and debited prepald insurance at the time of the

payment.

e$.$ On October $1,2024,$ the company borrowed $$19,000$ from a local bank and signed a note. Princlpal and interest at $10\%$ will be pald

on September $30,2025.$

f$.$ At year$-$end, there is a $$1,600$ debit balance in the supples $($asset$)$ account. Only $$690$ of supplies remain on hand.

Required:

Prepare the necessary adjusting journal entrles on December $31,2024.$

Determine the amount by which net Income would be misstated if Vito's falled to record these adjusting entrles. $($Ignore income tax

expense.$)$

Answer is complete but not entirely correct.

Complete this question by entering your answers in the tabs below.

Required $2$

Determine the amount by which net income would be misstated if Vito's failed to record these adjusting entries. $($Ignore

income tax expense.$)$

Note: Amounts to be deducted should be indicated by a minus sign. Do not round intermediate calculations.