Using the information in the Worksheet tab, Aging Analysis tab, and Adjustments tab, prepare the adjusting journal entries for the period. Record the entries in the Adjusting Journal Entries tab. (Use letters a-j instead of a date for the date column and round all numbers to the nearest dollar.) SHOW YOUR WORK FOR THE ADJUSTMENT IN THE CELL OR YOU WILL NOT RECEIVE CREDIT FOR THE ENTRY. Type the formula in the appropriate cell, do not type out a separate formula next to a typed in constant number.

Use the following information to prepare the adjusting entries for Rochester Enterprise on the tab Adjusting Journal Entries (3). Journalize your entries in the order presented on this worksheet. Use the letters a - j in the date column. You will also complete the remaining tabs (4) - (9) in the workbook. a. On December 1, 2020, Rochester Enterprise had signed and recorded a 5.4% bank loan (refer to the tab Worksheet (5) for the amount) due in 3 years. This is the only outstanding note payable. b. Prepaid insurance (see the Worksheet) represents a 6-month insurance policy purchased on December 1, 2020. c. On November 1, 2020, Rochester Enterprise had paid and recorded $30,000 for a 6-month lease for office space. d. Unearned revenue (see the Worksheet) represents a 12-month contract for consulting services that will be performed monthly. The payment from the customer was received and recorded on December 1, 2020. e. A physical count revealed that supplies on hand at the end of the month total $2,500. f. Equipment is depreciated on a straight-line basis; residual value is estimated to be $25,000 with an estimated service life of 5 years. The assets were held the entire year. g. On December 1, Rochester Enterprise accepted from Greene Supplies a 7-month note receivable at a 4.7% annual interest rate. h. The company uses the percentage-of-receivables basis for estimating uncollectible accounts. The aging schedule of accounts receivable must be completed to determine management's desired balance for 2020. See tab Aging Analysis (4). i. Accrued wages totaling $70,000 were unpaid and unrecorded at December 31, 2020. j. Utility costs incurred but unrecorded for the month of December were estimated to be $7,000. Balance December 31, 2020 Estimated % Uncollectible Estimated Amount Uncollectible Age of Accounts Current 187,616 2% 130 days past due 125,705 5% 3190 days past due 35,345 10% 25% Over 90 days past due Total Accounts Receivable 30,290 378,956 $ Account Title Adjustments DR CR Adjusted Trial Balance DR CR Income Statement DR CR Unadjusted Trial Balance DR CR 136,789 378,956 16,782 Balance Sheet DR CR Entry Entry Cash Accounts Receivable Allowance for Doubtful Accounts Interest Receivable Note Receivable Merchandise Inventory Prepaid Insurance Prepaid Rent Supplies Equipment Accumulated Depreciation - Equipment aceae Accounts Payable Acom 150,000 361,866 60,000 30,000 46,777 400,000 Entry 75,000 51,709 Salaries & Wages Payable 24,000 350,000 270,600 424,500 120,000 4,050,864 35,933 Unearned Revenue Interest Payable Utilities Payable Note Payable (final payment due 2023) Common Stock Retained Earnings Dividends Sales Consulting Revenue Sales Returns and Allowances Sales Discounts Cost of Goods Sold Salaries & Wages Expense Depreciation Expense - Equipment Bad Debt Expense Insurance Expense Rent Expense Supplies Expense Utilities Expense Interest Revenue Interest Expense 300,000 100,000 1,950,000 1,200,000 65,000 17,325 17,325 5,299,388 5,299,388 Net Income