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"The following (4) situations apply to Howard Electronics, Inc. for the year ended 12/31/23. INSTRUCTIONS -...

"The following (4) situations apply to Howard Electronics, Inc. for the year ended 12/31/23. INSTRUCTIONS - Make any adjusting entries required at 12/31/2023 for each situation. Financial Statements are prepared annually only. Provide an explanation for each entry showing all computations."

1. The company borrowed $50,000 at 6% interest on November 1, 2023, with principal and interest

due on May 1, 2024.

2.
On September 1, 2023, the company received a $15,000, nine-month note bearing interest at an

annual rate of 9% from Hendrix, Inc. for services provided.

3.
On August 1, 2023, the company paid $36,000 for the annual rent on a warehouse. The rent

expense account was debited when the cash was paid.

4.
On January 1, 2023, supplies had a beginning balance of $5,800. Purchases were made
on April 15 and July 25 for $4,500 and $5,500 respectively and debited to Supplies.  
On December 31, supplies on hand were $2,300.
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The answer has been presented in the supporting sheet. For detailed answer refer to the supporting sheet.

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