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When the accounts of Oriole Inc. are examined, the adjusting data listed below are uncovered on December 31, the end of an annual fiscal period.
1. The prepaid insurance account shows a debit of $4,560, representing the cost of a 2-year fire insurance policy dated August 1 of the current year.
2. On November 1, Rent Revenue was credited for $1,800, representing revenue from a subrental for a 3-month period beginning on that date.
3. Purchase of advertising materials for $869 during the year was recorded in the Advertising Expense account. On December 31, advertising materials of $316 are on hand.
4. Interest of $795 has accrued on notes payable. The interest will be paid in January of the next year.
Problem 1: Prepare the following in general journal form.
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