Prepare the proper adjusting journal entries for the ABC Company. Assume all entries are made at year end, December 31, 2013.
1. A building with a cost of $450,000 a salvage value of $50,000 is purchased on January 1, 2013.
2. The ABC company pays its 10 employees $200 per day, the pay week being Monday through Friday with pay day being the following Tuesday. December 31st is on a Wednesday.
3. ABC borrows $200,000 from Citibank on June 1, 2013. No payments have yet been made to Citibank by ABC.
4. ABC invested in a $200,000, 8% bond issued by the STU Company on March 1st 2013. No payments have been received to date from STU