The unadjusted trial balance for sierra corp. is shown below.

sierra corporation trial balance october 31, 2017
debit credit
cash $15,200
supplies 2,500 `
prepaid insurance 600
equipment 5,000
notes payable $5,000
accounts payable 2,500
unearned service revenue 1,200
common stock 10,000
retained earnings 0
dividends 500
service revenue 10,000
salaries and wages expense 4,000
rent expense 900
$28,700 $28,700
assume the following adjustment data.

1. supplies on hand at october 31 total $500.
2. expired insurance for the month is $100.
3. depreciation for the month is $75
4. as of october 31, services worth 4\$800 related to the previously recorded unearned revenue had been performed.
5. services performed but unbilled and no receivables have been recorded at october 31 are $280.
6. interest expense accrued at october 31 is $70.
7. accrued salaries at october 31 are $1,400

prepare the adjusting entries for the items above.

Suppose that jim plans to borrow money for an education at texas a& m university. jim will need to borrow $25,000 at the end of each year for the next five years (total=$125,000). jim wishes his parents could pay for his education but they can’t. at least, he qualifies for government loans with a reduced interest rate while he is in school. he has a special arrangement with aggiebank to lend him the money at a subsidized rate of 1% over five years without having to make a payment until the end of the fifth year. however, at the end of the fifth year, jim agrees to pay off the loan by borrowing from longhorn bank. longhorn bank will lend him the money he needs at an annual interest rate of 6%. jim agrees to pay back the longhorn bank with 20 annual payments and the payments will be uniform (equal annual payments including principal and interest). (i) calculate how much money jim has to borrow at the end of 5 years to pay off the loan with aggiebank. a. $121,336 b. $127,525 c. $125,000 d. $102,020 e. none of the above