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Question Help O Instructor-created question Show Work Fly Away Travel borrowed $38 000 on 1 October 2015 by taking out a one-year loan from the Area One Bank

Accounting

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Question Help O Instructor-created question Show Work Fly Away Travel borrowed $38 000 on 1 October 2015 by taking out a one-year loan from the Area One Bank. Fly Away's interest expense for the remainder of the financial year (October to December) is $836. Requirements 1. Make the adjusting entry to accrue interest expense at 31 December 2015. Date the entry and include its explanation. 2. Post to the T-accounts of the two accounts affected by the adjustment. 3 Use the student to show work button to answer the following, Show the general journal dosing entry. Show the general journal reversing entry, Show the completed ledger account for interest expense Requirement 1. Make the adjusting entry to accrue interest expense at 31 December 2015. Date the entry and include its explanation. (Record debits first, then credits. Explanations will appear on the last line of the journal entry.) Date Credit Journal Entry Accounts and Explanation 31 Interest expense Interest payable Debit 836 Dec 836 To accrue Interest expense Requirement 2. Post to the T-accounts of the two accounts affected by the adjustment Interest payable Interest expense Dec 31 836 Dec 31 836