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The Unadjusted Trial Balance for Snowcrest Ltd. for December 31, 2017, is presented below.

	Debit	Credit
Cash	$ 31,000
Inventory	24,000
Advances to salespersons (Prepaid commissions)	1,000
Prepaid rent	0
Office supplies	2,000
Equipment	20,000
Accumulated amortizationequipment		$ 4,000
Deposits from customers (Revenue received in advance)		0
Bank Loan Common shares		20,000 40,000
Retained earnings		9,000
Sales revenue		220,000
Cost of goods sold	130,000
Salespersons' commissions	35,000
Office salaries	25,000
Rent expense	6,500
Miscellaneous expenses	15,000
Dividends declared	3,500
Totals	$293,000	$293,000

Information for Adjusting Entries:

The Sales figure includes Deposits from Customers of $2,800 for goods to be delivered

in the future.

Half of the Advances to Salespersons have been earned by them, by December 31.

Office Salaries owed at year end. but not paid are $900.

The Rent Expense figure includes $500 paid in advance for 2018.

A count of the Office Supplies revealed that $600 was still on hand at year end.

Amortization on the equipment for 2017 was $1,400.

The one year bank loan carries annual interest rate of 5%. Interest is due when bank loan matures on June 30, 2018.

Required:

Prepare the Adjusting Entries for the above items, in general journal form, for the year ended December 31, 2017. The company prepares adjustments annually.

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