Prepare adjusting entries for the following:
1. On December 1, 2020, Burt Hub had signed and recorded a 5.4% bank loan
for the amount of $350,000 due in 3 years. This is the only outstanding note
payable.
2. Prepaid insurance in the amount of $60,000 represents a 6-month insurance
policy purchased on December 1, 2020.
3. Utility costs incurred but unrecorded for the month of December were
estimated to be $5,000.
4. Accrued wages totaling $60,000 were unpaid and unrecorded at December
31, 2020.
5. Unearned revenue of $24,000 represents a 12-month contract for consulting
services that will be performed monthly. The payment from the customer
was received and recorded on December 1, 2020.