Answer:
31-Dec
Dr	Depreciation expense	$7,000	
Cr Accumulated Depreciation - Equipment $7,000
31-Dec
Dr Interest receivable $1,750	
Cr Interest revenue $1,750
31-Dec	
Dr Deferred Revenue	$4,000	
Cr Revenue or Service Revenue $4,000
Explanation:
Preparation of the necessary adjusting entry for Huskies Insurance at its year-end of December 31. 
31-Dec
Dr	Depreciation expense	$7,000	
Cr Accumulated Depreciation - Equipment $7,000
(Being to adjust 12 month depreciation) 
31-Dec
Dr Interest receivable ($50,000 x 7% x 6/12)	$1,750	
Cr Interest revenue $1,750
(Being to adjust 6 month interest revenue accrued) 
31-Dec	
Dr Deferred Revenue ($16,000 x 3/12)	$4,000	
Cr Revenue or Service Revenue $4,000
(Being to record earned revenue for 3 months)