Reference no: EM131772142

Question - Prepare general journal entries to record the following transaction and related year end adjustment, if necessary, for The Company:

Date - Transactions

01/01/09 - The Company purchased a computer that costs $15,000 for cash. The Computer had no salvage value and a 3 year useful life. The Company uses straight-line depreciation method

03/01/09 - The Company borrowed $10,000 from a ban k by signing a one-year note at 12% p.a.

05/01/09 - The Company paid $2,400 cash in advance for a one-year office space with occupancy to begin 05/01/09

10/01/09 - The Company purchased $795 of supplies on account amounting to $40,000

Adjusting entries needed to be made based on the above transactions, as well as the following data:

• Salaries that had been earned by the sales staff but had not yet been paid amounted to $2,300.00
• Supplies worth $180.00 were on hand at the 12/31/09.