Miscellaneous transactions and adjusting entries. Give the journal entry to record (1) each of the following transactions as well as (2) any necessary adjusting entries on December 31, Year 3, assuming that the firm uses a calendar-year accounting period and closes its books on December 31. You may omit explanations for the journal entries.

a. Gale Company rents out excess office space on October 1, Year 3. It receives on that date the annual rental of \(\$ 48,000\) for the period from October 1, Year 3, to September 30, Year 4, and credits a liability account.

b. Whitley Company receives a \(\$ 10,000\), two-month, 6-percent note on December 1, Year 3, in full payment of an open account receivable.

c. The balance in the Prepaid Insurance account of Pierce Company on January 1, Year 3, was \(\$ 500\). On March 1, Year 3, the company renews its only insurance policy for another two years, beginning on that date, by paying the \(\$ 6,600\) twoyear premium. It debits an asset account for the payment.

d. The Repair Parts Inventory account of Kelly Company showed a balance of \(\$ 4,000\) on January 1, Year 3. During Year 3, the firm purchases parts costing \(\$ 14,900\) and charges them to Repair Expense. An inventory of repair parts at the end of December reveals parts costing \(\$ 3,800\) on hand.

e. Roberts Company acquires with cash an office machine on July 1, Year 3, costing of \(\$ 200,000\). It estimates that the machine will have a 10 -year life and a \(\$ 20,000\) residual value. It uses the straight-line depreciation method.

f. Lovejoy Company pays its property taxes for the year ending December 31, Year 3, of \(\$ 12,000\) on September 1, Year 3. It debits an expense account at the time of the payment.