Marier, Inc., completed the following transactions during the current year. Marier initially records unearned items as revenue.

Instructions:

1. Use page 7 of a general journal and page 19 of a cash receipts journal to journalize the transactions. Source documents are abbreviated as follows: memorandum, M; note receivable, NR; receipt, R.

2. Continue using page 7 of the general journal. Journalize the necessary adjusting entries.

3. Journalize the reversing entries on January 1 of the next year. Use page 1 of a general journal.

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Transactions: July 1. Accepted a 90-day, 10% note from Timothy Johnson for a sale on account, $500.00. NR12. July 5. Accepted a 90-day, 12% note from Gerald Kammer for an extension of time on his account, $600.00. NR13. Sept. 29. Timothy Johnson dishonored NR12, a 90-day, 10% note, $500.00 plus interest. M32. Oct. 3. Received cash for the maturity value of NR13, $600.00 plus interest. R65. Nov. 1. Received cash for November through January rent, $500.00 per month, in advance from Centu- ria, Inc., $1,500.00. R70. Dec. 1. Received cash from Timothy Johnson for dishonored NR12, $512.50 plus additional interest. R81. Dec. 4. Accepted a 90-day, 12% note from Jackie Webb for sale on account, $900.00. NR14.