1. On June 1, 2019, Rite-Path Consulting purchased new computers for $11,300. The computers are expected to last 3 years and will have an estimated residual value of $500. Rite-Path Consulting has a December 31 year end.

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2. All Hearing is owned by Annie Howell and provides hearing aids and other auditory services. At the end of August 2019, the company had the following adjustments.

Aug 31	Interest on the bank loan is set at 7%. One month of interest has accrued.
Aug 31	The balance of prepaid rent is for the remaining 6 months of the lease. One month of rent has been used.
Aug 31	The equipment was purchased three months prior at the beginning of the month and will have a useful life of 7 years, after which it will have residual value of $1,280. Depreciation is recorded every month. Record depreciation for August.
Aug 31	All Hearing completed $500 of work that was previously unearned.