2 K M N H J Rednock manufacturing Ltd. purchased equipment on August 1 for $36,000, paying $10,000 cash and signing a 6%, 6-month bank loan for the remaining balance with interest due at maturity. The estimated useful life of the equipment is expected to be 5 years. Rednock prepares monthly financial statements. 3 4 Required 5 (a) Prepare the journal entry to record the purchase of the furniture on August 1. 6 (b) Prepare any adjusting journal entries that should be made on August 31. 7 8 9 10 11 12 13 14 15 16 17