adjusting entries, and on P10-1A On January 1, 2017, the ledger of Shumway Ltd. contains the following liability Prepare current liability or PROBLEMS: SET A accounts. liabilities section (LO 1, 2, 3) 52,000 Accounts Payable Sales Taxes Payable 5,800 Unearned Service Revenue 13,000 During January, the following selected transactions occurred. Jan. 5 Sold merchandise for cash totaling 22,470, which includes 7% sales taxes. 12 Performed services for customers who had made advance payments of 10,000. (Credit Service Revenue.) 14 Paid revenue department for sales taxes collected in December 2016 (5,800). 20 Sold 700 units of a new product on credit at 52 per unit, plus 7% sales tax. 21 Borrowed 14,000 from DeKalb Bank on a 3-month, 6%, 14,000 note. 25 Sold merchandise for cash totaling 12,947, which includes 7% sales taxes. Instructions (a) Journalize the January transactions. (b) Journalize the adjusting entries at January 31 for the outstanding notes payable. (Hint: Use one-third of a month for the DeKalb Bank note.) (c) Prepare the current liabilities section of the statement of financial position at January (c) Current lia 31, 2017. Assume no change in accounts payable. 73,888 cu ASA Groer nranaror financial loumalize and