Adjustment Process Terry Mason organized The Fifth Season at the beginning of February 20Y4. During February, The Fifth Season entered into the following transactions: a. Terry Mason invested $27,375 in The Fifth Season in exchange for common stock. b. Paid $6,930 on February 1 for an insurance premium on a 1-year policy. c. Purchased supplies d. Received fees of $63,250 during February. on account, $1,560. e. Paid expenses as follows: wages, $16,800; rent, $2,800; utilities, $1,400; and miscellaneous, $1,540 f. Paid dividends of $7,905 The transactions above have already been recorded in the integrated financial statement framework below. Record the adjusting entries at the end of February to record the insurance expense and supplies expense. There was $1,326 of supplies on hand as of February 28. Identify the adjusting entry for insurance as (a1) and supplies as (a2) Use the integrated financial statement framework below. After each transaction, enter a balance for each item. If an amount box does not require an entry, leave it blank. If required, round your answer to the nearest dollar. Enter account decreases as negative amounts. Use the integrated finandal statement framework below. After each transaction, enter a balance far each item. If an amaunt box does not require an entry, leave it blank. If required, round your answer to the nearest collar. Enter accaunt decreases as negative amcunts. Balance Sheet Stockholders Equity Liabilities Statement of Cash Flows Assets Accounts Payable Common Stock Retained Earnings Cash Supplies Prepaid Insurance + + 27,375 27,375 . Investment b. Paid insurance -,930 6,930 Balances 20,445 6,930 27,375 c. Purchased supplies 1,550 1.560 1,560 1,560 Balancas 20,445 6,930 27,375 d. Foas eorned 63,250 63,250 37, 83,695 1,560 1,560 Balancas 6,930 63,250 e. Paid expenses -22,540 -22,540 1,550 6,930 Balances 61,155 1,560 27,375 40,710 f. Peid dividends -7,905 -7,905 Balances 53,250 1,550 6,930 1,560 27,375 32,805 a1. Balances #2. Balancas, February 28 Statement of Cash Flows Income Statement d. Fees eamed $27,375 a. Financing s63,250 b. Operating e. Wages expense -6,930 -16,800 d. Operating 63,250 e. Rent expense -2,800 -1,400 e. Operating -22,540 e. Utilities expense f. Finandng 7,905 e. Miscellaneous expense 1,540 $53,250 e1. Increase in cash a2