Allowed time: 90 minutes Part I - Adjusting Entries (20 points) Longbeach opened an incorporated dental practice on January 1, 2020. During the first month of operations the following transactions occurred: 1. Performed services for patients who had dental plan insurance. At January 31, $3,000 of such services was completed but not yet billed to the insurance companies. 2. Utility expenses incurred but not paid prior to January 31 totaled $2,850. 3. Purchased dental equipment on January 1 for $240,000, paying $60,000 in cash and signing a $180,000, 3-year note payable (Interest is paid each December 31). The equipment depreciates $1,200 per month. Interest is $1,500 per month. 4. Purchased a 1-year malpractice insurance policy on January 1 for $54,000. 5. Purchased $5,250 of dental supplies (recorded as increase to Supplies). On January 31 determined that $1,650 of supplies were on hand. Instructions: Prepare the adjusting entries on January 31. Account titles are: Accumulated Depreciation - Equipment, Depreciation Expense, Service Revenue, Accounts Receivable, Insurance Expense, Interest Expense, Interest Payable, Prepaid Insurance, Supplies, Supplies Expense, Utilities Expense, and Accounts Payable. Part II - Journal Entries (20 points) Goldenrod Warah