Charlie$$s Internet Caf$($CIC$)$ was established and incorporated on January $1,2016,$ by Bruce Waiters and has just completed its third year of operations with a year end of December $31.$ Bruce was born in the Muskoka region and after completing his university degree in history, he decided to return to the area to set up his own

business. After months of research, Bruce decided to open his business along the Gravenhurst waterfront. His research showed that there was tremendous potential in that area, especially during the summer tourist season, for a small caf$$ with an Internet service. Local cottagers without service suggested that they would

find it appealing to check their email while shopping in the trendy area. CIC runs out of $90$ square metres $(1,000$ square feet$)$ of space. It has one entrance into the caf$$ and patio doors leading out to a deck that overlooks the water. CIC pays $$5,000$ per month for the rental of the space. Bruce was able to negotiate with the landlord and was not required to pay the first month$$s rent in advance. All of his rental payments are current and up to date. For the last two years, CIC has had a very

reliable accountant prepare its year$-$end financial statements and everything has been correct. This year, CIC$$s accountant retired and Bruce did the best he could recording his own financial information. For the information he was not sure about, he kept all of the required supporting documentation. Bruce hired your

accounting firm to prepare his financial statements for the year and you were assigned the job. Bruce supplied you with his unadjusted trial balance and the information in Exhibit I to assist you. Additional information:

$$ The amount currently sitting in prepaids arose due to the insurance policy last year. Bruce didn$$t know how to correct it$,$ so he left it$.$ This year$$s insurance policy was purchased on November $1$ for $$9,000.$ The policy runs from November $1$ to October $31$ of each year.

$$ Bruce has a note that he owed $$900$ in wages to his employees for the period ending December $31.$

$$ The loan wasincurred when the caf$$ was opened. The loan carries an interest rate of $8\%.$ The interest is payable two months after year end and the principal is due in $2022.$

$$ CIC will sometimes book special events with small organizations that are allowed to pay after the event has taken place. On December $29,$ a small company had a gathering at the caf$.$ The company was billed $$1,089$ and has $30$ days to pay it$.$ Bruce has not yet recorded this in his financial records.

$$ CIC declared a dividend of $$5,000$ on December $30.$

$$ Bruce didn$$t know how to record amortization for the year and so left it for you to record. Amortization for all assets is charged using a straight$-$line method by taking the cost of the asset and dividing it by its expected useful life.The assets have expected useful lives asfollows:

$$ Computers: $5$ years

$$ Caf$$ equipment: $10$ years

$$ Furniture and fixtures: $20$ years

$$ The information showsthat CIC owes $$400$ for a telephone bill and $$300$ for electricity for December. These amounts have not been recorded yet. $($ i just want the Adjusting journal entries$)$