Current Attempt in Progress The following are transactions recorded by Novak Corp. during the current year. 1. Ordinary operating maintenance on equipment was recorded as follows: Equipment 2,000 Accounts Payable 2.000 2. Novak received an advance on a custom order for merchandise that will be shipped during the next accounting year. Cash 7,500 Sales Revenue 7,500 3. Novak Corp. is holding inventory on consignment for Rubber Ltd. Novak will only pay Rubber when a sale is made to a customer. Novak made the following entry when it received the inventory: Inventory 16,200 Accounts Payable 16,200 4. On the last day of the accounting period, a 12-month insurance policy was purchased. The insurance coverage is for the next accounting year. Insurance Expense 6,360 Cash 6,360 (a2) For each transaction, if there was a violation of component of the conceptual framework (i.e., qualitative characteristic, element, or principle), give the correct journal entry that should have been initially recorded, if any. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter O for the amounts.)