Dr. Erica Chan, MD owns EC Health Clinic. She prepares annual financial statements and has a December 31, 2020 year-end. a. On October 1, 2020, Dr. Chan prepaid $18,100 for four months of rent b. On November 1, 2020, Dr. Chan prepaid $204 to renew the clinic's magazine subscriptions. The subscription is for one year. c. On December 1, 2020, Dr. Chan pays $2,325 for supplies. At the end of the year, $1,550 of supplies had not been used. Required: For the above transactions, record the initial Journal entry and the adjusting entry required on December 31, 2020, Mean Beans, a local coffee shop, has the following assets on January 1, 2020. Mean Beans prepares annual financial statements and has a December 31, 2020 year-end. The company's depreciation policy is to use the straight-line method to depreciate its assets. a. On January 1, 2020, purchase equipment costing $21,300 with an estimated life of five years. Mean Beans will scrap the equipment after five years for $0. b. On July 1, 2020. purchase furniture (tables and chairs) costing $13,200 with an estimated life of ten years. Mean Beans estimates that it can sell the furniture for $5,300 after ten years. c. On January 1, 2018, Mean Beans had purchased a car costing $37,250 with an estimated Ilfe of eight years. Mean Beans estimates that it can sell the car for $7,450 after eight years. Required: 1-a. For each transaction, calculate the current year annual depreciation expense. a. Annual depreciation expense on equipment b. Annual depreciation expense on furniture Annual depreciation expense on car