During the first quarter of 2017, the following transactions occurred On February 1, Novak collected fees of $7,200 in advance. The company will perform $600 of services each month from February 1, 2017, to January 31, 2018 On February 1, Novak purchased computer equipment for $11,250 plus sales taxes of $750, $3,750 cash was paid with the rest on account. Check #455 was used On March 1, Novak acquired a patent with a 10-year life for $12,000 cash. Check #456 was used On March 28, Novak recorded the quarter's sales in a single entry. During this period, Novak had total sales of $170,000 (not including the sales referred to in item 1 above). All of the sales were on account. On March 29, Novak collected $163,000 from customers on account. on March 29, Novak paid $16,390 on accounts payable. Check #457 was used on March 29, Novak paid other operating expenses of $97,500. Check #458 was used On March 31, Novak wrote off a receivable of $300 for a customer who declared bankruptcy On March 31, Novak sold for $1,620 equipment that originally cost $11,000. It had an estimated life of 5 years and salvage of $1,000. Accumulated depreciation as of December 31, 2016, was $8,000 using the straight line method. (Hint: Record depreciation on the equipment sold, then record the sale.) 1. 3. 4. 5. 6, 8. 9