Exercise 13-2 (Part Level Submission)

The following are selected 2014 transactions of Sean Astin Corporation.

Sept. 1		Purchased inventory from Encino Company on account for $50,250. Astin records purchases gross and uses a periodic inventory system.
Oct. 1		Issued a $50,250, 12-month, 8% note to Encino in payment of account.
Oct. 1		Borrowed $91,220 from the Shore Bank by signing a 12-month, zero-interest-bearing $97,580 note Prepare adjusting entries at December 31 Prepare adjusting entries at December 31