& Exit Submit Check my work On July 1, 20x1, Tim Stein established his own Financial Services. Selected transactions for the first few days of July follow, DATE TRANSACTIONS 20x1 July 1 signed a lease for an office and issued Check 101 for $11,85e to pay the rent in advance for six months. 1 Borrowed money from Second National Bank by issuing a four-month, 9 percent note for $52.000; received $58,4 because the bank deducted the interest in advance. 1 Signed an agreement with Carter Corp. to provide financial services for one year at $5,100 per month; received the entire fee of $61,200 in advance. The $61,200 was credited to Unearned Financial Service Fees. 1 Purchased office equipment for $20,4ee from Office Outfitters; issued a two-month, 9 percent note in payment. The equipment is estimated to have a useful life of four years and a $2,160 salvage value. The equipment will be depreciated using the straight-line method. 1 Purchased a one-year insurance policy and issued Check 1e2 for $1,716 to pay the entire premium. 3 Purchased office furniture for $16,689 from Furniture Warehouse; issued Check 103 for $13, 40e and agreed to pay the balance in 60 days. The equipment has an estimated useful life of six years and a $1,200 salvage value. The office furniture will be depreciated using the straight-line method. 5 Purchased office supplies for $1,978 with Check 184. Assume Sise of supplies are on hand July 31, 2x1. Required: 1. Record the transactions in the general journal. Assume that the firm initially records prepaid expenses as assets and unearned Income as a liability for the year 20x1. 2. Record the adjusting journal entries that must be made on July 31, 20x1. Analyze: What balance should be reflected in Unearned Financial Service Fees at July 31, 20XT? Check my wo 2. Record the adjusting Journal entries that must be made on July 31, 20x1. Analyze: What balance should be reflected in Unearned Financial Service Fees at July 31, 20X1? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Analyze Record the transactions in the general journal. Assume that the firm initially records prepaid expenses as assets and unearned income as a liability for the year 20x1. View transaction list Journal entry worksheet