Hui Yu, lawyer, had the following transactions related to the business during June. Ignore GST.

Required

(a) Preparethejournalentriestorecordeachtransactionandprepareanyadjustingentriesasat 30 June, the end of the accounting year. Ignore GST.

June 1 1 2 11 15 18 Purchased office furniture for $36 000. The furniture will be depreciated over a useful life of 10 years at which time it is expected to have a residual value of $4800. Purchased a 12-month fire insurance policy for $3000. Borrowed $42000 from the Eastern Bank on a short-term loan. The principal, plus 8% annual interest, will be repaid in 3 months. Purchased supplies for $450. On 30 June, supplies worth $230 remained on hand. Paid $1200 for 1 month's rent for the period 15 June to 15 July. Received an electronic bank transfer from a client for $840 as an advance payment for services to be performed. Only 20% of the work was completed by 30 June. Received an invoice for $410 for telephone and internet charges for the month. 28