Jaguar Plastics Company has been operating for three years. At December 31 of last year, the accounting records reflected the following:

Cash$26,000 Accounts payable$20,000

Investments (short-term) 2,900 Accrued liabilities payable 2,100

Accounts receivable 3,600 Notes payable (current) 5,800

Inventory 31,000 Notes payable (noncurrent) 50,000

Notes receivable (long-term) 2,400 Common stock 10,000

Equipment 58,000 Additional paid-in capital 90,000

Factory building 110,000 Retained earnings 59,500

Intangibles 3,500

During the current year, the company had the following summarized activities:

Purchased short-term investments for $8,100 cash.

Lent $5,000 to a supplier who signed a two-year note.

Purchased equipment that cost $20,000; paid $5,900 cash and signed a one-year note for the balance.

Hired a new president at the end of the year. The contract was for $77,000 per year plus options to purchase company stock at a set price based on company performance. The new president begins her position on January 1 of next year.

Issued an additional 1,900 shares of $0.50 par value common stock for $15,000 cash.

Borrowed $12,000 cash from a local bank, payable in three months.

Purchased a patent (an intangible asset) for $1,200 cash.

Built an addition to the factory for $30,000; paid $7,900 in cash and signed a three-year note for the balance.

Returned defective equipment to the manufacturer, receiving a cash refund of $1,600.

Required:

1. & 2. Post the current year transactions to T-accounts for each of the accounts on the balance sheet.