Journal entries 1. Your company purchased six months worth of supplies on January 1. This is a credit purchase. The purchase price was $25,000. 2. Assume the facts in problem 1. On March 31, an inventory of supplies was taken and $18,000 worth of supplies was remaining in inventory. 3. A one-year insurance policy was purchased on January 1, for $19,000. Cash was paid when the policy was delivered. 4. Assume the facts in problem 3. Record the appropriate adjusting journal entry for the month of February. 5. On March 1, 2016 conference room furniture for was purchased on credit for $12,000. 6. Assume the facts in problem 5. The furniture has a 12 year life. Record the appropriate adjusting entry. 7. On May 16, an architect was given $1,500 to draft house plans. The plans will be drawn up some time in July. Prepare the appropriate journal entry for May.