(LO 1.2) On January 1, 2020, the ledger of Accardo Company contains the following liability accounts. Prepare current liability entries, adjusting entries, and current liabilities section 0 GLS Accounts Payable $52,000 Sales Taxes Payable 7,700 Unearned Service Revenue 16,000 During January, the following selected transactions occurred Jan. 5 Sold merchandise for cash totaling $20,520, which includes 8% sales taxes. 12 Performed services for customers who had made advance payments of $10.000 (Credit Service Revenue) 14 Paid state revenue department for sales taxes collected in December 2019 ($7.700). 20 Sold 900 units of a new product on credit at $50 per unit, plus 8% sales tax. This new product is subject to a 1-year warranty 21 Borrowed $27,000 from Girard Bank on a 3-month, 8%, $27.000 note, 25 Sold merchandise for cash totaling $12.420, which includes 8% sales taxes Instructions a. Journalize the January transactions b. Journalize the adjusting entries at January 31 for (1) the outstanding notes payable, and (2) estimated warranty liability, assuming warranty costs are expected to equal 7% of sales of the new product 11-3