Machiavelli's Cable Co. sells different cable television packages to its customers. The firm sells a one-year contract calledMaximum Value Package, which includes installation services, premium channels for 1-year, regular channels for 1 year, and a cable box. On January 1, 2017, the firm has sold 1 million of these packages for $1,000 each. These components can be purchased separately according to the following information:

• Regularchannels$30 per month
• PremiumChannels$40 per month
• Installationservices$60 (one-time fee)
• Cablebox$300 per unit

Prepare thejournal entriesat the time of sale (January 1, 2017). Assume all customers paid in cash (no credit sales).

Additionally, assume the firm records adjusting entries at the end of each month. Prepare the entries that would be recorded at the end of January 2017