Novak Quest Games adjusts its accounts annually. Assume that any prepaid expenses are initially recorded in asset accounts. Assume

that any revenue collected in advance is initially recorded as liabilities. The following information is available for the year ended

December 31, 2024:

1.

2.

3.

4

5.

A $3,480 one-year insurance policy was purchased on April 1, 2024.

Paid $5,400 on August 31, 2024, for five months' rent in advance

On September 27, 2024, received $3,400 cash from a corporation that sponsors games for the most improved students

attending a nearby school. The $3,400 was for 10 games, worth $340 each, that are played on the first Friday of each month

starting in October. (Use the Unearned Revenue account.)

Signed a contract for cleaning services starting December 1, 2024, for $480 per month. Paid for the first three months on

November 30, 2024. (Use Office Expense for the adjusting entry.)

On December 15, 2024, sold $1,040 of gift certificates to a local gaming club. On December 31, 2024, determined that $510

of these gift certificates had not yet been redeemed. (Use the account Unearned Revenue.)

(a)for each transaction prepare the journal entry to record the initial transaction.