On January 1, 2022, the edger of Waterway Company contains these liability accounts. During January, these 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 $11,000. (Credit Service Revenue.) 14 Paid state revenue department for sales taxes collected in December 2021($7,200). 20. Sold 900 units of a new product on credit at $50 per unit, plus 8% sales tax. This new product is subject toa 1 -year warranty. 21 Borrowed $31,500 from Girard Bank ona 3-month, 8%,$31,500 note. 25 Sold merchandise for cash totaling $9,936, which includes 8% sales taxes. 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. (Hint Use one-third of a month for the Girard Bank note) (Credit account tities ore automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.) Prepare the current liabilities section of the balance sheet at January 31, 2022. Assume no change in accounts payable