On July 1, 20x1, Tim Stein established his own Financial Services Selected transactions for the first few days of Julyfollow. DATE TRANSACTIONS 20X1 July 1 Signed a lease for an office and issued Check 101 for $13,500 to pay the rent in advance for six months. 1 Borrowed money from Second National Bank by issuing a four-month, 6 percent note for $28,800; received $28,224 because the bank deducted the interest in advance. 1 Signed an agreement with Carter Corp. to provide financial services for one year at $6,200 per month received the entire fee of $74,400 in advance. The $74,400 was credited to Unearned Financial Service Fees. 1 Purchased office equipment for $14,000 from Office Outfitters, issued a two-month, 9 percent note in payment. The equipment is estimated to have a useful life of four years and a $1,520 salvage value. The equipment will be depreciated using the straight-line method. 1 Purchased a one-year insurance policy and issued Check 102 for $1,644 to pay the entire premium. 3 Purchased office furniture for $21,840 from Furniture Warehouse; issued Check 103 for $15,440 and agreed to pay the balance in 60 days. The equipment has an estimated useful life of six years and a $1,600 salvage value. The office furniture will be depreciated using the straight-line method. 5 Purchased office supplies for $1,850 with Check 184. Assume $820 of supplies are on hand July 31, 20X1. Required: 1. Record the transactions in the general journal. Assume that the firm initially records prepaid expenses as assets and unearned income as a liability for the year 20X1. 2. Record the adjusting journal entries that must be made on July 31, 20x1. Analyze: What balance should be reflected in Unearned Financial Service Fees at July 31, 20X1? Complete this question by entering your answers in the tabs below. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Analyze Record the transactions in the general journal. Assume that the firm initially records prepaid expenses as asse a liability for the year 20X1. View transaction list 1 Record the payment of rent. > 2 Record the borrowing. 3 Record the fees received in advance. 4 Record the purchase of equipment. 5 Record the payment for insurance. Credit 6 Record the purchase of furniture. 7 Record the purchase of supplies, Note = journal entry has been entered