On June 1, 2016, Brown Company, a new firm, paid $7,000 rent in advance for a seven-month period. The $7,000 was debited to the Prepaid Rent account. 2. On June 1, 2016, the firm bought supplies for $7,950. The $7,950 was debited to the Supplies account. An inventory of supplies at the end of June showed that items costing $3,300 were on hand. 3. On June 1, 2016, the firm bought equipment costing $64,800. The equipment has an expected useful life of 9 years and no salvage value. The firm will use the straight-line method of depreciation.