On November 1, 2021, buy a new franchise in a different industry from your existing company for $160,000. The franchise called for a $40,000 down payment in cash and you would have signed a 6%, 8 year note with the franchisor for the remainder. The new franchise agreement would have been for 15 years beginning November 1, 2021. The payments of principal and interest on the note would be made annually on October 31 each year for 8 years. The franchise agreement also requires that you pay 3% of total sales from this franchise to the franchisor on December 31 each year. You believe this new franchise would have increased your 2021 sales (80% in cash and 20% on account) by $25,000, increased your cost of goods sold by $8,000, increased your wages expense by $1,000, increased your rent expense on equipment by $600, increased your ending inventory by $3,000, and increased your bad debts expense by $100. Except for bad debts, assume all of the additional costs would have been paid in cash. Prepare the entries which would have been made to record the events of Alternative a," including the "savings" of the rent and any adjusting entries on December 31, 2021 (assume the inventory would not have decreased in value after you purchased it = no LCM). No dates are needed on these entries (except the adjusting entries) since the sales would have been made throughout the last few months of the year 2021. On November 1, 2021, buy a new franchise in a different industry from your existing company for $160,000. The franchise called for a $40,000 down payment in cash and you would have signed a 6%, 8 year note with the franchisor for the remainder. The new franchise agreement would have been for 15 years beginning November 1, 2021. The payments of principal and interest on the note would be made annually on October 31 each year for 8 years. The franchise agreement also requires that you pay 3% of total sales from this franchise to the franchisor on December 31 each year. You believe this new franchise would have increased your 2021 sales (80% in cash and 20% on account) by $25,000, increased your cost of goods sold by $8,000, increased your wages expense by $1,000, increased your rent expense on equipment by $600, increased your ending inventory by $3,000, and increased your bad debts expense by $100. Except for bad debts, assume all of the additional costs would have been paid in cash. Prepare the entries which would have been made to record the events of Alternative a," including the "savings" of the rent and any adjusting entries on December 31, 2021 (assume the inventory would not have decreased in value after you purchased it = no LCM). No dates are needed on these entries (except the adjusting entries) since the sales would have been made throughout the last few months of the year 2021