Part II-Adjusting Journal Entries Prepare adjusting journal entries for the following transactions. Assume a December 31 year end. (2 points each) On May 31, Acker Corporation prepaid $108,000 cash for 36 months of insurance coverage and debited Insurance Expense. b. On July 31, a customer prepaid $135,000 cash to Acker Corporation for 18 months of consulting services. Prepayment was credited to Consulting Revenue. c. On October 1, Acker Corporation borrowed $900,000 from a local bank and signed a 12 % promissory note due on September 30 of the following year d. On September 1, Acker Corporation lent $150,000 cash to a supplier, who signed a 9% promissory note due on February 28 of the following year. On January 1, the beginning balance in the Supplies Inventory was $40,000. During the year, Acker Corporation purchased $320,000 of supplies and debited the inventory account. The ending balance in the inventory account was f On January 1, Acker Corporation purchased equipment costing $850,000. The salvage value was $50,000, and the estimated life was 8 years. The Acker Corporation computing depreciation. g. On December 31, Acker Corporation received a utility bill for December in the amount of $825. Payment is due by January 20 of the following year h. The Acker Corporation pays $600,000 total salaries to employees for every two-week payroll period. The year-end of December 31 is the Thursday of the first week of that particular payroll period. Assume a five-day work week i. The Acker Corporation generated $1,600,000 pre-tax income for the year. The income tax rate is 40 %. No tax deposits have been made. j. On October 1, Acker Corporation contracted with an advertising firm to advertise their products television commercials. The advertising firm required Acker to prepay $9,600 cash for 12 months of commercial advertisements. The amount was debited to Prepaid Advertising. k. On March 1, a client contracted with Acker Corporation to provide consulting services for 24 months Acker Corporation required the client to prepay $72,000. The client prepayment was credited to Unearned Consulting Revenue. e. $170,000 on December 31. uses the straight-line method for on