Part Three$-$Journalizing Transactions for Notes Payable, Prepaid Expenses, and Accrued ExpensesDaniel's Appliances completed the following transactions during the current year. The company initially records prepaid expenses as expenses. Source documents are abbreviated as follows: check, C;note payable, NP$.$Transactions:Oct. $12.$ Signed a $60-$day, $9\%$ note, $$10,000\mathrm{.}00.$ R$213\mathrm{.}19.$ Signed a $180-$day, $9\%$ note, $$14,000\mathrm{.}00.$ R$230.$Dec. $1.$ Drew $$7,000\mathrm{.}00$ on an $8\%$ line of credit. R$252\mathrm{.}3.$ Paid cash to repair a defective appliance, $$522\mathrm{.}00.$ C$622\mathrm{.}11.$ Paid cash for the maturity value of the October $12$ note. C$655\mathrm{.}31.$ Paid cash on the line of credit: principal, $$2,000\mathrm{.}00,$ plus interest, $$122\mathrm{.}30.$ C$670.$Adjusting Entries:The account balance of Supplies Expense is $$6,680\mathrm{.}00.$ The December $31$ count of supplies inventory is $$1,200\mathrm{.}00.$The account balance of Insurance Expense is $$16,500\mathrm{.}00.$ The value of unused insurance is $$2,000\mathrm{.}00.$Accrue interest on the October $19$ note.Estimated warranty costs per item sold, $$5\mathrm{.}00.$ Units sold, $6,000.$Instructions:$1.$ Journalize the transactions and adjusting entries$\mathrm{.}2.$ Continue using the general journal to journalize the reversing entries on January $1$ of the next year.