Problem-01 On January 1, 2016, the account balances of Hamm Equipment Repair were as follows. No. Debit No. Credit 101 Cash $ 2,400 154 Accumulated Depreciation Equipment $ 2,000 112 Accounts Receivable 4,250 201 Accounts Payable 2,600 126 Supplies 1,800 209 Unearned Service Revenue 1,200 153 Equipment 12,000 212 Salaries and Wages Payable 700 301 Owner's Capital 13,950 $20,450 $20,450 During 2016, the following summary transactions were completed. January: 8 Paid $1,700 for salaries due employees, of which $700 is for 2015 salaries. January: 10 Received $3,620 cash from customers on account. February: 12 Received $3,100 cash for services performed. February 28: Performed services for Roland Co. on account at 2/10, n/30 and billed for $ 5,000 March: 5 Purchased equipment on account $2,000. March 31: The amount receivable from Roland Co. becomes due but he is unable to make payment, however Roland provided a 12% nine months note to satisfy the amount due. May: 17 Purchased supplies on account $700. June 30: Hamm borrows money from Z Co. $ 10,000 by signing a 6% 2 years notes payable in two installments. July: 2 Paid creditors on account $2,700. October 22: Paid rent $400 for 2016. November 25: Paid salaries $1,700. December 27: Performed services on account and billed customers for these services $2,200. December 31: Received $600 from customers for future service