Requirement #1: During its first month of operation, the Quick Tax Corporation, which specializes in tax preparation, completed the following transactions. July 1 Began business by making a deposit in a company bank account of $60,000, in exchange for 6,000 shares of $10 par value common stock. July 3 Paid the current month's rent, $3,500 Paid the premium on a 1-year insurance policy, $4,200 July 5 1 2 July 7 3 Purchased supplies on account from Little Company, $1,000. 4 July 10 Paid employee salaries, $3,500 5 6 July 14 Purchased equipment from Lake Company, $10,000. Paid $2,500 down and the balance was 17 placed on account. Payments will be $500.00 per month until the equipment is paid. The first payment is due 8/1. 8 Note: Use accounts payable for the balance due. 19 20 July 15 Received cash for preparing tax returns for the first half of July, $8,000 21 22 July 19 Made payment on account to Lake Company, $500. 23 24 July 31 Received cash for preparing tax returns for the last half of July, $9,000 25 26 July 31 Declared and paid cash dividends of $600. Requirement #4: Prepare adjusting entries using the following information in the General Journal below. Show your calculations! a) One month's insurance has expired. b) The remaining inventory of supplies is $400. c) The estimated depreciation on equipment is $125. d) The estimated income taxes are $3,000. Credit Date 31-Jul General Journal Description (Account Name) Debit supplies expense 400 supplies 400 31-Jul 350 insurance expense prepaid insurance 350 31-Jul 125 depreciation accumulated depreciation 125 31-Jul 3,000 income tax income tax payable 3,000 Requirement #5: Post the adjusting entries to the General Ledger T-accounts and compute adjusted balances. Just add to the balances that are already listed