Sunland Companys balance sheet at December 31, 2021, is presented below.

SUNLAND COMPANY Balance Sheet December 31, 2021
Cash		$28,200		Accounts Payable		$12,925
Inventory		28,905		Interest Payable		235
Prepaid Insurance		5,640		Notes Payable		47,000
Equipment		35,720		Owners Capital		38,305
		$98,465				$98,465

During January 2022, the following transactions occurred. (Sunland Company uses the perpetual inventory system.)

1.		Sunland paid $235 interest on the note payable on January 1, 2022. The note is due December 31, 2023.
2.		Sunland purchased $245,434 of inventory on account.
3.		Sunland sold for $413,600 cash, inventory which cost $249,100. Sunland also collected $26,884 in sales taxes.
4.		Sunland paid $216,200 in accounts payable.
5.		Sunland paid $15,980 in sales taxes to the state.
6.		Paid other operating expenses of $28,200.
7.		On January 31, 2022, the payroll for the month consists of salaries and wages of $62,000. All salaries and wages are subject to 7.65% FICA taxes. A total of $8,380 federal income taxes are withheld. The salaries and wages are paid on February 1.

Adjustment data:

8.		Interest expense of $235 has been incurred in January on the notes payable.
9.		The insurance for the year 2022 was prepaid on December 31, 2021.
10.		The equipment was acquired on December 31, 2021, and will be depreciated on a straight-line basis over 5 years with a $1,880 salvage value.
11.		Employers payroll taxes include 7.65% FICA taxes, a 5.4% state unemployment tax, and an 0.6% federal unemployment tax.

Prepare journal entries for the transactions listed above and the adjusting entries. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Round answers to 0 decimal places, e.g. 5,275.)

No.	Account Titles and Explanation	Debit	Credit
1.	enter an account title	enter a debit amount	enter a credit amount
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2.	enter an account title	enter a debit amount	enter a credit amount
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3.	enter an account title to record sales revenue	enter a debit amount	enter a credit amount
	enter an account title to record sales revenue	enter a debit amount	enter a credit amount
	enter an account title to record sales revenue	enter a debit amount	enter a credit amount
	(To record sales revenue.)
	enter an account title to record cost of goods sold	enter a debit amount	enter a credit amount
	enter an account title to record cost of goods sold	enter a debit amount	enter a credit amount
	(To record cost of goods sold.)
4.	enter an account title	enter a debit amount	enter a credit amount
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5.	enter an account title	enter a debit amount	enter a credit amount
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6.	enter an account title	enter a debit amount	enter a credit amount
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7.	enter an account title	enter a debit amount	enter a credit amount
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8.	enter an account title	enter a debit amount	enter a credit amount
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9.	enter an account title	enter a debit amount	enter a credit amount
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10.	enter an account title	enter a debit amount	enter a credit amount
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11.	enter an account title	enter a debit amount	enter a credit amount
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	enter an account title	enter a debit amount	enter a credit amount
	enter an account title	enter a debit amount	enter a credit amount