The balance sheet accounts of Diamond Creations Incorporation had the following balances during its accounting period ended on July 31, 2021. 70.000 47,600 28,000 42.000 12 600 25 000 Cash Accounts Receivable Merchandise Inventory Equipment Accumulated Depreciation, Equipment Furniture Accumulated Depreciation, Furniture Prepaid Rent Accounts Payable Salaries Expense Payable Common Stocks at Par ($1 per stock) Additional Paid-in Capital Retained Earnings 2 500 3,000 40,300 25 000 20,000 94.000 21,200 Transactions occurred during August 2021 are reported as follows: August 1 The business paid salaries expense payable from previous month. August 2 Prepaid rent available from previous period had expired. August 3 The business renewed its prepaid rent expense for the next 3 months, worth of $9 000 August 4 The business requires additional capital and had issued 20 000 common stocks at $5 per stock. August 5 The business borrowed money from Best Bank Bhd worth of $150 000, to finance its operations. The loan carries an annual interest rate of 12% and repayable within 7 years' time. August 7 The business purchased merchandise inventory on open account plus cash. for a total amount of $40 000. Cash purchase was reported at $15 000. August 19 The business made sales of $78,000. The business reported credit sales of $63,000. Cost of the goods sold was $30,000. August 20 The business incurred salaries expense of $25 000. The business will pay salaries expense on the first day of next month. August 22 Inventory purchased for cash worth $1 000 was returned to supplier. August 25 The business paid accounts payable due in current month worth $9,000. August 27 The business declared dividends of $8,000 to be paid to its shareholders. August 31 Depreciation expense of equipment and furniture were recognized at $350 and $300, respectively. August 31 The business received cash of $16,000 from its credit customers. August 31 The business recognized rent expense of current month. August 31 The interest expense incurred in current month was still unpaid. REQUIRED: a) Prepare journal entries in general journal to record the transactions of Diamond Creations Incorporation for the month of August 2021