The following transactions relate to Kem Company 2007 Jan 1Purchased a machine from Jack Deere Inc, by signing a $60,000, 5 year note payable plus interest @8% (per annum). Interest is payable cach December 31st (ignore GST and PST for this transaction) Od 12 Gave Davies Company S2,500 cash and a $7,500, 90 day note payable plus interest @ 10% (per annum), to secure an extension of their past due account payable Nov. 16 Borrowed $10,000 from the Bank of Nova Scoli by signing a $10,000, 60 day noto payable plus interest 9% (per annum) Dec 1 Entored into a contract to provide delivery services for a customer at $300 per month Received payment for the months of December, January and February (Ignore GST and PST for this transaction) Dec 18 Purchased inventory from CBC Limited by signing a 90 day, note payable plus interest 7% per annum) The cost of the inventory purchased was $24,000 plus GST 6% Dec, 23 Sold merchandise on credit to John Doe, torms 2/10, 1/30, in the amount of $25,000 plus GST 6% and PST @8%. The cost of the merchandise inventory sold was $15,000 Dec 28 Recorded the information from the payroll journal for the month of December and recorded the omployer's portion of the payroll deductions (The last pay date in December was December 28) Gross Wages 59256.00 CPP withheld $26172 El withheld $249.92 income Tax withhold $1960 Union Duos withheld 02.00 Net Pay 6892 36 Dec 31 Paid the interest due on the note payable dated January 1, 2007 Dec 31 Prepared all necessary your end adjusting entries 2008 Jan 15 issued a cheque to the Receiver General of Canada for remittance of the employee deductions Jan 15 issued a choque to the local union for the union dues withheld in December Jan 15 issued a cheque to the Receiver General of Canada for remittance of the GST owing Jan 15 Issued a cheque to the Treasurer of Ontario for romittance of the PST owing Part the notes dated October 12, 2007 November 16, 2007 and December 18, 2007. (You will have to correctly date those journal entries) Required (1) Prepare journal entries to record all of the above transactions. Be sure to assign dates to all of the entries (2) Prepare the Current Liabilities" section of the Balance Sheet for Kern Company as of December 31, 2007 The following transactions relate to Kem Company 2007 Jan 1Purchased a machine from Jack Deere Inc, by signing a $60,000, 5 year note payable plus interest @8% (per annum). Interest is payable cach December 31st (ignore GST and PST for this transaction) Od 12 Gave Davies Company S2,500 cash and a $7,500, 90 day note payable plus interest @ 10% (per annum), to secure an extension of their past due account payable Nov. 16 Borrowed $10,000 from the Bank of Nova Scoli by signing a $10,000, 60 day noto payable plus interest 9% (per annum) Dec 1 Entored into a contract to provide delivery services for a customer at $300 per month Received payment for the months of December, January and February (Ignore GST and PST for this transaction) Dec 18 Purchased inventory from CBC Limited by signing a 90 day, note payable plus interest 7% per annum) The cost of the inventory purchased was $24,000 plus GST 6% Dec, 23 Sold merchandise on credit to John Doe, torms 2/10, 1/30, in the amount of $25,000 plus GST 6% and PST @8%. The cost of the merchandise inventory sold was $15,000 Dec 28 Recorded the information from the payroll journal for the month of December and recorded the omployer's portion of the payroll deductions (The last pay date in December was December 28) Gross Wages 59256.00 CPP withheld $26172 El withheld $249.92 income Tax withhold $1960 Union Duos withheld 02.00 Net Pay 6892 36 Dec 31 Paid the interest due on the note payable dated January 1, 2007 Dec 31 Prepared all necessary your end adjusting entries 2008 Jan 15 issued a cheque to the Receiver General of Canada for remittance of the employee deductions Jan 15 issued a choque to the local union for the union dues withheld in December Jan 15 issued a cheque to the Receiver General of Canada for remittance of the GST owing Jan 15 Issued a cheque to the Treasurer of Ontario for romittance of the PST owing Part the notes dated October 12, 2007 November 16, 2007 and December 18, 2007. (You will have to correctly date those journal entries) Required (1) Prepare journal entries to record all of the above transactions. Be sure to assign dates to all of the entries (2) Prepare the Current Liabilities" section of the Balance Sheet for Kern Company as of December 31, 2007