The trial balance of Pacilio Security Services, Inc. as of January 1, Year 5, had the following normal balances: Cash $62,860 Accounts receivable 20,500 Supplies 150 Prepaid rent 2,000 Merchandise inventory (9 @$240) 2,160 Land 4,000 Accounts payable 980 Salaries payable 1,500 50,000 39,190 Common stock Retained earnings During Year 5, Pacilio Security Services experienced the following transactions: 1. Paid the salaries payable from Year 4. 2. On January 15, purchased 20 standard alarm systems for cash at a cost of $250 each 3. On February 1, paid the accounts payable of $980, but not within the discount period. (The company uses the gross method) 4. On March 1, leased a business van. Paid $4,800 for one year's lease in advance. 5. Paid $7,200 on May 1 for one year's rent on the office in advance. 6. Purchased with cash $500 of supplies to be used over the next several months by the business. 7. Purchased with cash another 25 alarm systems on August 1 for resale at a cost of $260 each