Transaction 3 A one-year store rental lease was signed on March 1 for $1,200 per month, and rent for the first 4 months was paid in advance. [Note: Record the complete entry for the March 1 transaction first and the complete adjusting entry on March 31 second.]

Transaction 4 The owners paid $2,000 for website advertising. They were able to get a good deal because one of the company's owners also owns stock in the website company. The owners also paid $5,000 for some advertising in local newspapers. [Note: Combine both transactions into one entry].

Transaction 5 Sales were $80,000. Cost of merchandise sold was 60% of sales. 65% of sales were on open account. [Note: Record the complete entry for the sales first and the complete entry for the expenses second]

Transaction 6 Wages and salaries in March were $11,200, of which $9,000 was actually paid to employees.

Transaction 7 Miscellaneous expenses were $1,200, all paid for with cash.

Transaction 8 On March 1, fixtures and equipment were purchased for $5,000 with a downpayment of $1,000 and a $4,000 note, payable in one year. Interest of 7% per year was due when the note was repaid. The estimated life of the fixtures and equipment is 11 years with no expected salvage value. [Note: Record the complete entry for the March 1 equipment purchase first, the March 31 depreciation adjusting entry second, and the March 31 interest adjusting entry third. Also, round all answers to the nearest cent.]

Transaction 9 Cash dividends totaling $3,000 were paid to stockholders on March 31.

Cash Accounts Receivable Inventory Prepaid Rent Fixtures and Equipment Accounts Payable Interest Payable Wages Payable Notes Payable Paid-in Capital Retained Earnings Leave Blank