TRANSACTIONS (27 marks) Sunny Chen has now been operating her hair salon business for a year in her basement. The business has grown, and Sunny is now branching out into other areas, including operating a spa. She also plans to sell hair and nail care supplies at the salon. As she has continued her high school accounting studies, Sunny has learned the importance of differentiating between the various revenue streams. As such, she will continue to use the Revenue account for earnings resulting from hair styling and manicure services. She will now use the Sales account for earnings resulting from the sale of goods. Although her workload is demanding, Sunny enjoys being an entrepreneur and feels that doing "the books" for the business will help her hone her accounting skills as she pursues her long-term goal of attaining her CPA designation. Complete all the necessary journal entries for the transactions that follow. Show your math directly beneath each transaction. # DATE 1 2021 2 June 1 June 1 3 June 2 4 June 2 5 a June 3 June 4 TRANSACTION DESCRIPTION Sunny admits Andy Liu as a partner in the business. Andy invests $19,000 in cash for a 40% interest in the business. Prior to Andy's admission to the partnership, Sunny's equity in the business amounted to $26,000. (Note: Be sure to allocate any bonus appropriately.) The partnership has been named Sandy Hair and Nails. Sunny and Andy buy a new facility for $360,000. The price includes the land and an existing building. The land has an appraised value of $273,000 and the building has an appraised value of $91,000. The partnership obtains a mortgage for $278,000 and pays the remainder in cash. The money is transferred out of the partnership business bank account. The partners set up an allowance for doubtful accounts for the first time. They estimate that $900 of the Accounts Receivable will be uncollectible. Sunny and Andy purchase goods for resale on account from Hair Supplies Wholesale for $500. They use the perpetual inventory system. SANDY HAIR AND NAILS's sells a bunch of special shampoo and nail polish to Jasmine Chin on account. The selling price of the goods is $90 and they had an original cost of $75. (Just a reminder: SANDY HAIR AND NAILS's uses the perpetual inventory system.) Jasmine Chin returns half of the goods that she purchased yesterday. As a result, Sunny reduces the amount that Jasmine owes accordingly and returns the goods to Merchandise Inventory