Below are transactions for Hurricane Company during 2021.
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On October 1, 2021, Hurricane lends $7,600 to another company. The other company signs a note indicating principal and 6% interest will be paid to Hurricane on September 30, 2022.
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On November 1, 2021, Hurricane pays its landlord $2,400 representing rent for the months of November through January. The payment is debited to Prepaid Rent for the entire amount.
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On August 1, 2021, Hurricane collects $11,520 in advance from another company that is renting a portion of Hurricane’s factory. The $11,520 represents one year's rent and the entire amount is credited to Deferred Revenue.
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Depreciation on machinery is $4,100 for the year. -
Salaries for the year earned by employees but not paid to them or recorded are $3,600.
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Hurricane begins the year with $800 in supplies. During the year, the company purchases $4,100 in supplies and debits that amount to Supplies. At year-end, supplies costing $2,100 remain on hand.
Record the necessary
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