Blackberry Mountain Inc began business on January 1, 2020. The following transactions occurred during the month of January. Jan 1 Company issued common stock for $21,000. Jan 2a Supplies are purchased for $3,000. Jan 2b Insurance is paid for 6 months beginning January 1: $5,400 (record as an asset) Jan 2c Rent is paid for 3 months beginning in January: $4,500 (record as an asset) Jan 3 Blackberry Mountain Inc borrows $45,000 from 1st State Bank (due in the year 2025) at 12% annual interest. Jan 6 An equipment is purchased for $22,500 cash. It will be used for 3 years and will be depreciated monthly using straight-line depreciation with no salvage value. A full month of depreciation will be charged in January. Jan 9 Services are performed for customers on account. Invoices totaling $9,800 are mailed. Jan10 Services are performed for cash customers: $7,600. Jan 15 Blackberry Mountain Inc borrows $16,000 from 2nd State Bank (due in the year 2030) at 9% annual interest. Jan16 Wages for the first half of the month are paid on January 16: $4,200. Jan 20 The company receives $3,000 from a customer for an advance order for services to be provided in January and February. Jan 25 Collections from customers on account (see January 9 transaction): $4,500. Jan 30 A $3,100 utility bill for January arrived. It is due on February 15. Additional information for the adjusting entries at January 31: a. The company completed 60% of the deliveries for the customer that paid in advance on January 20th. b. Interest is accrued for the two bank loans (assume a full month for the 1st State Bank loan and month for the 2nd State Bank loan). c. The last 2 weeks wages earned by employees are $4,200 and will be paid on February 3rd. d. Record January depreciation. e. Adjust the prepaid asset accounts as needed. f. Supplies of $ 2500 were still available on January 31

Prepare closing Entries.