Farris Corporation had the following operating events occur during the month of August 2010. Farris Corporation’s fiscal year- end is August 31.

1 Paid $ 5,000 for four months’ rent in advance.

2 Received and paid $ 950 bill for advertising.

5 Purchased $ 300 of office supplies on account.

15 Paid $ 700 for life insurance on the company president. This is a semiannual premium and the first time the company has insured the president.

21 Received phone bill for $ 240 to be paid on August 30.

26 Paid $ 365 postage to mail advertising brochures to customers.

30 Paid phone bill.

Additional Information:

Account balances August 1:

Office supplies ...............................................................................................$ 3,100

Information for adjusting entries:

Office supplies on hand, August 31, 2010..................................................... 1,250

Required:

A. Make the appropriate entries for the events in August.

B. Show how the results of these events are presented on Farris Corporation’s financial statements.