CP$10-2($Algo$)$ Recording and Reporting Current Liabilities with Evaluation of Effects on the Debt$-$to$-$Assets Ratio $[$LO $10-2,$ LO $10-5]$

EZ Curb Company completed the following transactions. The annual accounting period ends December $31.$

January $8$ Purchased merchandise on account at a cost of $$15,000.($Assume a perpetual inventory system.$)$

January $17$ Paid for the January $8$ purchase.

April $1$ Received $$41,600$ from National Bank after signing a $12-$month, $7\mathrm{.}0$ percent, promissory note.

June $3$ Purchased merchandise on account at a cost of $$19,000.$

July $5$ Paid for the June $3$ purchase.

July $31$ Rented out a small office in a building owned by EZ Curb Company and collected six months$$ rent in advance, amounting to $$6,600.($Use an account called Deferred Revenue.$)$

December $20$ Collected $$120$ cash on account from a customer.

December $31$ Determined that wages of $$6,900$ were earned but not yet paid on December $31($Ignore payroll taxes$).$

December $31$ Adjusted the accounts at year$-$end, relating to interest.

December $31$ Adjusted the accounts at year$-$end, relating to rent.

Required:

Prepare journal entries for each of the transactions through December $20.$

Prepare any adjusting entries required on December $31.$

Show how all of the liabilities arising from these items are reported on the balance sheet at December $31.$