Problem 010 Preparing Adjusting Entries at Year-End Prepare the adjusting entry for Christine Gambia Cargo under each of the following for the year ending Dec 31, 2018: * Paid P24,000 for a 1-year fire Insurance policy to commence on Sept. 1. The amount of premium was debited to Prepaid insurance. Borrowed P100,000 by issuing a 1-year note with 7% annual interest to Century Savings Bank on Oct. 1. 2018 Paid P160,000 cash to purchase a delivery van (surplus) on Jan. 1. The van was expected to have a 3-year life and a P10,000 salvage value. Depreciation is computed on a straight-line basis. Received an P18,000 cash advance for a contract to provide services in the future. The contract required a 1-year commitment, starting April 1. E Purchased P6,400 of supplies on account. At year's end, P750 of supplies remained on hand. invested P90,000 cash in a certificate of deposit that paid 4% annual interest. The certificate was acquired on May 1 and carried a 1-year term to maturity. Paid P78,000 cash in advance on Sept. 1 for a 1-year lease on office space