Your answer is partially correct. Try again. Kathy Gannon is the new owner of Kathy's Computer Services. At the end of July 2014, her first month of ownership, Kathy is trying to prepare monthly financial statements. She has the following information for the month. 1. At July 31, Kathy owed employees $4,020 in salaries that the company will pay in August 2. On July 1, Kathy borrowed $21,600 from a local bank on a 11-year note. The annual interest rate is 8%. 3. Service revenue unrecorded in July totaled $1,890. Prepare the adjusting entries needed at July 31, 2014. (Credit account titles are automatically indented when the amount is entered. Do not indent manually,) No. Account Titles and Explanation Debit Credit 1. uly 31 4020 2. 144 July 31 144 3. 1890 uly 31 1890 Click if you would like to Show Work for this question: pen Show Work An analysis of the accounts shows the following. 1. Insurance expires at the rate of $330 per month. 2. Supplies on hand total $990. 3. The equipment depreciates $160 per month. 4. During March, services were performed for two-fifths of the unearned service revenue. Prepare the adjusting entries for the month of March. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.) No. Account Titles and Explanation 1. Tinsurance Expense Debit Credit Prepaid Insurance 330 2. Supplies Expense 1830 Supplies 1830 Depreciation Expense 160 Accumulated Depreciat 4. Unearned Service Service Income 4800 Click if you would like to Show Work for this question: n Show.Wok