Assume that La-Z Recliner Chairs completed the following selected transactions:

Requirement 

Record the transactions in the journal of La-Z Recliner Chairs. Explanations are not required. 

Transcribed Image Text:

2007 July 1 Sold goods to Wal-Mart, receiving a $40,000, 9-month, 9% note. Ignore cost of goods sold. Dec. 31 Made an adjusting entry to accrue interest on the Wal-Mart note. 2008 31 Made an adjusting entry to record uncollectible-account expense based on an aging of accounts receivable. The aging schedule shows that $14,400 of accounts receivable will not be collected. Prior to this adjustment, the credit balance in Allowance for Uncollectible Accounts is $11,300. Apr. 1 June 23 Collected the maturity value of the Wal-Mart note. Sold merchandise to Artesian Corp., receiving a 60-day, 10% note for $9,000. Ignore cost of goods sold. Aug. 22 Artesian Corp. dishonored (failed to pay) its note at maturity; we converted the maturity value of the note to an account receivable. Nov. 16 Loaned $20,000 cash to Crane, Inc., receiving a 90-day, 12% note. Dec. 5 31 Collected in full on account from Artesian Corp. Accrued the interest on the Crane, Inc., note.