Refer to the information in E3-31. Prepare adjusting journal entries for each transaction. Set up T-accounts for each of the ledger accounts and post the journal entries to them.

a. Harley-Davidson spent \(\$ 3,674,647\) to purchase and manufacture inventories during its 2007 fiscal year. Use the financial statement effects template to record cost of goods sold for HarleyDavidson's fiscal year ended 2007.
b. Assume that Harley-Davidson had \(\$ 5,726,848\) sales on credit during fiscal year 2007. What amount did the company collect from credit customers during the year? Record this with the financial statement effects template.

Transcribed Image Text:

Selected Balance Sheet Data 2007 2006 Inventories... Accounts Receivable. $349,697 $287,798 181,217 143,049.