1. March l: Stockholder's invest $501,000 into the company in exchange for Billy Bob's Bikes common stock 2. March 1: Billy Bob bought some land for $76,345. 3. March 1: Billy Bob purchased a building for $378,000 using $78,000 cash and then borrowing the rest from the bank. The loan from the bank will be paid off over the next 8 years (1/8 of the principal will be paid off at the end of each year). The loan carries an interest rate of 8.88% Interest accrued will be paid off at the end of every year. The building has an expected life of 2 years, a salvage value of $176,400, and will be depreciated using the straight-line method. 4. March l: Billy Bob paid in advance for a 6-month insurance policy, which will begin today. He paid $25,416 cash for the policy March 2: Billy Bob purchased 22 bikes from Biker's Bargains. Each bike cost S6,200 and the credit terms are 3/15, n/30. (Note: Bikes are considered Inventory) 5. 6. March 2: Biker's Bargains paid FedEx $3.308 cash to ship the bikes to Billy Bob. 7. March 3: Billy Bob purchased $999 worth of supplies from Oliver's Office Supplies paying cash 8. March 6: Billy Bob sold 14 bikes to Carl's Cars for $6,950 each with credit terms of 2/10, n/30. The total cost of the bikes was figured out to be $86,800. March 6: Billy Bob paid DHL $2,002 cash to ship the bikes to Carl's Cars. March 8: Billy Bob paid off the balance due from Biker's Bargains. 9. 10. The cost h 10: Carl's Cars returned two of the bikes because parts were falling off of them. of the bikes to Billy Bob was figured out to be $12,400. March 11: Billy Bob purchased 27 more bikes from Biker's Bargains. Each bike cost $6,300 and the credit terms are 4/10 EOM, n/60. 13. March 12: Billy Bob paid UPS S4,104 cash to ship the bikes he bought from Biker's Bargains. March 15: Billy Bob bought a Bike Making Machine for $198,000 using $39,000 cash and then borrowing the rest from the bank. The loan will be paid off over the next 4 years (1/4 of the principal will be paid at the end of each year). The loan carries an interest rate of 7.20 percent. Interest accrued will be paid off at the end of every year. The Bike Making Machine has an expected life of 10 years, no salvage value and will be depreciated using the straight-line method. 14. March 17: Billy Bob returned 4 of the bikes he bought from Biker's Bargains. They credited $25,200 to his account. 1s. 16. March 18: Carl's Cars paid his balance off for the bikes he purchased