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4. Based on the following selected data, journalize the adjusting entries as of 31 of the current year: a. Estimated uncollectible accounts at December 31,

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4. Based on the following selected data, journalize the adjusting entries as of 31 of the current year: a. Estimated uncollectible accounts at December 31, $16,000, based on an at Dec accounts receivable. The balance of Allowance for Doubtful Accounts at 31 was $2,000 (debit). shrinkage of $3,300. b. The physical inventory on December 31 indicated an inventory shrinkage of s c. Prepaid insurance expired during the year, $22,820. d. Office supplies used during the year, $3,920. e. Depreciation is computed as follows: Depreciation ResidualAcquisition Useful Life Date Method Used in Years 50 Value Asset Buildings Office Equip. 246,000 26,000 January3 Store Equip.112,000 12,000 July 1 Cost Double-decliningb Straight-line Straight-line $900,000 S0 January 2 10 f. A patent costing $48,000 when acquired on January 2 has a remaining legal life of 10 years and is expected to have value for eight years. g. The cost of mineral rights was $546,000. Of the estimated deposit of 910,000 to of ore, 50,000 tons were mined and sold during the year. h. Vacation pay expense for December, $10,500. i. A product warranty was granted beginning December 1 and covering a one-ye period. The estimated cost is 4% of sales, which totaled $1,900,000 in December j. Interest was accrued on the note receivable received on October 17. Based on the following information and the post closing trial balance shown belo prepare a balance sheet in report form at December 31 of the current year. The merchandise inventory is stated at cost by the LIFO method. The product warranty payable is a current liability. Vacation pay payable: Current liability Long-term liability $7,140 3,360 The unfunded pension liability is a long-term liability. Notes payable: Current liability Long-term liability 70,000 630,000

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