8 Complete General Journal Entries Summary Transactions for 2021 1 Purchased inventory on account for $360,000. 2 Sold goods for cash $75,000; the cost of goods sold was $25,000. 3 Sold goods on account for $875,000 (2/10, 1/30); the cost of goods sold was $215,000. 4 Sales returns were $12,000, and had a cost of $3,000. 5 Collected $850,000 of accounts receivable within the discount period. The gross method is used. 6 Purchased supplies on account $2,800, debit supplies. 7 Paid $300,000 of accounts payable this includes supplies and inventory. Paid the principal balance on the note payble plus interest of $3,600. The balance in interest payable is included as part of this interest payment. Paid salaries of $75,000, this includes the beginning balance in salaries payable, which represents the salaries 9 owed on December 31 of last year. 10 Paid 12-months rent in advance on September 1, 2021 of $18,000, debit pre-paid rent. 11 Purchased equipment for $90,000 on June 1, 2021 by giving a 9-month, 6% note for $90,000. 12 Paid $2,400 for maintenance and repairs. 13 Sold common stock (on January 1), 10,000 shares for $15 per share. The par value is $2 per share. 14 Sold preferred stock, 6,000 shares for $25 per share. The par value is $25 per share. 15 Paid utilities of $5,200. 16 Declared and paid cash dividends to common shareholders, $6,000. 17 Declared and paid cash dividends to preferred shareholders, $4,000. 18 Wrote off$2,200 of uncollectible accounts receivable. 19 Sold equipment having an original cost of $45,000, and accumulated depreciation of $18,000 for $32,000 cash. 8 Complete General Journal Entries Summary Transactions for 2021 1 Purchased inventory on account for $360,000. 2 Sold goods for cash $75,000; the cost of goods sold was $25,000. 3 Sold goods on account for $875,000 (2/10, 1/30); the cost of goods sold was $215,000. 4 Sales returns were $12,000, and had a cost of $3,000. 5 Collected $850,000 of accounts receivable within the discount period. The gross method is used. 6 Purchased supplies on account $2,800, debit supplies. 7 Paid $300,000 of accounts payable this includes supplies and inventory. Paid the principal balance on the note payble plus interest of $3,600. The balance in interest payable is included as part of this interest payment. Paid salaries of $75,000, this includes the beginning balance in salaries payable, which represents the salaries 9 owed on December 31 of last year. 10 Paid 12-months rent in advance on September 1, 2021 of $18,000, debit pre-paid rent. 11 Purchased equipment for $90,000 on June 1, 2021 by giving a 9-month, 6% note for $90,000. 12 Paid $2,400 for maintenance and repairs. 13 Sold common stock (on January 1), 10,000 shares for $15 per share. The par value is $2 per share. 14 Sold preferred stock, 6,000 shares for $25 per share. The par value is $25 per share. 15 Paid utilities of $5,200. 16 Declared and paid cash dividends to common shareholders, $6,000. 17 Declared and paid cash dividends to preferred shareholders, $4,000. 18 Wrote off$2,200 of uncollectible accounts receivable. 19 Sold equipment having an original cost of $45,000, and accumulated depreciation of $18,000 for $32,000 cash