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 8 years. Comprehensive Problem 3 Part 3: Note: You must complete parts 1 and 2 before completing part 3 of this comprehensive problem. Based on the bank reconciliation prepared in (2), journalize the entry or entries to be made by Kornett Company, Use the Miscellaneous Administrative Expense account to record bank service charges. If an amount box does not require an entry, leave it blank. June 2t Received a 60 -day, 8% note for $180,000 on the Ryanair account. Aug. 1: Received amount owed on June 2 note, plus interest at the maturity date. Aug. 24: Received $7,600 on the Finiey account and wrote off the remainder owed on a $9,000 accounts receivable balance. (The allowance method is used in accounting for uncollectible receivables.) Sept. 15: Reinstated the Finley account written off on August 24 and received $1,400 cash in full payment. Part 1: Selected transactions completed by Komett Company during its first fiscal year ended December 31, 20Y5, were as follows: 1. Joumalize the selected transactions. Assume 360 days per year. If no entry is required, select "No entry required" trom the dropdown and leave the amount boxes blank. If an amount box does not require an entry, leave it blank. Jan. 3: Issued a check to establish a petty cash fund of $4,500. Feb. 26: Repienished the petty cash fund, based on the following summary of petty cash receipts: office supplies; 51,680; miscellaneous selling expense, 5570 ; miscellaneous administrative expense, $8B0. Apr. 14: Purchased $31,300 of merchandise on account, terms n/30. The perpetual inventory system is used to account for inventory. May 13: Paid the involce of April 14. May 17: Received cash from daily cash sales for $21,200. The amount indicatec June 2: Received a 60 -day, 8% note for $180,000 on the Ryanair account. b. The physical inventory on December 31 indicated an inventory shrinkage of $3,300. c. Prepald insurance expired during the year, $22,820. d. Orfice supplies used during the year, $3,920. e. Depreciation is computed as follows: Based on the following data, prepare a bank reconciliation for December of the current year: - Balance according to the bank statement at December 31,$283,000. - Balance according to the ledger at December 31,$245,410. - Checks outstanding at December 31,$68,540. - Deposit in transit, not recorded by bank, $29,500. - Bank debit memo for service charges, $750. - A check for $12,700 in payment of an involce was incorrectly recorded in the accounts as $12,000. Sept. 15: Purchased land by issuing a $670,000,90-day note to Zahorik C0, which discounted it at 9%. Oct. 17: Sold office equipment in exchange for $135,000 cash plus receipt of a $100,000,90 day, 9% note. The equipment had a cost of $320,000 and accumulated depreciation of $64,000 as of October 17 . Nov. 30: Journalize the employer's payroll taxes on the payroll. Dec. 14: Journalize the payment of the September 15 note at maturity. Dec. 31: The pension cost for the year was $190,400, of which $139,700 was paid to the pension plan trustee. Oct. 17: Sold office equipment in exchange for $135,000 cash plus receipt of a $100,000,90-day, 9% note. The equipment had a cost of $320,000 and accumulated depreciation of $64,000 as of October 17 . Nov. 30: Joumalize the monthly payroll for November, based on the following ata: State unemployment 5.4% Federal unemployment 0,8% Amount subject to unemployment taxes: State unemployment $5,000 Federal unemployment 5,000 Nov. 30: Journatize the employer's payroll taxes on the payroll. The following is a comprehensive problem which encompasses all of the elements learned in previous chapters. You can refer to the objectives for each chapter covered as a review of the concepts. Note: You must complete part 1 before completing part 2. Based on the following data, prepare a bank reconciliation for December of the current year: - Balance according to the bank statement at December 31,$283,000. - Balance according to the ledger at December 31, $245,410. - Checks outstanding at December 31, $68,540. - Deposit in transit, not recorded by bank, 529,500 . - Bank debit memo for service charges, $750. - A check for $12,700 in paymeot of an involce was incorrectly recorded in the accounts as $12,000. h. Vacation pay expense for December, $10,500. 1. A product warranty was granted beginning December 1 and covering a 1-year period. The estimated cost is 4% of sales, which totaled $1,900,000 in December. 1. Interest was accrued on the note recelvable recelved on October 17 ( $100,000,90 - day, 9% note). Assume 360 days per year. Note: You must complete parts 1,2 , and 3 before completing part 4 of this comprehensive problem. Based on the following selected data, journalize the adjusting entries as of December 31 of the current year. If no entry is required, select "No entry required" from the dropdown and leave the amount boxes blank, If an amount box does not require an entry, leave it blank. a. Estimated uncollectible accounts at December 31,$16,000, based on an aging of accounts receivable. The balance of Allowance for Doubtfut Accounts at December 31 was $2,000 (debit). b. The physical inventory on December 31 indicated an inventory shrinkage of $3,300. c. Prepaid insurance expired during the yeac, $22,820. 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 8 years. 9. The cost of mineral rights was $546,000, Of the estimated deposit of 910,000 tons of ore, 50,000 tons were mined and sold during the year. h. Vacation pay expense for December, $10,500. 1. A product warranty was granted beginning December 1 and covering a 1 -year period. The estimated cost is 4% of sales, which totaled $1,900,000 in Decembe