Account Title Debit Credit Account Title Debit Credit Cash on hand 50,000 Subscription 108,210 receivable - ordinary share Cash on 2,500,000 Retained 20,000 savings account earnings - appropriated Cash on time 1,500,000 Retained 150,000 deposit account earnings - unappropriated Accounts 70,000 Treasury shares 40,000 receivable Allowance for 5,000 Sales 4,700,000 doubtful accounts Notes 200,000 Sales returns 130,000 receivable and allowances Interest 6,000 Sales discount 94,000 receivable Merchandising 258,000 Interest income 20,460 inventory (ending) Office supplies 8,000 Gross purchases | 2,840,500 Store supplies 15,000 Purchase 284,050 returns & allowances Prepaid rent 140,000 Purchase 230,000 (10 months discount unused portion) Prepaid 60,000 Transportation 180,600 insurance (5 in months unexpired portion) Land 1,500,000 Advertising 140,500 Office building 2,000,000 Transportation 80,700 out Acc. 80,000 Store salaries 393,100 depreciation - office building Office 120,000 Office salaries 262,800 equipment Acc. 48,000 Store rent 330,000 depreciation - expense office equipment Store 80,000 Insurance 6,000 equipment expense of the office building Acc. 32,000 Utilities expense 180,000 depreciation (50% for the store office and 50% equipment for the store Service vehicle 500,000 Used store 92,300 (used by sales supplies agents Acc. 200,000 Used office 137,000 depreciation - supplies service vehicle Accounts 179,000 Dep. expense - 40,000 payable office building Interest 30,000 Dep. expense 24,000 payable, due office equipment date on 2021 Income tax 51,363 Dep. expense 16,000 payable, due on store equipment 2021 Loans payable, 500,000 Dep. expense 100,000 due date on service vehicle 2024 Ordinary share 7,000,000 Doubtful 13,800 capital, P10 par accounts Share premium 550,000 Interest expense 60,000 - ordinary due next year share Subscribed 200,000 Income tax 51,363 ordinary share expense capital