ASAP This is due tonight and I am at a loss for how to do this Feb 1 Included in WWCs February 1 Accounts Receivable balance is a $1,500 account due from Kit Kat, a WWC customer Kit Kat is having cash flow problems and cannot pay its balance at this time WWC arranges with Kit Kat to convert the $1,400 balance to a note, and Kit Kat signs a 6 month note, at 12 annual interest The principal and all interest will be due and payable to WWC on August 1, 2012 Feb 2 WWC paid a $550 insurance premium covering the month of February The amount paid is recorded directly as an expense Feb 5 An additional 140 units of inventory are purchased on account by WWC for $10,500 terms 2 15, n30 Feb 6 WWC paid Federal Express $420 to have the 140 units of inventory delivered overnight Delivery occurred on 02 06 Feb 10a Record the sales of 110 units of inventory Feb 10b Record the cost of goods sold for 110 units Feb 15a Record the unearned revenue for 25 units paid in advance Feb 15b Record the cost of goods sold for 25 units Feb 15c Record the 10 units of inventory returned Feb 15d Record the sales return and allowance Feb 16 WWC pays the first 2 weeks wages to the employees The total paid is $3,200 Feb 17 Paid in full the amount owed for the 2 05 purchase of inventory WWC records purchase discounts in the current period rather than as a reduction of inventory costs Feb 18 Wrote off a customers account in the amount of $1,500 Feb 19a $4,600 of rent for January and February was paid Because all of the rent will soon expire, the February portion of the payment is charged directly to expense Feb 19b Collected $9,000 of customers Accounts Receivable Of the $9,000, the discount was taken by customers on $5,500 of account balances therefore WWC received less than $9,000 Feb 26a Record the entry to reversal of allowance for doubtful accounts Feb 26b Record the entry to recovered $500 cash from the customer Feb 27 A $450 utility bill for February arrived It is due on March 15 and will be paid then Feb 28 WWC declared and paid a $450 cash dividend Feb 29a Record the $3,200 employee salary that is owed but will be paid March 1 Feb 29b WWC decides to use the aging method to estimate uncollectible accounts WWC determines 8 of the ending balance is the appropriate end of February estimate of uncollectible accounts Feb 29c Record February interest expense accrued on the note payable Feb 29c Record one months interest earned Kit Kats note (see 02 01) Required information The following information applies to the questions displayed below Wally's Widget Company (WWC) incorporated near the end of 2011 Operations began in January of 2012 WWC prepares adjusting entries and financial statements at the end of each month Balances in the accounts at the end of January are as follows 4,850 Cash 0 $20120 Unearned Revenue (25 units) Accounts Payable (Jan 0 Rent) Accounts Receivable Allowance for Doubtful Accounts Inventory (30 units) $(1,400) Notes Payable $ 2,700 Contributed Capital Retained Earnings Feb 1,6 4,420 2012 2,300 $15,000 $ 6,000 0 WWC establishes a policy that it will sell inventory at $170 per unit In January, WWC received a $4,850 advance for 25 units, as reflected in Unearned Revenue WWC's February 1 inventory balance consisted of 30 units at a total cost of $2,700 WWC's note payable accrues interest at a 12 annual rate WWC will use the FIFO inventory method and record COGS on a perpetual basis February Transactions Included in WWC's February 1 Accounts Receivable balance is a $1,400 account due from Kit Kat, a WWC customer Kit Kat is having cash flow 2104 problems and cannot pay its balance at this time WWC arranges with Kit Kat to convert the $1,400 balance to a note, and Kit Kat signs a 6 month note, at 12 annual interest The principal and all interest will be due and payable to WWC on August 1, 2012 WWC paid a $550 insurance premium covering the month of February The amount paid is recorded directly as an expense An additional 140 units of inventory are purchased on account by WWC for $10,500 terms 2 15, n30 WWC paid Federal Express $420 to have the 140 units of inventory delivered overnight Delivery occurred on 02 06 02 10 Sales of 110 units of inventory occurred during the period of 02 07 02 10 The sales terms are 2 10, net 30 The 25 units that were paid for in advance and recorded in January are delivered to the customer 10 units of the inventory that had been sold on 2 10 are returned to WWC The units are not damaged and can be resold Therefore, they are returned to inventory Assume the units returned are from the 2 05 purchase WWC pays the first 2 weeks wages to the employees The total paid is 02 16 $3,200 Paid in full the amount owed for the 2 05 purchase of inventory WWC 02 17 records purchase discounts in the current period rather than as a reduction of inventory costs 02 18 Wrote off a customer's account in the amount of $1,500 $4,600 of rent for January and February was paid Because all of the 02 19 rent will soon expire, the February portion of the payment is charged directly to expense Collected $9,000 of customers' Accounts Receivable Of the $9,000, the 02 19 discount was taken by customers on $5,500 of account balances therefore WWC received less than $9,000 WWC recovered $500 cash from the customer whose account had previously been written off (see 02 18) 2 7A $450 utility bill for February arrived It is due on March 15 and will be paid then 02 28WWC declared and paid a $450 cash dividend Adjusting Entries Record the $3,200 employee salary that is owed but will be paid March WWC decides to use the aging method to estimate uncollectible 02 29accounts WWC determines 8 of the ending balance is the appropriate end of February estimate of uncollectible accounts 02 29Record February interest expense accrued on the note payable 02 29 Record one month's interest earned Kit Kat's note (see 02 01) No Credit Date Feb 1 General Journal Notes Receivable Accounts Receivable Debit 1,400 1 1,400 Feb 2 550 Insurance Expense Cash 550 3 Feb 5 10,500 Inventory Accounts Payable 10,500 4 Feb 6 420 Inventory Cash 420 5 Feb 10a 18,700 Accounts Receivable Sales Revenue 18,700V 6 Feb 10b Cost of Goods Sold Inventory 7 Feb 15a Unearned Revenue Sales Revenue 8 Feb 15b Cost of Goods Sold Inventory 9 Feb 15C Inventory Cost of Goods Sold 10 Feb 15d Sales Returns and Allowance Accounts Receivable 11 Feb 16 Wages Expense Cash Se ss ss ss ss ss sssssssssssssssssssssssssss 12 Feb 17 Accounts Payable Cash 13 Feb 18 Allowance for Doubtful Accounts Accounts Receivable 14 Feb 19a Rent Expense Cash 15 Feb 19b Cash Sales Discounts 16 Feb 26a Allowance for Doubtful Accounts Accounts Receivable 17 Feb 26b Cash Accounts Receivable 18 Feb 27 Utility Expense Accounts Payable 19 Feb 28 Dividends Declared Cash 20 Feb 29a Wages Expense Wages Payable 21 Feb 29b Bad Debt Expense Allowance for Doubtful Accounts

Question

ASAP  This is due tonight and I am at a loss for how to do this  Feb  1   Included in WWCs February 1 Accounts Receivable balance is a $1,500 account due from Kit Kat, a WWC customer  Kit Kat is having cash flow problems and cannot pay its balance at this time  WWC arranges with Kit Kat to convert the $1,400 balance to a note, and Kit Kat signs a 6 month note, at 12  annual interest  The principal and all interest will be due and payable to WWC on August 1, 2012  Feb 2   WWC paid a $550 insurance premium covering the month of February  The amount paid is recorded directly as an expense Feb 5   An additional 140 units of inventory are purchased on account by WWC for $10,500 terms 2 15, n30  Feb 6   WWC paid Federal Express $420 to have the 140 units of inventory delivered overnight  Delivery occurred on 02 06  Feb 10a   Record the sales of 110 units of inventory  Feb 10b   Record the cost of goods sold for 110 units  Feb 15a   Record the unearned revenue for 25 units paid in advance  Feb 15b   Record the cost of goods sold for 25 units  Feb 15c   Record the 10 units of inventory returned Feb 15d   Record the sales return and allowance  Feb 16   WWC pays the first 2 weeks wages to the employees  The total paid is $3,200  Feb 17   Paid in full the amount owed for the 2 05 purchase of inventory  WWC records purchase discounts in the current period rather than as a reduction of inventory costs  Feb 18   Wrote off a customers account in the amount of $1,500  Feb 19a   $4,600 of rent for January and February was paid  Because all of the rent will soon expire, the February portion of the payment is charged directly to expense  Feb 19b   Collected $9,000 of customers Accounts Receivable  Of the $9,000, the discount was taken by customers on $5,500 of account balances  therefore WWC received less than $9,000  Feb 26a   Record the entry to reversal of allowance for doubtful accounts  Feb 26b   Record the entry to recovered $500 cash from the customer  Feb 27   A $450 utility bill for February arrived  It is due on March 15 and will be paid then  Feb 28  WWC declared and paid a $450 cash dividend  Feb 29a   Record the $3,200 employee salary that is owed but will be paid March 1  Feb 29b   WWC decides to use the aging method to estimate uncollectible accounts  WWC determines 8  of the ending balance is the appropriate end of February estimate of uncollectible accounts  Feb 29c   Record February interest expense accrued on the note payable  Feb 29c   Record one months interest earned Kit Kats note (see 02 01)  Required information  The following information applies to the questions displayed below   Wally's Widget Company (WWC) incorporated near the end of 2011  Operations began in January of 2012  WWC prepares adjusting entries and financial statements at the end of each month  Balances in the accounts at the end of January are as follows  4,850 Cash 0 $20120 Unearned Revenue (25 units) Accounts Payable (Jan 0 Rent) Accounts Receivable Allowance for Doubtful Accounts Inventory (30 units) $(1,400) Notes Payable $ 2,700 Contributed Capital Retained Earnings Feb 1,6 4,420 2012 2,300 $15,000 $ 6,000 0   WWC establishes a policy that it will sell inventory at $170 per unit  In January, WWC received a $4,850 advance for 25 units, as reflected in Unearned Revenue  WWC's February 1 inventory balance consisted of 30 units at a total cost of $2,700    WWC's note payable accrues interest at a 12  annual rate  WWC will use the FIFO inventory method and record COGS on a perpetual basis  February Transactions Included in WWC's February 1 Accounts Receivable balance is a $1,400 account due from Kit Kat, a WWC customer  Kit Kat is having cash flow 2104 problems and cannot pay its balance at this time  WWC arranges with Kit Kat to convert the $1,400 balance to a note, and Kit Kat signs a 6 month note, at 12  annual interest  The principal and all interest will be due and payable to WWC on August 1, 2012  WWC paid a $550 insurance premium covering the month of February  The amount paid is recorded directly as an expense  An additional 140 units of inventory are purchased on account by WWC for $10,500   terms 2 15, n30  WWC paid Federal Express $420 to have the 140 units of inventory delivered overnight  Delivery occurred on 02 06  02 10 Sales of 110 units of inventory occurred during the period of 02 07   02 10  The sales terms are 2 10, net 30  The 25 units that were paid for in advance and recorded in January are delivered to the customer  10 units of the inventory that had been sold on 2 10 are returned to WWC  The units are not damaged and can be resold  Therefore, they are returned to inventory  Assume the units returned are from the 2 05 purchase  WWC pays the first 2 weeks wages to the employees  The total paid is 02 16 $3,200  Paid in full the amount owed for the 2 05 purchase of inventory  WWC 02 17 records purchase discounts in the current period rather than as a reduction of inventory costs  02 18 Wrote off a customer's account in the amount of $1,500  $4,600 of rent for January and February was paid  Because all of the 02 19 rent will soon expire, the February portion of the payment is charged directly to expense  Collected $9,000 of customers' Accounts Receivable  Of the $9,000, the 02 19 discount was taken by customers on $5,500 of account balances  therefore WWC received less than $9,000  WWC recovered $500 cash from the customer whose account had previously been written off (see 02 18)  2 7A $450 utility bill for February arrived  It is due on March 15 and will be paid then  02 28WWC declared and paid a $450 cash dividend  Adjusting Entries  Record the $3,200 employee salary that is owed but will be paid March WWC decides to use the aging method to estimate uncollectible 02 29accounts  WWC determines 8  of the ending balance is the appropriate end of February estimate of uncollectible accounts  02 29Record February interest expense accrued on the note payable  02 29 Record one month's interest earned Kit Kat's note (see 02 01)  No Credit Date Feb  1 General Journal Notes Receivable Accounts Receivable Debit 1,400 1 1,400 Feb  2 550 Insurance Expense Cash 550 3 Feb  5 10,500 Inventory Accounts Payable 10,500 4 Feb  6 420 Inventory Cash 420 5 Feb  10a 18,700 Accounts Receivable Sales Revenue 18,700V 6 Feb  10b Cost of Goods Sold Inventory 7 Feb  15a Unearned Revenue Sales Revenue 8 Feb  15b Cost of Goods Sold Inventory 9 Feb  15C Inventory Cost of Goods Sold 10 Feb  15d Sales Returns and Allowance Accounts Receivable 11 Feb  16 Wages Expense Cash Se ss ss ss ss   ss sssssssssssssssssssssssssss 12 Feb  17 Accounts Payable Cash 13 Feb  18 Allowance for Doubtful Accounts Accounts Receivable 14 Feb  19a Rent Expense Cash 15 Feb  19b Cash Sales Discounts 16 Feb  26a Allowance for Doubtful Accounts Accounts Receivable 17 Feb  26b Cash Accounts Receivable 18 Feb  27 Utility Expense Accounts Payable 19 Feb  28 Dividends Declared Cash 20 Feb  29a Wages Expense Wages Payable 21 Feb  29b Bad Debt Expense Allowance for Doubtful Accounts

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ASAP! This is due tonight and I am at a loss for how to do this. Feb. 1 : Included in WWCs February 1 Accounts

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