Calculator Print Item unts Payable and Cash Discounts structions Chart of Accounts General Joumal Balance Sheet Next Level structions yrd Company had the following transactions during 2016 and 2017 1. On December 24, 2016, a computer was purchased on acCount from Computers International for $60,000 Terms of the sale were 2/10, n/30 2. Byrd calculated that to forgo the discount for the computer would be the equivalent of paying 36% interest annualy for the extra 20 days Therefore. Byrd went to First Local Bank and signed a $60.000 30-day note at 12% in order to take advantage of the discount terms. This transaction took place on December 29, 2016. (The acccount payable was paid on January 2, 2017, and the note was paid at matunity. Assume a 360-day year.) 3. On December 30, 2016, Byrd declared a $2.00 cash dividend to the common shareholders. Ten thousand shares were outstanding on this date. The dividend is to be paid on January 5, 2017 (Byrd Company charges dividends directly to retained eamings) Required: 1. Prepare the journal erntries for Byrd for both 2016 and 2017, Assume that the net price method is used to account fbr tme credt terma Show how the preceding items would be reported in the current labiites section of Byrds December 31, 2016, balance sheet 2 3. Next Level Assuming Byrd's current assets were $1,200,000 and its curent ratio was 24 at the end of 2015, compute the curent ratio at the end of 2016 (based solely on the effects of the preceding transactiona). Check My Work All work saed DOLL