Question
Can someone help journalize these adjusting entries a - k? a. Merchandise inventory on hand at December 31, per physical count, $301,500. b. Allowance for
Can someone help journalize these adjusting entries a - k?
a. Merchandise inventory on hand at December 31, per physical count, $301,500.
b. Allowance for bad debts must be increased to 3% of year end accounts receivable.
c. Insurance coverage expired during the year, $12,350.
d. Supplies on hand at December 31, $2,100.
e. Additional depreciation to be recorded on the equipment for the year, $14,130.
f. Accrued sales salaries $1,800 and accrued office salaries $890 on December 31.
g. Accrued interest on the note payable as of December 31, $240.
h. Record rent revenue earned as of December 31 from the advance payment received on December 1 (as described above).
i. Estimated additional customer returns expected to be 0.8% of year-end sales revenue and cost of additional expected returned inventory is expected to be $27,000. 70% of additional expected returns are estimated to be from sales on account. 30% of additional expected returns are estimated to be from cash sales.
j. Income taxes must be recorded at 30% of income before income taxes. 30% tax rate applies on all tax-related items.
k. Record unrealized loss on available for sale securities of $2150. (This entry debits AOCI ($1505) and Deferred tax asset ($645)
and credits the Investment account ($2150).)
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