Can you check my adjusting journal entries 6 and 16 if it is correct? Also, I don't know how to do the number 13. (Worksheet 1) is the work I have done that I want you to check and answer. You can just comment me if those are write and where and how much I need to put on the adjusted journal entries. (Worksheet 2, 3) are that you may need to check and answer this question.

(Direction for adjusting journal entries)

6: An aging schedule is to be done to establish the allowance for bad debts: The allowance should be:

Age Amount Percentage

0-30 days $30,000 1%

30-60 days 10,000 5%

Over 60 days Balance 20%

13: The estimated value of the tools remaining at 2016 year-end is $7,500. The appraisal method of depreciation is used (for account # 537).

16: The $12,000 of sports equipment rental revenue collected in December (entry 36) is for the use of equipment during December through March and it should be pro-rated equally over the four months. The pro-ration is the same, no matter when the rental contract is executed.

(Worksheet 1)

(Worksheet 2)

(Worksheet 3)

December 31, 2016 Spring 2021 Adjusting Entries Debit Key Income Statement Debit Credit Retained Earnings Debit Credit Key Credit 401 402 403 404 405 406 Unadjusted Trial Balance Debit Credit 27,102 203,992 85,575 1,887 10.000 12.000 Adjusted Trial Balance Debit Credit 27,102 203,992 85,575 17,915 10,000 12,000 3,400 93,600 Cash-checking Cash-money market Accounts receivable Allowance for bad debts 1 Rebate Receivable 2 Trading investments 3 Trading Invest Market Adj Inventory. piers and lifts 5 6 Inventory, dock parts 7 Inventory, sports equipment 3 Supplies Prepaid expense 6 16,028 Balance Sheet Debit Credit 27.102 203,992 85,575 17,915 10,000 12,000 3,400 93,600 4081 20 4b 501 94,000 3,400 5,300 4a. 40 5,700 88 25,000 503 505 510 511 2,260 25,000 1,800 1,000 8b 7 3, 12, 18, 15 31.000 300 19,100 2,260 31.000 2,100 20,100 2.260 31,000 2,100 20,100 2,000 120.000 450.000 2.000 120,000 450,000 2.000 120,000 450,000 150,000 1 12,000 162,000 162,000 78,000 78,000 78,000 1 2 Security deposit 3 Land 4 Buildings s Accumulated depreciation-buildings 6 Barge 7 Accumulated depreciation-barge 3 Trucks 9 Accumulated Depreciation-trucks Tools 1 Customer Deposits 2 Accounts payable 512 520 530 531 532 533 534 535 537 600 601 20,000 2 6,500 32.500 32,500 110.000 110,000 110,000 26,000 1 12,000 38,000 38,000 9,700 13 7,500 7.500 4,000 79,400 4,000 85,700 4,000 85,700 11, 17, 4b 6,300 10 10 1.990 12,005 1.990 12,005 1,990 12,005 2,880 T 9 14 40,076 7,000 1.200 9,880 1,200 5 4,000 602 603 604 805 806 807 608 6091 6092 610 611 612 813 700 701 702 703 704 101 102 103 4,000 3.250 120.000 269,000 40,000 4 Wages payable S FICA and Medicare payable 6 Payroll tax withholdings 7 State sales tax payable 3 Federal Income taxes payable Estimated liabilities Accrued interest payable 1 Deferred revenue 2 Gift Certificate Liability 3 Notes payable 4 Mortgage payable 5 Installment contracts payable * Deferred sport rental 7 Common stock 3 Paid in excess of par Retained Earnings Dividends dedared 1 Prior Period Adjustment 2 Pier and Lift Sales 3 Pier and lift installation labor 4 Custom Dock Sales 5 Seawall installations 5 Sports equipment sales 7 Sports equipment rental revenue 3 Permit fee revenue 9 Interest revenue 9.880 1,200 0 3,250 120,000 269,000 40,000 9,000 10,000 190,000 158,791 3,250 120,000 269,000 40,000 9,000 10.000 190.000 16 9,000 10,000 190.000 158,791 158,791 10,000 - 10.000 10,000 104 981,000 168.800 306,000 203,500 110,500 43,500 4,500 900 981,000 168,800 306,000 203,500 110,500 38,500 4,500 900 981,000 168.800 306,000 203,500 110,500 38,500 4,500 900 16 9,000 105 106 107 109 5 4,000 120,000 269,000 40,000 16 9,000 120,000 269,000 40,000 9,000 10,000 190,000 158,791 120,000 269,000 40.000 9,000 10,000 190,000 10,000 190.000 158,791 158,791 10,000 10,000 10.000 981,000 168,800 306,000 203,500 110,500 43,500 4,500 900 981,000 168,800 306,000 203,500 110,500 38,500 4,500 900 981.000 168.800 306,000 203,500 110,500 38.500 4,500 900 16 9,000 5 4,000 1,450 1.450 1,450 20 3,400 3,400 3,400 702,000 189,840 105,300 4a 11 3,000 700 705,000 190,540 105,300 84,740 0 705.000 190.540 105,300 84,740 8b 84,740 810 811 812 613 700 701 702 703 704 101 102 103 104 105 106 107 109 110 111 201 203 204 205 206 210 311 312 313 314 315 316 317 318 319 320 321 322 323 324 331 333 335 337 340 341 350 399 89,200 85 89,200 4,060 Notes payable Mortgage payable Installment contracts payable Deferred sport rental Common stock Paid in excess of par Retained Earnings Dividends declared Prior Period Adjustment Pier and Lift Sales Pier and lift installation labor Custom Dock Sales Seawall installations Sports equipment sales Sports equipment rental revenue Permit fee revenue Interest revenue Gain/Loss on sale of fixed assets Unrealized gain/loss marketable investme Cost of sales-piers and lifts Dock parts costs Seawall costs Sports equipment Cost of Goods Sold Sports equipment purchases Purchase discounts taken Salaries expense Labor expense Payroll tax expense Utilities expense Insurance expense Maintenance expense Fuel expense Property tax expense Advertising expense Supplies expense Professional fees expense Freight In Interest expense Bad debt expense Depreciation expense-buildings Depreciation expense-barge Depreciation expense-trucks Depreciation expense-tools Inventory write-down Exchange Gain/Loss Estimated losses Income tax expense Totals Net Income before tax Income Tax Expense Income Tax Payable Net Income after Tax Ending Retained Earnings 0 8a 10 10 10 4,060 4,000 9,000 995 3 12,100 107.000 223,000 25,247 20,400 40,200 16.900 6,300 12.000 40.080 12.900 9,795 5,800 28,190 5,137 103,000 214,000 24,252 20,400 28.100 16.900 6,300 8,000 38.880 12,600 7.995 15 12 7 18 8a 103,000 214,000 24,252 20.400 28,100 16.900 8,300 8,000 38,880 12.600 7,995 0 0 29,390 21,165 12.000 6,500 17,000 4,000 1.200 300 1,800 5,600 14 6 1 2 1 1.200 16,028 12.000 6,500 12,000 29,390 21,165 12,000 6,500 17,000 5,000 4c 2,700 17 300 9 7.000 T 40,076 278.399 2.700 300 7,000 2.700 300 7.000 2.887.968 2.887.988 276,399 2.932,141 2.982,331 1.797.100 10,000 158.791 1.258.829 1,006,440 1,663,512 133,588 (40,076) 399 606 93,512 93,512 242,303 242,303 2.517,258 2.255.183 All sales amounts shown do not include sales tax. All sales are taxable. Be sure to add sales tax at a 5% rate to all sales and rental (not including deposits) transactions. + Round all computations to the nearest dollar. Round up for 50 cents or more. Transactions were as follows: Date Dec. 2, Transaction Paid accrued (on Nov. 30) wages due to employees Amount $ 18,0004 22 3e 4 Dec. 10, 5e Paid accrued (Nov. 30) FICA and Medicare Paid accrued (Nov. 30) payroll tax withholdings Paid accrued (Nov. 30) sales taxes due Paid accounts payable 1,3774 3,600 11,50044 38,0004 62 74 26,000 19,000 2,30044 se 9 104 11e 12e 13e 142 15e 162 17e 18e 192 Pier and lift sales for cash, before tax amount Cost of piers and lifts solde Labor charge to install lifts, received in cash from customers, before tax amounte Purchases of piers and lifts on account Custom dock sales charged to customers, before tax amount Purchases of lumber on account for custom docks Dock parts issued from inventory Seawall installations charged to customers, before tax amount Seawall rocks purchased on account Sports equipment sales for cash, before tax amount Purchases of sports equipment on account Cash collected from customers on accounts receivable Advertising expenses incurred and paid Purchase of office supplies, paid in cash, charged to expense account Freight in incurred and paid Customer accounts receivable written off President and secretary salaries accrued for two weeks. Paychecks will be issued on Dec. 12. Amount shown is gross; apply 7.65% FICA and Medicare and 10% income tax withholding. Additionally, a payroll tax is paid by the employer equal to the FICA and Medicare withholdings. In other words, 7.65 % is withheld from employee pay and 7.65% is paid by the employer. (Taxes to the nearest dollar in all cases) 32,00044 16,000 8,50044 340 6,5004 2,3004 4,500 3,2004 42,000 1,400 5004 20e 21e 22e 1,4004 2,5004 5,000 23e 13,0004 Labor wages accrued for two weeks. Paychecks will be issued on Dec. 12. Amount shown is gross; apply 7.65% FICA and Medicare and 10% income tax withholding. Additionally, a payroll tax is paid by the employer equal to the FICA and Medicare withholdings. In other words, 7.65 % is withheld from employee pay and 7.65% is paid by the employer.e 24e 13,200 25e Paid property insurance for Dec. 1 2016 to Dec. 1, 2017. Recorded in expense accounte Bad debt expense booked, equal to 1% of credit sales including sales taxe Paid wages due to all employees 2364 14,8224 Dec. 12, le 2e 3e 4 Paid FICA and Medicare Paid income tax withholdings Paid sales taxes duee 2,7564 1.8004 2,7654 Calculate Dec. 24, 5e 6 7 The above entries were recorded by "Bob" from the temporary service. You are not allowed access to the journal entries, but all entries were posted to the ledger (Worksheet 2). Every ledger entry ties to the above dates and item numbers. Bob had to calculate the bad debt expense (good idea to confirm it). You must make entries and enter them into the ledger for the following items. "Your amt." means that you are paying the liability that was recorded in a prior entry. I would suggest you trace out these amounts. Record payment of accounts payable. Accounts paid total $25,000 (before cash discount). Only 8.000 of the goods purchased qualified for an early payment discount. Terms are 2/10, n/30 Pier and lift sales for cash, before tax amount Cost of piers and lifts solde Labor charged to install lifts, received in cash, before tax amount Purchases of piers and lifts on account Custom dock sales charged to customer accounts receivable accounts, before tax amount Purchases of dock lumber for sold jobs and delivered to customer work site, on account Dock parts issued from inventory to sold jobs Purchase of dock parts for inventory on account Seawall installations charged to customers, before tax amounts Seawall rocks purchased on account Sports equipment sales for cash, before tax amount Purchases of sports equipment on account - purchased from Italian supplier and billed as 6,000 Euros. On that date the exchange rate was one Euro - $1.252 Cash collected from customers on accounts receivable. $2,000 was the collection of an amount written off a year ago se 9 10 85,000 64,0004 1,5004 17,000 45,0004 11e 15,000 12e 13e 14e 15e 16 17e 3,000 1,500 17,000 7,0004 13,000 Calculate 182 23,000 19 202 21e 22e 23e 2,3004 1,000 1,000 1,800 13,000 242 15,000 25e 2,0504 Advertising expenses incurred and paid Fuel bill received and paid in cash Freight incurred (for sports equipment purchased) and paid Utility bills received and paid in cash President and secretary salaries accrued for two weeks. Paychecks will be issued on Dec. 26. Amount shown is gross, apply 7.65% FICA and Medicare and 10% income tax withholding. Additionally, a payroll tax is paid by the employer equal to the FICA and Medicare withholdings. In other words, 7.65 % is withheld from employee pay and another 7.65% is paid by the employer. Labor wages accrued for two weeks. Paychecks will be issued on Dec. 26. Amount shown is gross; apply 7.65% FICA and Medicare and 10% income tax withholding. Additionally, a payroll tax is paid by the employer equal to the FICA and Medicare withholdings. In other words, 7.65 % is withheld from employee pay and another 7.65% is paid by the employer.e Pay monthly payment on mortgage, interest portion is $1,190, $860 is a reduction of mortgage payable account 611) Annual interest and principal amounts (needed for later Requirement 3) are: Year Payments Interest Principal 2016 $24,600 $15,500 $9,100 2017 24,600 13,600 11,000 Bad debt expense booked, equal to 1% of credit sales including sales tax (since Dec. 10 entry). (rounded up to nearest dollar) Old truck sold, original cost was $25,000, and accumulated depreciation on Dec. 31, 2015 was $10,000. Annual depreciation is $5,000, Sale price is $9,000. The auction that sold the truck charged a 5% commission. A check for $8,550 was received and deposited, Hint: compute and record full year of depreciation on truck before you record the sale. No sales tax is collected on this sale. The buyer pays it directly to the state when registering the vehicle. + The sale is recorded net of the fee charged by the auction service. Purchased new truck, paid $10,000 cash and financed $40,000 balance on a 3-year installment contract. IA hydraulic crane was added to the barge. It is to be capitalized but it does not prolong the depreciable life of the barge and does not change the salvage value. Permits were obtained from the state for installations in 2016. The permit fees charged by the state and paid in cash were $2000, the fees charged by Ozark are $500. The $2,500 was charged to customer receivable account. Hint: The $2,000 is a direct debit to accounts receivable. Only the fee is revenue Neither amount is subject to sales tax. Tools are purchased and paid for in cash 26 Calculate 27e 8,5504 282 50,000 292 130004 302 2,000 500 31e 3,000 322 Calculate Cash dividend of $1 per share of stock was declared and paid. Hint: is there a worksheet that will include the information you need to calculate the shares outstanding? Create a temporary account Dividends declared." It is a contra- equity account. Pick an appropriate account number. Hint: The number of shares outstanding is found by dividing the common stock account by $1. e Christmas gift certificates for sports equipment were sold for the first time for the Christmas of 2016. The certificates can be redeemed at any time. There is no sales tax on certificates. Instead, the tax is added to the bill when the certificate is redeemed. All certificates were sold for cash. 33e 8,5004 342 Calculate 35e 362 1,5004 12,000 4 2,000 Gift certificates were redeemed for sports equipment purchases of $5,000 (plus tax). Accounts receivable written off as uncollectible Sports equipment (snow skis) rentals for cash (before tax), plus deposits of $2.000 (not taxed). Hint: The rental fee should be recorded in the sports equipment rental account, there is also an account for customer deposits. A bill from the computer consulting firm for one year of maintenance and support was found. The bill covers service from October 1, 2016 to September 30, 2017. Record the entire bill in account 321e 37e 2,40042 382 10,000 EZ Lift Company notified Ozark that it had earned a $10,000 rebate on 2016 purchases. The rebate was earned by meeting a volume target. $2,000 of the rebates apply to lifts in the year-end inventory. The rebate will be paid to Ozark in early Jan. 2017. 392 Calculate 402 3,00042 400 Christmas cards were sent to customers. Inside the card, there were 2 coupons for a Fish Fry at Ron's Cozy Corner. They must be used in January 2017. The cost of the mailing was $1,500, When the coupons are redeemed, Ozark will be charged $12 for each fish fry. In the past, 30% of the coupons are redeemed Ozark rented a new storage building starting Jan. 1, 2017. The agreement is month to month but requires a 3-month notice for ending the rental. Ozark paid $3,000. $1,000 is rent for January 2017 and $2,000 is a security deposite Paid wages due to all employees Paid FICA and Medicare Paid income tax withholdingse Paid sales taxes due The $12,350 check for the sale of the truck was dated January 2, 2017. The sales agent agreed to take the postdated check. The office manager did not notice the date when making the deposit. The bank has now returned the check and charged a $20 fee for a bad check. Dec. 26, le 2e 3e 4e se Your amt. Your amt. Your amt. Your amt. Calculate 62 2.000 ze 82 Hint: Ozark does not feel that it can pass the $20 charge on to its customer.e A customer placed a $2.000 deposit on a custom lift that will be ordered from the manufacturer for delivery in early 2017. The exact cost and selling price of the lift is not yet knowne Transfer $30,000 to Money Market Account The bank notified Ozark that $900 interest had been added to their money market account The bank notified Ozark that the credit card fees for sales made on credit cards was $75. That amount was deducted from the checking account 30.000 9004 9 754 Required: Using the general journal template (Worksheet 1), enter the above transactions for Dec. 24 and 26. Post the transactions to the general ledger (Worksheet 2). Record the account balances from the general ledger on the unadjusted trial balance (Worksheet 3). Submit Worksheet 1 and Worksheet 3 only. Submit one Excel file only, including each worksheet as a separate sheet/tab. 403 Name: Accounts receivable Account Number: Nov. 30 Balance 10-Dec 42,000.00 2,500.00 24-Dec 10 16,800.00 13 6,825.00 17 21 10.00 47,250.00 14.00 17,850.00 18.00 2,000.00 30 2,500.00 35.00 5 12,350.00 Dec. 31unadjusted balance 49,000.00 65,800.00 72,625.00 30,625.00 28,125.00 75,375.00 93,225.00 72,225.00 74,725.00 73,225.00 85,575.00 85,575.00 23,000.00 1,500.00 26-Dec 404 Name: Allowance for bad debts Account Number: Nov. 30 Balance 10-Dec 24-Dec 21 2,500.00 25 18 26.00 35.00 1,500.00 Dec. 31 unadjusted balance 236.00 2,000.00 651.00 (3,000.00) (500.00) (736.00) (2,736.00) (3,387.00) (1,887.00) (1,887.00) 537 Name: Tools Account Number: Nov. 30 Balance 24-Dec 6,700.00 9,700.00 31.00 3,000.00 Dec. 31 unadjusted balance 9,700.00 36 14,600 401 Cash-checking 106 Sports equipment rentals revenue 605 State sales tax payable 600 Customer deposits 12.000 600 2.000 December 31, 2016 Spring 2021 Adjusting Entries Debit Key Income Statement Debit Credit Retained Earnings Debit Credit Key Credit 401 402 403 404 405 406 Unadjusted Trial Balance Debit Credit 27,102 203,992 85,575 1,887 10.000 12.000 Adjusted Trial Balance Debit Credit 27,102 203,992 85,575 17,915 10,000 12,000 3,400 93,600 Cash-checking Cash-money market Accounts receivable Allowance for bad debts 1 Rebate Receivable 2 Trading investments 3 Trading Invest Market Adj Inventory. piers and lifts 5 6 Inventory, dock parts 7 Inventory, sports equipment 3 Supplies Prepaid expense 6 16,028 Balance Sheet Debit Credit 27.102 203,992 85,575 17,915 10,000 12,000 3,400 93,600 4081 20 4b 501 94,000 3,400 5,300 4a. 40 5,700 88 25,000 503 505 510 511 2,260 25,000 1,800 1,000 8b 7 3, 12, 18, 15 31.000 300 19,100 2,260 31.000 2,100 20,100 2.260 31,000 2,100 20,100 2,000 120.000 450.000 2.000 120,000 450,000 2.000 120,000 450,000 150,000 1 12,000 162,000 162,000 78,000 78,000 78,000 1 2 Security deposit 3 Land 4 Buildings s Accumulated depreciation-buildings 6 Barge 7 Accumulated depreciation-barge 3 Trucks 9 Accumulated Depreciation-trucks Tools 1 Customer Deposits 2 Accounts payable 512 520 530 531 532 533 534 535 537 600 601 20,000 2 6,500 32.500 32,500 110.000 110,000 110,000 26,000 1 12,000 38,000 38,000 9,700 13 7,500 7.500 4,000 79,400 4,000 85,700 4,000 85,700 11, 17, 4b 6,300 10 10 1.990 12,005 1.990 12,005 1,990 12,005 2,880 T 9 14 40,076 7,000 1.200 9,880 1,200 5 4,000 602 603 604 805 806 807 608 6091 6092 610 611 612 813 700 701 702 703 704 101 102 103 4,000 3.250 120.000 269,000 40,000 4 Wages payable S FICA and Medicare payable 6 Payroll tax withholdings 7 State sales tax payable 3 Federal Income taxes payable Estimated liabilities Accrued interest payable 1 Deferred revenue 2 Gift Certificate Liability 3 Notes payable 4 Mortgage payable 5 Installment contracts payable * Deferred sport rental 7 Common stock 3 Paid in excess of par Retained Earnings Dividends dedared 1 Prior Period Adjustment 2 Pier and Lift Sales 3 Pier and lift installation labor 4 Custom Dock Sales 5 Seawall installations 5 Sports equipment sales 7 Sports equipment rental revenue 3 Permit fee revenue 9 Interest revenue 9.880 1,200 0 3,250 120,000 269,000 40,000 9,000 10,000 190,000 158,791 3,250 120,000 269,000 40,000 9,000 10.000 190.000 16 9,000 10,000 190.000 158,791 158,791 10,000 - 10.000 10,000 104 981,000 168.800 306,000 203,500 110,500 43,500 4,500 900 981,000 168,800 306,000 203,500 110,500 38,500 4,500 900 981,000 168.800 306,000 203,500 110,500 38,500 4,500 900 16 9,000 105 106 107 109 5 4,000 120,000 269,000 40,000 16 9,000 120,000 269,000 40,000 9,000 10,000 190,000 158,791 120,000 269,000 40.000 9,000 10,000 190,000 10,000 190.000 158,791 158,791 10,000 10,000 10.000 981,000 168,800 306,000 203,500 110,500 43,500 4,500 900 981,000 168,800 306,000 203,500 110,500 38,500 4,500 900 981.000 168.800 306,000 203,500 110,500 38.500 4,500 900 16 9,000 5 4,000 1,450 1.450 1,450 20 3,400 3,400 3,400 702,000 189,840 105,300 4a 11 3,000 700 705,000 190,540 105,300 84,740 0 705.000 190.540 105,300 84,740 8b 84,740 810 811 812 613 700 701 702 703 704 101 102 103 104 105 106 107 109 110 111 201 203 204 205 206 210 311 312 313 314 315 316 317 318 319 320 321 322 323 324 331 333 335 337 340 341 350 399 89,200 85 89,200 4,060 Notes payable Mortgage payable Installment contracts payable Deferred sport rental Common stock Paid in excess of par Retained Earnings Dividends declared Prior Period Adjustment Pier and Lift Sales Pier and lift installation labor Custom Dock Sales Seawall installations Sports equipment sales Sports equipment rental revenue Permit fee revenue Interest revenue Gain/Loss on sale of fixed assets Unrealized gain/loss marketable investme Cost of sales-piers and lifts Dock parts costs Seawall costs Sports equipment Cost of Goods Sold Sports equipment purchases Purchase discounts taken Salaries expense Labor expense Payroll tax expense Utilities expense Insurance expense Maintenance expense Fuel expense Property tax expense Advertising expense Supplies expense Professional fees expense Freight In Interest expense Bad debt expense Depreciation expense-buildings Depreciation expense-barge Depreciation expense-trucks Depreciation expense-tools Inventory write-down Exchange Gain/Loss Estimated losses Income tax expense Totals Net Income before tax Income Tax Expense Income Tax Payable Net Income after Tax Ending Retained Earnings 0 8a 10 10 10 4,060 4,000 9,000 995 3 12,100 107.000 223,000 25,247 20,400 40,200 16.900 6,300 12.000 40.080 12.900 9,795 5,800 28,190 5,137 103,000 214,000 24,252 20,400 28.100 16.900 6,300 8,000 38.880 12,600 7.995 15 12 7 18 8a 103,000 214,000 24,252 20.400 28,100 16.900 8,300 8,000 38,880 12.600 7,995 0 0 29,390 21,165 12.000 6,500 17,000 4,000 1.200 300 1,800 5,600 14 6 1 2 1 1.200 16,028 12.000 6,500 12,000 29,390 21,165 12,000 6,500 17,000 5,000 4c 2,700 17 300 9 7.000 T 40,076 278.399 2.700 300 7,000 2.700 300 7.000 2.887.968 2.887.988 276,399 2.932,141 2.982,331 1.797.100 10,000 158.791 1.258.829 1,006,440 1,663,512 133,588 (40,076) 399 606 93,512 93,512 242,303 242,303 2.517,258 2.255.183 All sales amounts shown do not include sales tax. All sales are taxable. Be sure to add sales tax at a 5% rate to all sales and rental (not including deposits) transactions. + Round all computations to the nearest dollar. Round up for 50 cents or more. Transactions were as follows: Date Dec. 2, Transaction Paid accrued (on Nov. 30) wages due to employees Amount $ 18,0004 22 3e 4 Dec. 10, 5e Paid accrued (Nov. 30) FICA and Medicare Paid accrued (Nov. 30) payroll tax withholdings Paid accrued (Nov. 30) sales taxes due Paid accounts payable 1,3774 3,600 11,50044 38,0004 62 74 26,000 19,000 2,30044 se 9 104 11e 12e 13e 142 15e 162 17e 18e 192 Pier and lift sales for cash, before tax amount Cost of piers and lifts solde Labor charge to install lifts, received in cash from customers, before tax amounte Purchases of piers and lifts on account Custom dock sales charged to customers, before tax amount Purchases of lumber on account for custom docks Dock parts issued from inventory Seawall installations charged to customers, before tax amount Seawall rocks purchased on account Sports equipment sales for cash, before tax amount Purchases of sports equipment on account Cash collected from customers on accounts receivable Advertising expenses incurred and paid Purchase of office supplies, paid in cash, charged to expense account Freight in incurred and paid Customer accounts receivable written off President and secretary salaries accrued for two weeks. Paychecks will be issued on Dec. 12. Amount shown is gross; apply 7.65% FICA and Medicare and 10% income tax withholding. Additionally, a payroll tax is paid by the employer equal to the FICA and Medicare withholdings. In other words, 7.65 % is withheld from employee pay and 7.65% is paid by the employer. (Taxes to the nearest dollar in all cases) 32,00044 16,000 8,50044 340 6,5004 2,3004 4,500 3,2004 42,000 1,400 5004 20e 21e 22e 1,4004 2,5004 5,000 23e 13,0004 Labor wages accrued for two weeks. Paychecks will be issued on Dec. 12. Amount shown is gross; apply 7.65% FICA and Medicare and 10% income tax withholding. Additionally, a payroll tax is paid by the employer equal to the FICA and Medicare withholdings. In other words, 7.65 % is withheld from employee pay and 7.65% is paid by the employer.e 24e 13,200 25e Paid property insurance for Dec. 1 2016 to Dec. 1, 2017. Recorded in expense accounte Bad debt expense booked, equal to 1% of credit sales including sales taxe Paid wages due to all employees 2364 14,8224 Dec. 12, le 2e 3e 4 Paid FICA and Medicare Paid income tax withholdings Paid sales taxes duee 2,7564 1.8004 2,7654 Calculate Dec. 24, 5e 6 7 The above entries were recorded by "Bob" from the temporary service. You are not allowed access to the journal entries, but all entries were posted to the ledger (Worksheet 2). Every ledger entry ties to the above dates and item numbers. Bob had to calculate the bad debt expense (good idea to confirm it). You must make entries and enter them into the ledger for the following items. "Your amt." means that you are paying the liability that was recorded in a prior entry. I would suggest you trace out these amounts. Record payment of accounts payable. Accounts paid total $25,000 (before cash discount). Only 8.000 of the goods purchased qualified for an early payment discount. Terms are 2/10, n/30 Pier and lift sales for cash, before tax amount Cost of piers and lifts solde Labor charged to install lifts, received in cash, before tax amount Purchases of piers and lifts on account Custom dock sales charged to customer accounts receivable accounts, before tax amount Purchases of dock lumber for sold jobs and delivered to customer work site, on account Dock parts issued from inventory to sold jobs Purchase of dock parts for inventory on account Seawall installations charged to customers, before tax amounts Seawall rocks purchased on account Sports equipment sales for cash, before tax amount Purchases of sports equipment on account - purchased from Italian supplier and billed as 6,000 Euros. On that date the exchange rate was one Euro - $1.252 Cash collected from customers on accounts receivable. $2,000 was the collection of an amount written off a year ago se 9 10 85,000 64,0004 1,5004 17,000 45,0004 11e 15,000 12e 13e 14e 15e 16 17e 3,000 1,500 17,000 7,0004 13,000 Calculate 182 23,000 19 202 21e 22e 23e 2,3004 1,000 1,000 1,800 13,000 242 15,000 25e 2,0504 Advertising expenses incurred and paid Fuel bill received and paid in cash Freight incurred (for sports equipment purchased) and paid Utility bills received and paid in cash President and secretary salaries accrued for two weeks. Paychecks will be issued on Dec. 26. Amount shown is gross, apply 7.65% FICA and Medicare and 10% income tax withholding. Additionally, a payroll tax is paid by the employer equal to the FICA and Medicare withholdings. In other words, 7.65 % is withheld from employee pay and another 7.65% is paid by the employer. Labor wages accrued for two weeks. Paychecks will be issued on Dec. 26. Amount shown is gross; apply 7.65% FICA and Medicare and 10% income tax withholding. Additionally, a payroll tax is paid by the employer equal to the FICA and Medicare withholdings. In other words, 7.65 % is withheld from employee pay and another 7.65% is paid by the employer.e Pay monthly payment on mortgage, interest portion is $1,190, $860 is a reduction of mortgage payable account 611) Annual interest and principal amounts (needed for later Requirement 3) are: Year Payments Interest Principal 2016 $24,600 $15,500 $9,100 2017 24,600 13,600 11,000 Bad debt expense booked, equal to 1% of credit sales including sales tax (since Dec. 10 entry). (rounded up to nearest dollar) Old truck sold, original cost was $25,000, and accumulated depreciation on Dec. 31, 2015 was $10,000. Annual depreciation is $5,000, Sale price is $9,000. The auction that sold the truck charged a 5% commission. A check for $8,550 was received and deposited, Hint: compute and record full year of depreciation on truck before you record the sale. No sales tax is collected on this sale. The buyer pays it directly to the state when registering the vehicle. + The sale is recorded net of the fee charged by the auction service. Purchased new truck, paid $10,000 cash and financed $40,000 balance on a 3-year installment contract. IA hydraulic crane was added to the barge. It is to be capitalized but it does not prolong the depreciable life of the barge and does not change the salvage value. Permits were obtained from the state for installations in 2016. The permit fees charged by the state and paid in cash were $2000, the fees charged by Ozark are $500. The $2,500 was charged to customer receivable account. Hint: The $2,000 is a direct debit to accounts receivable. Only the fee is revenue Neither amount is subject to sales tax. Tools are purchased and paid for in cash 26 Calculate 27e 8,5504 282 50,000 292 130004 302 2,000 500 31e 3,000 322 Calculate Cash dividend of $1 per share of stock was declared and paid. Hint: is there a worksheet that will include the information you need to calculate the shares outstanding? Create a temporary account Dividends declared." It is a contra- equity account. Pick an appropriate account number. Hint: The number of shares outstanding is found by dividing the common stock account by $1. e Christmas gift certificates for sports equipment were sold for the first time for the Christmas of 2016. The certificates can be redeemed at any time. There is no sales tax on certificates. Instead, the tax is added to the bill when the certificate is redeemed. All certificates were sold for cash. 33e 8,5004 342 Calculate 35e 362 1,5004 12,000 4 2,000 Gift certificates were redeemed for sports equipment purchases of $5,000 (plus tax). Accounts receivable written off as uncollectible Sports equipment (snow skis) rentals for cash (before tax), plus deposits of $2.000 (not taxed). Hint: The rental fee should be recorded in the sports equipment rental account, there is also an account for customer deposits. A bill from the computer consulting firm for one year of maintenance and support was found. The bill covers service from October 1, 2016 to September 30, 2017. Record the entire bill in account 321e 37e 2,40042 382 10,000 EZ Lift Company notified Ozark that it had earned a $10,000 rebate on 2016 purchases. The rebate was earned by meeting a volume target. $2,000 of the rebates apply to lifts in the year-end inventory. The rebate will be paid to Ozark in early Jan. 2017. 392 Calculate 402 3,00042 400 Christmas cards were sent to customers. Inside the card, there were 2 coupons for a Fish Fry at Ron's Cozy Corner. They must be used in January 2017. The cost of the mailing was $1,500, When the coupons are redeemed, Ozark will be charged $12 for each fish fry. In the past, 30% of the coupons are redeemed Ozark rented a new storage building starting Jan. 1, 2017. The agreement is month to month but requires a 3-month notice for ending the rental. Ozark paid $3,000. $1,000 is rent for January 2017 and $2,000 is a security deposite Paid wages due to all employees Paid FICA and Medicare Paid income tax withholdingse Paid sales taxes due The $12,350 check for the sale of the truck was dated January 2, 2017. The sales agent agreed to take the postdated check. The office manager did not notice the date when making the deposit. The bank has now returned the check and charged a $20 fee for a bad check. Dec. 26, le 2e 3e 4e se Your amt. Your amt. Your amt. Your amt. Calculate 62 2.000 ze 82 Hint: Ozark does not feel that it can pass the $20 charge on to its customer.e A customer placed a $2.000 deposit on a custom lift that will be ordered from the manufacturer for delivery in early 2017. The exact cost and selling price of the lift is not yet knowne Transfer $30,000 to Money Market Account The bank notified Ozark that $900 interest had been added to their money market account The bank notified Ozark that the credit card fees for sales made on credit cards was $75. That amount was deducted from the checking account 30.000 9004 9 754 Required: Using the general journal template (Worksheet 1), enter the above transactions for Dec. 24 and 26. Post the transactions to the general ledger (Worksheet 2). Record the account balances from the general ledger on the unadjusted trial balance (Worksheet 3). Submit Worksheet 1 and Worksheet 3 only. Submit one Excel file only, including each worksheet as a separate sheet/tab. 403 Name: Accounts receivable Account Number: Nov. 30 Balance 10-Dec 42,000.00 2,500.00 24-Dec 10 16,800.00 13 6,825.00 17 21 10.00 47,250.00 14.00 17,850.00 18.00 2,000.00 30 2,500.00 35.00 5 12,350.00 Dec. 31unadjusted balance 49,000.00 65,800.00 72,625.00 30,625.00 28,125.00 75,375.00 93,225.00 72,225.00 74,725.00 73,225.00 85,575.00 85,575.00 23,000.00 1,500.00 26-Dec 404 Name: Allowance for bad debts Account Number: Nov. 30 Balance 10-Dec 24-Dec 21 2,500.00 25 18 26.00 35.00 1,500.00 Dec. 31 unadjusted balance 236.00 2,000.00 651.00 (3,000.00) (500.00) (736.00) (2,736.00) (3,387.00) (1,887.00) (1,887.00) 537 Name: Tools Account Number: Nov. 30 Balance 24-Dec 6,700.00 9,700.00 31.00 3,000.00 Dec. 31 unadjusted balance 9,700.00 36 14,600 401 Cash-checking 106 Sports equipment rentals revenue 605 State sales tax payable 600 Customer deposits 12.000 600 2.000