Chapter 4 Homework Problem 4-1 OverPriced Jeans, Inc. Revenue and Expense Accounts This problem is for the month of February for OverPriced Jeans (OPJ). You will be using the new Revenue and Expense accounts that you learned about in this chapter to record OPJ's February transactions. Use the Excel workbook Chapter 04 b - Problem 4-1 Forms to complete this problem. Note: If you have a printer available, printing this page and the next page may make it easier to complete this problem. Notice that the beginning balances have been put into the General Ledger accounts. These beginning account balances were the January ending account balances from Problem 2-1. Requirement 1 (If you previously completed Problem 3-1, these are the same February transactions utilized in that problem.) February's transactions and adjusting entry information are shown below. For each item make the required entry in the General Journal. (See the General Ledger tab in the file Chapter 04 b - Problem 4-1 Forms for the accounts in OPJ's accounting system.) Feb 01 Feb 04 Feb 07 Feb 15 Feb 18 Feb 22 Feb 27 Feb 28 Feb 28 Take $4,000 cash out of Big Bank to pay for February's warehouse rent. Sale of inventory to a customer - selling price $62,000 - cost of inventory sold $16,000 - customer paid cash which was deposited in Big Bank. Take $10,000 cash out of Little Bank to pay employees for wages they have earned. Sale of inventory to a customer-selling price $88,000 - cost of inventory sold $22,000 - customer will pay in the future. Sale of inventory to a customer - selling price $110,000 - cost of inventory sold $28,000 customer pays $40,000 cash which is deposited in Little Bank - customer will pay for the remaining amount of the sale in 30 days. Purchase additional inventory - pay $17,000 cash out of Big Bank for the inventory. Take $23,000 cash out of Little Bank to pay employees for wages they have earned. Adjust the Interest Payable-Big Bank account to record the $600 of interest owed to Big Bank for February - interest will be paid in June. Adjust the Interest Payable-Little Bank account to record the $450 of interest owed to Little Bank for February - interest will be paid in March. Requirement 2 Post the entries from the General Journal to the General Ledger accounts. (Problem 4-1 continues on the next page)