Company, a construction supply company, uses the allowance method o transactions completed by nting for uncollectible accounts receivable. Selected transactions co Ditzler Company are as follows: Ditzler 1 Sold merchandise on account to Ames Co., $8,000. The cost of the mer- Feb. chandise sold was $4,500. Mar 15, Accepted a 60-day, 12% note for $8,000 from Am Anr 9. Wrote off a $2,500 account from Dorset Co. as uncollectible. es Co. on account. Loaned $7,500 cash to Jill Klein, receiving a 90-day, 14% note. 21. May 14, Received the interest due from Ames Co. and a new 90-day, 14% note as a renewal of the loan. (Record both the debit and the credit to the notes receivable account.) June 13. Reinstated the account of Dorset Co, written off on April 9, and received $2,500 in full payment. Jill Klein dishonored her note. July 20. 8 Received from Ames Co. the amount due on its note of May 14. interest for 30 days at 15%, computed on the maturity value of the note. It is estimated that 3% of the credit sales of $1,375,000 for the year ended Au g. 12. 19. Received from Jill Klein the amount owed on the dishonored note, plus ec. 16. Accepted a 60-day, 12% note for $12,000 from Global Company on account. 31. December 31 will be uncollectible. structions Journalize the transactions. Journalize the adjusting entry to record the accrued interest on December 31 on the Global Company note. e Probiem t year. Montrose Company uses a perpetual inventory syst ay 3. Purchased merchandise on account from Floyd Co, $4,000, terms FOB shi The current transactions were completed by Montrose Company during May of t ping point, 2/10, n/30, with prepaid freight of $120 added to the invoice. destination, 1/10, n/30. 6. Sold merchandise on account to C. F. Howell Co, list price $4000, trade di Purchased merchandise on account from Kramer Co. count 30%, terms 2/10, n/30. The cost of the merchandise sold was $1,125 8. Purchased office supplies for cash, $150. 10. Returned merchandise purchased on May 5 from Kramer Co., $1,300, 13. Paid Floyd Co. on account for purchase of May 3, less discount. 14. Purchased merchandise for cash, $10,500. 15. Paid Kramer Co. on account for purchase of May 5, less return of May 10 and discount. 16. Received cash on account from sale of May 6 to C. F. Howell Co., less discount. 19. Sold merchandise on MasterCard credit cards, $2,450. The cost of the mer- 22. Sold merchandise on account to Comer Co., $3,480, terms 2/10, n/30. The 24. Sold merchandise for cash, $4,350. The cost of the merchandise sold was 25. Received merchandise returned by Comer Co. from sale on May 22, $1,480. 31. Paid a service processing fee of $140 for MasterCard sales chandise sold was $980. cost of the merchandise sold was $1,400. $1,750. The cost of the returned merchandise was $600