Complete the journal entries below

January

1. On January 1st, The Board of Directors issued 250,000 additional shares (par of $.25) to raise capital for the New Year. Assume no change in price from Dec 31, 2018.

2. Purchased a truck for $270,000 cash on the 1st of January. The truck will be depreciated over an 5 year period. You decide to use the 200% declining-balance depreciation method because it is determined that the truck will be more productive when it is newer. The truck has an estimated salvage value of $28,000.

[Adjusting Entry Required]

3. Purchased new office equipment for $98,000 with cash from California Furniture on January 1, 2019. The new furniture will be depreciated over a ten-year period on a straight-line basis. The cabinet has an estimated salvage value of $7,000.

[Adjusting Entry Required]

4. On January 1st, a 5 year, $138,000 long-term note payable was taken from a local bank.

5. On January 5th you receive payment from interest earned and accrued in 2018.

6. On January 22nd you purchased 8,500 additional units of inventory at a cost of $77.50 per unit. You paid 45% in cash and purchased the remainder on account.

7. On January 25th you pay $212,000 cash toward your accounts payable.

February

8. Paid cash for $54,900 worth of radio advertising on February 1st. This gives you radio advertising space until January 31st, 2020.

[Adjusting Entry Required]

9. February 13th you collect $366,000 of account payments from customers.

March

10. Purchased a parcel of land on March 1, 2019 for $990,000 by paying $420,000 in cash and signing a short-term note payable with the seller for $570,000. You must repay the $570,000 in exactly one year on March 1, 2020. You agree to pay the seller 5 percent interest (annual rate) on a quarterly basis (June 1, September 1, December 1, 2019, and March 1, 2020).

[Adjusting Entry Required]

11. On March 19th you purchased $24,000 of office supplies from Super Office Supplies with cash.

12. On March 20th you received a payment of $66,000 for 200 hours of service to be performed in the future.

April

13. April 21st, your customers bought 15,000 units of your product for $136 per unit (you decide what your company sells). The cost of this product is determined by the method of inventory valuation used by your company. Customers paid you 60% in cash and the remainder was on account.

14. On April 27nd you purchased 9,250 units at a cost of $79 per unit. You paid 55% in cash and purchased the remainder on account.

15. On April 29th you pay $493,000 cash toward your accounts payable.

May

16. On May 1st you pay all dividends owed to your owners.

June

17. Leased additional warehouse space from Leasing Solutions for two years on June 1st due to expiration of the previous rental contract. $153,000 cash was paid for the new contract on this date which covers the rental fee for two years. There is no value left in the previous contract. [Adjusting Entry Required]

18. Wage expenses from January 1 June 30 $496,000. Pay this in full including your beginning balance in wages payable.

19. On June 19th, $136,000 of prepaid insurance was used.

20. On June 26th a customer that previously bought your product on account has filed for bankruptcy. He owed you $43,500. You expect to collect $0.