COMPREHENSIVE PROBLEM 1, PERIOD 2: The Accounting Cycle During the month of May 20-, The Genetal's Favoeite Fishing, Hole enpaged in the following transactions. These trantactions required an expansion of the chatt of This comprehensive problem is intended to serve as a minl-practice let without the source doctuments. As such. students should plan on about three to four hours to complete this problem. May 1 In order to provide snacks for guests on a 24-hour basis, Night signed a contract with Snack Attack. Snack Attack will install vending machines with food and drinks and pay a 10% commission on all sales. Estimated payments are made at the beginning of each month. Night received a check for $200, the estimated commission on sales for May. 2 Night purchased a surround sound system and big screen TV with a digital satellite system for the guest lounge. The surround sound system cost $3,600 and has an estimated useful life of five years and no salvage value. The TV cost $8,000, has an estimated useful life of eight years, and has a salvage value of $800. Night paid cash for both items. 2 Paid for May's programming on the new digital satellite system, $125. (continued) May 3 Night $ office manager returned $100 worth of office supplies to Gordon Office Supply. Night received a $100 reduction on the account. 3 Deposited reqeistration fees, $52,700. 3. Paid rent for lodge and campgrounds for the month of May, $40,000. 3 In preparation for the purchase of a nearby campground, Night invested an additional $600,000. 4 Paid Gordon Office Supply on account, $400. 4 Purchased the assets of a competing business and paid cash for the following: land, $100,000, lodge, $530,000; and fishing boars, $9,000. The lodge has a remaining useful life of 50 years and a $50,000 salvage value. The boats have remaining lives of five years and no salvage value. 5 Paid May's insurance premium for the new camp, $1,000. (See above transaction.) 5 Purchased food supplies from Acme Super Market on account, \$22,950. 5 Purchased office supplies from Gordon Office Supplies on account, $1,200. 7 Night paid $40 each for one-year subscriptions to Fishing Illustrated, Fishing Unlimited, and Fish Master. The magazines are published monrhly. 10 Deposited registration fees, $62,750. 13 Paid wages to fishing guides, $30,000. (Don't forget wages payable from prior month.) 14 A guest became ill and was unable to stay for the entire week. A refund was issued in the amount of $1,000. 17 Deposited registration fees, $63,000. 19 Purchased food supplies from Acme Super Market on account, $18,400. 21 Deposited registration fees, $63,400. 23 Paid \$2,500 for May's advertising spors on National Sports Talk Radio. 25 Paid repair fee for damaged boat, $850. 27 Paid wages to fishing guides, $30,000. 28 Paid $1,800 for May's advertising spots on billboards. 29 Purchased food supplies from Acme Super Market on account, $14,325. 30 Paid utilities bill, $3,300. 30 Paid phone bill, $1,800. 30 Paid Acme Super Market on account, $47,350. 31 Bob Night withdrew cash for personal use, $7,500. COMPREHENSIVE PROBLEM 1, PERIOD 2: The Accounting Cycle During the month of May 20-, The Genetal's Favoeite Fishing, Hole enpaged in the following transactions. These trantactions required an expansion of the chatt of This comprehensive problem is intended to serve as a minl-practice let without the source doctuments. As such. students should plan on about three to four hours to complete this problem. May 1 In order to provide snacks for guests on a 24-hour basis, Night signed a contract with Snack Attack. Snack Attack will install vending machines with food and drinks and pay a 10% commission on all sales. Estimated payments are made at the beginning of each month. Night received a check for $200, the estimated commission on sales for May. 2 Night purchased a surround sound system and big screen TV with a digital satellite system for the guest lounge. The surround sound system cost $3,600 and has an estimated useful life of five years and no salvage value. The TV cost $8,000, has an estimated useful life of eight years, and has a salvage value of $800. Night paid cash for both items. 2 Paid for May's programming on the new digital satellite system, $125. (continued) May 3 Night $ office manager returned $100 worth of office supplies to Gordon Office Supply. Night received a $100 reduction on the account. 3 Deposited reqeistration fees, $52,700. 3. Paid rent for lodge and campgrounds for the month of May, $40,000. 3 In preparation for the purchase of a nearby campground, Night invested an additional $600,000. 4 Paid Gordon Office Supply on account, $400. 4 Purchased the assets of a competing business and paid cash for the following: land, $100,000, lodge, $530,000; and fishing boars, $9,000. The lodge has a remaining useful life of 50 years and a $50,000 salvage value. The boats have remaining lives of five years and no salvage value. 5 Paid May's insurance premium for the new camp, $1,000. (See above transaction.) 5 Purchased food supplies from Acme Super Market on account, \$22,950. 5 Purchased office supplies from Gordon Office Supplies on account, $1,200. 7 Night paid $40 each for one-year subscriptions to Fishing Illustrated, Fishing Unlimited, and Fish Master. The magazines are published monrhly. 10 Deposited registration fees, $62,750. 13 Paid wages to fishing guides, $30,000. (Don't forget wages payable from prior month.) 14 A guest became ill and was unable to stay for the entire week. A refund was issued in the amount of $1,000. 17 Deposited registration fees, $63,000. 19 Purchased food supplies from Acme Super Market on account, $18,400. 21 Deposited registration fees, $63,400. 23 Paid \$2,500 for May's advertising spors on National Sports Talk Radio. 25 Paid repair fee for damaged boat, $850. 27 Paid wages to fishing guides, $30,000. 28 Paid $1,800 for May's advertising spots on billboards. 29 Purchased food supplies from Acme Super Market on account, $14,325. 30 Paid utilities bill, $3,300. 30 Paid phone bill, $1,800. 30 Paid Acme Super Market on account, $47,350. 31 Bob Night withdrew cash for personal use, $7,500