Comprehensive Problem 2 Part 1 and Part 2: Palisade Creek Co. is a retail business that uses the perpetual inventory system. The account balances for Palisade Creek as of May 1 , 20Y6 funlese ntherwise indicaterl are ae fnllnws sseime all acriante have normal balances. rart 1: Jourmame une tramsacuons peluw lur may, tme last montn of the fiscal year. If an amount box does not require an entry, leave it blank. May 1: Paid rent for May \$5,000. May 4: Paid freight on purchase of May 3, $600. May 7: Received $22,300 cash from Halstad Co. on account. May 10: Sold merchandise with a list price of $61,500 to customers who used viSA and who redeemed $7,500 of point-of-5ale coupons. The cost of the goods sold was $32,000. May 13: Paid for merchandise purchased on May 3. May 15: Paid advertising expense for last half of May, $11,000. May 17: Received cash from sale of May 2. May 19: Purchased merchandise for cash, $18,700. May 19: Paid $33,450 to Buttons Co. on account. May 20: Paid Korman Co. a cash refund of $13,230 for returned merchandise from sale of May 2 . The cost of the returned merchandise was $8,000. May 21: Sold merchandise on account to Crescent Co., terms n/eom, FOB shipping point, $110,000. The cost of the goods sold was $70,000. May 21: For the convenience of Crescent Co. paid freight on sale of May 21, $2,300. May 21: Received $42,900 cash from Gee Co. on account. May 21: Purchased merchandise on account from Osterman Co., terms 1/10, n/30,FOB destination, $8B,000. May 24: Retumed damaged merchandise purchased on May 21, receiving a credit memo from the seller for $5,000. May 26: Refunded cash on sales made for cash, $7,500. The cost of the merchandise returned was $4,800. May 28: Paid sales salaries of $56,000 and office salaries of $29,000. May 29: Purchased store supplies for cash, $2,400. May 30: Sold merchandise on account to Turner Co., terms n/30, FOB shipping point, 578,750 . The cost of the goods sold was 547,000 . May 31: Received cash from sale of May 21 plus freight. May 31: Paid for purchase of May 21, less return of May 24. Part 2: Using the attached spreadsheet, post the journal entries from Part 1 to the general ledger. Extend the month-end balances to the appropriate balance columns after all posting is completed. In this problem, you are not required to update or post to the accounts receivable and accounts payable subsidiary ledgers. Part 3: NOTE: You must complete parts 1 and 2 before completinq part 3. Comprehensive Problem 2 Part 4 and 6 : Note: You must complete parts 1, 2 and 3 before attempting to complete part 4 and part 6 . Part 5 is an optional work sheet. 4. At the end of May, the following adjustment data were assembled. Analyze and use these data to complete Part 6. f. The adjustment for customer returns and allowances is $60,000 for sales and $35,000 for cost of goods sold. 6. Journalize the adjusting entries. If an amount box does not require an entry, leave it blank. Post the adjusting entries to the attached spreadsheet you used in parts 1 and 2 . If an ambunt bx dobos not rcuire an entry, loavve it bLank. part 7: Part 8: You mural ciemplote parts 1,2,3,4,6 and 7 before attemptinc to complete part di. Nete: fare 5 is the bptienal wkshhow. 3. Fripare an bularicie shise. Palisade Cresek Co. Balarice 5 houst Mar 31, 20Y6 Asiats Comrint aksouls: Total tureotet aboifis ToLal proporty, plant, arhd ichuipenent Total abionta Liabilities Cuerunt liatilinos: Total hablikins Stuchhuldwirs" Equily Part 2: If ant ambunt bex debsi not rquire an entry, loave it blank. Part 10