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Comprehensive Problem 3 Part 4: Note: You must complete parts 1, 2, and 3 before completing part 4 of this comprehensive problem. Based on the

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Comprehensive Problem 3 Part 4: Note: You must complete parts 1, 2, and 3 before completing part 4 of this comprehensive problem. Based on the following selected data, journalize the adjusting entries as of December 31 of the current year. If no entry is required, select "No entry required from the dropdown and leave the amount boxes blank. If an amount box does not leave it blank. a. Estimated uncollectible accounts at December 31, $16,000, based on an aging of accounts receivable. The balance of Allowance for at December 31 was $2,000 (debit) Date Description Debit Credit Dec. 31 Bad Debt Expense 18,000 Allowance for Doubtful Accounts 18,000 b. The physical inventory on December 31 indicated an inventory shrinkage of $3,300. Date Description Debit Credit Dec. 31 Cost of Goods Sold 3,300 Inventory 3,300 c. Prepaid insurance expired during the year, $22,820. Debit Credit Date Description Dec. 31 Insurance Expense Prepaid Insurance d. Office supplies used during the year, $3,920. Date Description Debit Credit Dec. 31 Office Supplies Expense Office Supplies e. Depreciation is computed as follows: Asset Cost Buildings Office Equip. Store Equip. $900,000 246,000 112,000 Residual Acquisition Useful Life Value Date in Years $0 January 2 26,000 January 3 12,000 July 1 Depreciation Method Used Double-declining-balance Straight-line Straight-line Date Description Debit Credit vate Description Debit Credit Dec. 31 Depreciation Expense-Buildings Depreciation Expense-Office Equipment Depreciation Expense-Store Equipment Accumulated Depreciation-Buildings Accumulated Depreciation Office Equipment Accumulated Depreciation Store Equipment f. A patent costing $48,000 when acquired on January 2 has a remaining legal life of 10 years and is expected to have value for 8 years. Date Description Debit Credit Dec. 31 Amortization Expense-Patents Patents g. The cost of mineral rights was $546,000. Of the estimated deposit of 910,000 tons of ore, 50,000 tons were mined and sold during they Debit Credit Date Description Dec. 31 Depletion Expense Accumulated Depletion CenyayeNUWV h. Vacation pay expense for December, $10,500. Date Description Debit Credit Dec. 31 Vacation Pay Expense Vacation Pay Payable i. A product warranty was granted beginning December 1 and covering a one-year period. The estimated cost is 4% of sales, which totaled $1,900,000 in December Debit Credit Date Description Dec. 31 Product Warranty Expense Product Warranty Payable j. Interest was accrued on the note receivable received on October 17 ($100,000, 90-day, 9% note). Assume 360 days per year. Date Description Debit Credit Dec. 31 Interest Receivable Interest Revenue Feedback

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