Question
CREATE JOURNAL ENTRIES FOR THE MARCH 2016 TRANSACTIONS BELOW FOR SUNFLOWER DESIGNS: On March 1st, a desk was purchased on credit totaling $2,750. The estimated
CREATE JOURNAL ENTRIES FOR THE MARCH 2016 TRANSACTIONS BELOW FOR SUNFLOWER DESIGNS:
On March 1st, a desk was purchased on credit totaling $2,750. The estimated useful life of the furniture is seven (7) years and is expected to have no salvage value. On March 1st, a renters insurance policy was purchased to cover the contents of Sunflower Designs rented warehouse. The policy was for coverage through December 31st of the current year. The cost of this policy was $1,500. On March 4th, $75 of printer/copier paper was purchased on credit and used in the month of March. The terms of the invoice were 2/10, net 30. On March 4th, Sunflower Designs received a refund of $65 from Iron Works, a subcontractor. A note accompanying the refund stated that, on February 5th, when Sunflower Designs had paid Iron Works January 17th invoice, Mary had failed to deduct the discount and Mary had paid the original amount of $3,250. The terms of the invoice were 2/10, net 30. On March 18th, a customer paid the net balance due for an interior design layout for customer B. Smith. The total contract price was $15,000. A 10% deposit on the order was paid when the contract was signed On March 22nd, a check was issued to pay for the desk purchased on March 1st. On March 23rd, Sunflower Designs paid for the printer/copier paper purchased on credit on March 4th. On March 25th, Mary sold a side table from inventory for $250 which had cost $175. The customer paid cash. On March 25th, $200 worth of supplies were taken from inventory and returned to supplier. The supplies had been purchased on account in February. On March 28th, Sunflower Designs completed, delivered, and billed an interior design layout for $22,500 to a new customer, B. Koss. The terms of the invoice were 2/10, net 30. On March 29th, Professor Koss delivered a check for one-half of the interior design invoice delivered the previous day. On March 31st, Sunflower Designs recorded the $1,750 accrued wages for temporary warehouse helper.
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