Current Attempt in Progress Bramble Corp. prepares quarterly financial statements. The post-closing trial batance at December 31.2021, is presented below. During the first quarter of 2022 , the following transetions occurred: 1 Inh $1.400 of services each month from During the first quarter of 2022 the following transactions occurred: 1. On February 1. Bramble collected fees of $16,800 in advance. The company will perform $1,400 of services each month from February 1, 2022, to January 31, 2018, 2. On February 1. Bramble purchased computer equipment for $11,250 plus sales taxes of $750,$3,750 cash was paid with the rest on account. Check H455 was used. 3. On March 1, Bramble acquired a patent with a 10-year life for $12,000 cash. Check $456 was used, 4. On March 28. Bramble recorded the quarter's sales in a single entry. During this period, Bramble had total sales of $180.000 (not including the sales referred to in item 1 above). All of the sales were on account. 5. On March 29, Bramble collected $173,000 from customers on account: 6. On March 29, Bramble paid $16.010 on accounts payable. Check $457 was used. 7. On March 29, Bramble paid other operating expenses of $97,000. Check #458 was used. 8. On March 31, Bramble wrote off a receivable of $200 for a customer who declared bankruptcy 9. On March 31, Bramble sold for $1,450 equipment that originally cost $10,000. It had an estimated iife of 5 years and salvage of $1,000. Accumalated depreciation as of December 31.2021, was $7,200 using the straight line method. (Hint Record depreciation on the equipment sold, then record the sale.) Bank teconciliation data and adjuttrent tata: 1. The comparty ceconciles its hank statement every quarter; lnformation trum the December 31,2021, bark reconcilition is: The bank statenent receivid for the quarter ented March 31. 2022. iv av foliow: 2. Record reverie earned fromitem 1 above. 3. $24,000 of accounts recelvable at March 31. 2022. are not past dive vet. The bud debt sercentase for these is 4k. The balance of accounts receivabe are past doe. The bad debe aercentage for these 42407W. Receed had debteapense. iHdnt. You will need to compute the baiance in accounts receivabie before cakulatine this) 4. Depreciation is recerded an the equipment stili cweedat Marcha1. 2022. The new equpment purchaiei in Februry is cawned is being depreclated over a 10 year life wiry seraight-line with no alvage value 5 Dejreciation is reconsed on the tulierze on astraitit-ine busis basedona 30 -year life and asalvige value of $10000. 2. Record revenue earned from item 1 above. 3. $24,000 of accounts receivable at March 31, 2022, are not past due yet. The bad debt percentage for these is 4%. The balance of accounts receivable are past due. The bad debt percentage for these is 24.00%. Record bad debt expense. (Hint: You will need to compute the balance in accounts receivable before calculating this] 4. Depreciation is recorded on the equipment still owned at March 31. 2022. The new equipment purchased in February is being depreciated on a straight-line basis over 5 years and salvage value was estimated at $1.200. The old equipment still owned is being depreciated over a 10 -year life using straight-line with no salvage value. 5. Depreciation is recorded on the building on a straight-line basis based on a 30 -year life and a salvage value of $10.000. 6. Amortization is recorded on the patent. 7. The income tax rate is 30%. This amount will be paid when the tax return is due in Apri. (Hint: Prepare the income statement up to income before taxes and multiply by 30% to compute the amount.) Record journal entries for transactions 1-9. (Credit account tiffes are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account tities and enter 0 for the amounts.). \begin{tabular}{l} Accounts Receivable \\ \hline Depreciation Expense \\ \hline \end{tabular} Accumulated Depreclation-Equipmsent (To rocord depeciation expense) Cash Accumulated Depreciation-Equipment Loss on Disposal of Plant Assets Equipment (To tecord sale of equipencent)
