Cycle Path, Inc. went into business as a corporation in early 2017. For the first few years, the company provided bicycle rental and repair services only (no merchandise). During 2020, the company began selling bicycles and related gear, and decided to use the FIFO inventory method. The other worksheets include the following: An accounting equation grid for you to analyze the impacts of the events.

Inventory J-Es Adj TB Fin St Instructions Beg TB Events Grid Shown below is the Post-Closing Trial Balance for Cycle Path at the end of 2019. Cycle Path, Inc. Post-Closing Trial Balance as of December 31, 2019 Credit Debit 12.410 2.380 153 680 0 3,400 Account Cash Accounts receivable Supplies Prepaid rent Inventory Land Accounts payable Salaries payable Uncamed revenue Common stock Retained earnings Dividends declared Service revenue Product sales Cost of goods sold Supplies expense Salaries expense Rent expense Utilities expense Advertising expense Other operating expenses TOTALS 0 884 765 6,800 10,574 0 0 0 0 0 0 0 0 0 0 19,023 19,023 Instructions Beg TB Events Grid Inventory J-Es Adj TB Fin St Closing Liabilities Inventory Land Accounts Salaries Uncarned payable payable revende Common Retained Dividends Service stock earning declared TE Product sales Cesto Supplies Salaries good expense expense Other Utilities Advertising operating expense expense expenses . 3.400 o 84 765 DO 10,574 o o 0 0 0 4 Jan Jan Jan Jun Feb Feb Feb Feb Mac Mar Mar Apr Man Mars May Jun Jun. Jun Jun Jun Jul Jul Sep Oct Nov Nov Dec Dec Dec Dec Dec Dec Des Dec 7,284 1.400 10,120 1,020 340 49.100 10.574 (10.2003 70,465 36,165 25.6580 (381) (17.510) (11.413) 2.55 12.30 (10.6001 all your entries are they should match the "Ending Balines have . 3.400 0 765 6. 10,574 0 O 0 0 0 -1.0E-18 Instructions Beg TB Events Grid Inventory J-Es Adj TB Fin St Closing Ats Liabilities Equity Accounts receivable Supplies Prepaid rent Land Accounts Salaries Unearned payable payable revenue Common Retained Dividends Service stock earnings declared revenge Product sales Cost of Supplies god deprese Cash Event Flow Cash Calg Begin 12.410 a) RA b) 2.NO 150 680 o 3.400 0 765 6.800 10.574 O 0 0 0 884 884 0 + c) d e) + h) 1) mi n p) ri s) u V x) y bb ce) dd) 1) ge i + 527 10.574 (10.2001 70.465 38.165 (381) Endingalance 59,211 22,70 Note: the following row contains Excel SUMO) formas 11.526 2.NO 150 5.05 7.284 3.400 10.120 1,020 340 49,300 when all your entries are comes they should match the "Ending Balances" above 680 0 10.574 . 0 0 0 0 Cash Opr Flow lay Calg Fin (4) o 0 Instructions Beg TB Events Grid Inventory J-E i) k) 1) n) cach Following are the events for Cycle Path during 2020. a) Jan 6, 2020 - Cycle Path paid the salaries payable from 2019. b) Jan 14, 2020 - The company acquired an additional S42.500 cash from the issue of common stock. c) Jan 17, 2020 - The company paid $765 cash for supplies to be used by the business d) Jan 21, 2020-Cycle Path purchased 35 bicycles and related gear for later sale at a cost of 516,142. The bicycles and related gear were purchased on account with the terms 1/10,n30 c) Jan 29, 2020-Cycle Path decided to pay $4.200 of its accounts payable balance from event (d) before the discount period expired, so Cycle Path first applied the discount to the $4,200 amount so it could reduce its accounts payable balance (note: the actual payment is described in event (below). After applying this discount, Cycle Path's inventory cost was $460 for each item. 0 Jan 29, 2020 - Cycle Path paid cash to settle parts of its accounts payable balance as described in event (e). 8) Feb. 12. 2020 - The company sold 24 bicycles and related gear for a total price of $15,300. Sales of $11,050 were on account, while 54.250 were cash sales. Record revenue 1) Feb. 12. 2020 - The cost to Cycle Path of each product sold in event (g) was $460 Feb. 17.2020 - The company paid the workers a total of 57,140 in salaries Feb. 28, 2020. The company provided $30.600 of bicycle rental and repair services. The services were billed to the customers. Mar. 1.2020 - Cycle Path rented a business van, paying S4,00 in advance for a one year rental Mar 3, 2020 - Paid cash to settle additional accounts payable in the amount of $3.213. The payment was made after the discount period expired. m) Mar 11, 2020 - Collected $32,300 of accounts receivable. Apr. 9. 2020 - Cycle Path performed S11,900 worth of bicycle rental and repair services for a local college S10.200 was on account and S1,700 was for cash. May 1, 2020 - Paid S6,120 for one year's rent on office space in advance. P) May, 2020-Cycle Path purchased, and paid cash, for 8 bicycles and related gear for later sale at a cost of S474 May. 17.2020 - The company paid accounts payable of 1.224, but not within the discount period (the company uses the gross method) ) Jun. 1. 2020-Cycle Path rented a larger building paid 5.610 for 12 months' rent in advance. Jun. 5. 2020 - Cycke Path purchased, and paid cash, for 12 bicycles and related gear for later sale at a cost of S480 Jun. 12. 2020 - Cycle Path purchased 15 bicycles and related gear for later sale at a cost of S486 each. The purchase was on account Jun.23.2020 - The company sold 32 bicycles and related car for a total price of $23,800. Sales of $17,000 were on account, while 56,800 were cash sales. Record revenue. Jun 23.2020 - Record the cost of goods sold related to the sale from event (u) using the perpetual FIFO method w Jul 1, 2020 - Made a full refund to a dissatisfied customer who retumed a bicycle. The sale had been a cash sale for $935 with a cost of $480. Record the event part of the event. Jul 1, 2020 - Made a full refund to a dissatisfied customer who retumed a bicycle. The sale had been a cash sale for $935 with a cost of $480. Record the cost part of the event. y Jul 15, 2020 - Paid employees a total of 59,350 cash for salaries employees carned during the current period Aug 24, 2020 - Provided $27,000 of bicycle rental and repair services during the year. The services were billed to the customers aa) Sep 30, 2020 - Recognized $680 of service revenue earned during the first nine months of the year, it had been collected in the prior year 16) Oct. 1, 2020 - Sold additional bicycle rental and repair services worth $340 for one year's service, starting immediately. The customers paid cash for the full amount cc) Nov. 13.2020 - Collected $43.350 of accounts receivable. 4) Nov 20, 2020 - Paid an additional S4,675 to settle some accounts payable, the payment was made after the discount period expired. ce) Dec 27, 2020 - Paid $2,380 of advertising expense during the year. Dec 28, 2020. Paid $3,553 of utilities expense for the year. 2) Dec 28, 2020 - Paid $10.600 of other operating expense for the ycar. hh) Dec 29, 2020. Paida dividend of S10.200 to the shareholders. Dec 31, 2020 - There was $537 of supplies on hand at the end of the year, Dec 31, 2020 - Recognized the expired rent from the prior year, van (event (k)), office space [event (o)), and the building (event)] for the year. kk) Dec 31, 2020 - Recognized revenue for the current year earned from event (bb). Dec 31, 2020 - Accrued salaries at December 31 were $1,020 $) each 1) V) 2) 11) 11 11 11