Evergreen Company sells lawn and garden products to wholesalers. The company's fiscal year-end is December 31 . During 2024 , the following transactions related to recelvables occurred: February 28 sold merchandise to Lennox, Incorponated, for $12,000 and accepted a 8x, 7-nonth note. 8% is an appropriate rate for this type of note. March 31 Sold merchandise to Maddox Company that had a fair value of $7,452, and accepted a noninterest-bearing note for which 58,100 payment is due on March 31, 2025. April 3 Sold merchandise to Carr Coepany for $7,100 with terns 3/10,n/30. Evergreen wses the gross method to account for cash discounts. Apri1 11 Collected the entire anount due from Carr conpany April 17 A custorer returned merchandise costing $3,300. Evergreen reduced the customer's receivable balance by $5, 100 , the sales price of the merchandise. Sales returns are recorded by the company as they occur. Apri1 30 Transferred receivables of $51,000 tog factor without recourse. The factor charged Evergreen a 2$ finance charge on the receivables transferred. The sale criteria are net. June 30 biscounted the Lennox, Incorporated, note at the bank. The bank's discount rate is 10x. The note was discounted mithout recourse. Septenber 30 Lennox, Incorporated, paid the note anount plus interest to the bank, Required: 1. Prepare the necessary journal entries for Evergreen for each of the above dates. For transactions involving the sale of merchandise, ignore the entry for the cost of goods sold. 2. Prepare any necessary adjusting entries at December 31, 2024. Adjusting entrles are only recorded at year-end. 3. Prepare a schedule showing the effect of the joumal entries on 2024 income before taxes. 1. Prepare the necessary joumal entries for Evergreen for each of the above dates. For transactions involving the sale of merchandise, ignore the entry for the cost of goods sold. 2. Prepare any necessary adjusting entries at December 31, 2024. Adjusting entries are only recorded at year-end. 3. Prepare a schedule showing the effect of the journal entries on 2024 income before taxes. Complete this question by entering your answers in the tabs below. Prepare the necessary journal entries for Evergreen for each of the above dates. For transactions involving the sale of merchandise, ignore the entry for the cost of goods sold. Note: If no entiy is required for a transaction/event, select "No journal entry required" in the first account field. Journal entry worksheet Sold merchandise to Lennox, Incorporated, for $12,000 and accepted a 8%,7. month note. 8% is an appropriate rate for this type of note. Record the transaction. Note: Enter debits before credits. Journal entry worksheet Sold merchandise to Lennox, Incorporated, for $12,000 and accepted a 8%,7 month note, 8% is an appropriate rate for this type of note. Record the transaction. Note: Enter debits before credits. Journal entry worksheet Sold merchandise to Maddox Company that had a fair value of $7,452, and accepted a noninterest-bearing note for which $8,100 payment is due on March 31, 2025. Record the transaction. Note: Enter debits before credits. Journal entry worksheet Sold merchandise to Carr Company for $7,100 with terms 3/10,n/30. Evergreen uses the gross method to account for cash discounts. Record the transaction. Note: Enter debits before credits. Journal entry worksheet \begin{tabular}{llll|llllll} & 1 & 2 & 6 & 7 & 8 & 9 & 10 \end{tabular} Collected the entire amount due from Carr Company. Record the transaction. Note: Enter debits before credits. Journal entry worksheet A customer returned merchandise costing $3,300. Evergreen reduced the customer's recelvable balance by $5,100, the sales price of the merchandise. Sales returns are recorded by the company as they occur. Record the transaction. Note: Enter debits before credits. Journal entry worksheet 1234 A customer returned merchandise costing $3,300. Record the transaction. Note: Enter debits before credits. Journal entry worksheet
