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Evergreen Company sells lawn and garden products to wholesalers. The company's fiscal year-end is December 31. During 2021, the following transactions related to recelvables occurred

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Evergreen Company sells lawn and garden products to wholesalers. The company's fiscal year-end is December 31. During 2021, the following transactions related to recelvables occurred Feb. 28 5old merchandise to tennox; Inc., for $10,000 and accepted a 68 , 7.eonth note. 65 is an appropriate rate for this type of note. Mar. 31 Sold merchandise to Maddex Co. that had a fair value of $7,520, and accepted a noniaterest-bearing note for uhich 19 , oee paynent is due on March 31, 2022 . Aper. 3 . Sold merchandise to care Co. for 85,500 with term-3/10, n/30. Evergreen wses the grous aethed to account for cash discounts. 11 collected the entire anount due from carr co. 17a custoen returned merchandise costing 53,700 . Evergreen reduced the custceef's receivable balance by 35, 500, the sales price of the merchandise. soles returns are recoriled by the conpany as they occur. 30 Transferred recelvables of 355 , 0od to a factor without recourse. The factor charged Everareen a 2x finance charge on the receivables transferred. the sale criteria are net. June 30 oiscounted the tennok, Inc., note at the bank, The bank's discount rate is ax, the note mas discounted without recourse. Sep. 30 tennom, Inc., paid the note anount plus interest to the bank. Required: 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, 2021. Adjusting enties ate only recorded at year-end. 3. Prepare a schedule showing the effect of the journal entries on 2021 income before taxes. Journal entry worksheet Record accrued interest at December 31, 2021. Note: Enter debits before credits. \begin{tabular}{|l|l|} \hline \multicolumn{1}{|c|}{ Date } & \multicolumn{1}{|c|}{ Income } \\ \hline February 28 & \\ \hline March 31 & \\ \hline April 3 & \\ \hline April 11 & \\ \hline April 17 & \\ \hline April 17 & \\ \hline April 30 & \\ \hline June 30 & \\ \hline June 30 & $ \\ \hline December 31 & \\ \hline \multicolumn{1}{|c|}{ Total effect } & \\ \hline \end{tabular} Evergreen Company sells lawn and garden products to wholesalers. The company's fiscal year-end is December 31. During 2021, the following transactions related to recelvables occurred Feb. 28 5old merchandise to tennox; Inc., for $10,000 and accepted a 68 , 7.eonth note. 65 is an appropriate rate for this type of note. Mar. 31 Sold merchandise to Maddex Co. that had a fair value of $7,520, and accepted a noniaterest-bearing note for uhich 19 , oee paynent is due on March 31, 2022 . Aper. 3 . Sold merchandise to care Co. for 85,500 with term-3/10, n/30. Evergreen wses the grous aethed to account for cash discounts. 11 collected the entire anount due from carr co. 17a custoen returned merchandise costing 53,700 . Evergreen reduced the custceef's receivable balance by 35, 500, the sales price of the merchandise. soles returns are recoriled by the conpany as they occur. 30 Transferred recelvables of 355 , 0od to a factor without recourse. The factor charged Everareen a 2x finance charge on the receivables transferred. the sale criteria are net. June 30 oiscounted the tennok, Inc., note at the bank, The bank's discount rate is ax, the note mas discounted without recourse. Sep. 30 tennom, Inc., paid the note anount plus interest to the bank. Required: 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, 2021. Adjusting enties ate only recorded at year-end. 3. Prepare a schedule showing the effect of the journal entries on 2021 income before taxes. Journal entry worksheet Record accrued interest at December 31, 2021. Note: Enter debits before credits. \begin{tabular}{|l|l|} \hline \multicolumn{1}{|c|}{ Date } & \multicolumn{1}{|c|}{ Income } \\ \hline February 28 & \\ \hline March 31 & \\ \hline April 3 & \\ \hline April 11 & \\ \hline April 17 & \\ \hline April 17 & \\ \hline April 30 & \\ \hline June 30 & \\ \hline June 30 & $ \\ \hline December 31 & \\ \hline \multicolumn{1}{|c|}{ Total effect } & \\ \hline \end{tabular}

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