Exercise 13-6 (Algo) Gift cards; sales taxes; financial statement effects [LO13-3] Bavarlan Bar and Grill opened for business in November 2024. During its first two months of operation, the restaurant sold gift cards in varlous amounts totaling $5,400, mostly as Chistmas presents. They are redeemable for meals within two years of the purchase date, although experience within the industry indicates that 70% of gift cards are redeemed within one year. Gitt cards totaling $1.400 were presented for redemption during 2024 for meals having a total price of $1,800. The sales tax rate on restaurant sales is 4%, assessed at the time meals (not gift cards) are purchased Sales taxes will be remitted in January. Required: 1. Prepare the appropriate journal entries (in summary form) for the gift cards and meals sold during 2024 (keeping in mind that, in actuality, each sale of a gift card or a meal would be recorded individually). 2. Determine the llability for gift cards to be reported on the December 31,2024 , balance sheet. 3. What is the appropriate classification (current or noncurrent) of the llabilities at December 31,2024 ? Complete this question by entering your answers in the tabs below. Prepare the appropriate journat entries (in summary form) for the gift cards and meals sold during 2024 (keeping in mind t actuality, each sale of a gift card or a meal would be recorded individually). Note: If no entry is required for a transaction/event, select "No Journal entry required" in the first account field. Journal entry worksheet