EZ Curb Company completed the following transactions. The annual accounting period ends December 31. January 8 Purchased merchandise on account at a cost of $25,000. (Assume a perpetual inventory system.) January 17 Paid for the January 8 purchase. April 1 Received $57,600 from National Bank after signing a 12-month, 17. percent, promissory note. June 3 Purchased merchandise on account at a cost of $29,000. July 5 Paid for the June 3 purchase. July 31 Rented out a small office in building owned by EZ Curb Company and collected six months' rent in advance, amounting to $12,600. (Use an account called Deferred Revenue.) December 20 Collected $320 cash on account from a customer. December 31 Determined that wages of $10,900 were earned but not yet paid on December 31 (Ignore payroll taxes). December 31 Adjusted the accounts at year-end, relating to interest. December 31 Adjusted the accounts at year-end, relating to rent. Required: 1. Prepare journal entries for each of the transactions through December 20. 2. Prepare any adjusting entries required on December 31. 3. Show how all of the liabilities arising from these items are reported on the balance sheet at December 31. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare journal entries for each of the transactions through December 20. (Do not round intermediate calculations. If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet Record the purchase of inventory for $25,000 on account. Note: Enter debits before credits. Required 1 Required 2 Required 3 Prepare journal entries for each of the transactions through December 20. (Do not round intermediate calculations. If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 1 2 3 4 5 6 7 > Record the purchase of inventory for $25,000 on account. Note: Enter debits before credits. Date General Journal Debit Credit January 08 Record entry Clear entry View general journal View transaction list X X 1 Record the purchase of inventory for $25,000 on account. > 2 Record the payment for inventory in full. 3 Record the borrowing of $57,600. 4 Record the purchase of inventory for $29,000 on account. 5 Record the payment for inventory in full. Credit 6 Record the collection of six months rent in advance amounting to $12,600. 7 Record the collection of $320 cash on account from a customer Note : = journal entry has been entered Record entry Clear entry View general journal Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare any adjusting entries required on December 31. (Do not round intermediate calculations. If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list :X: 1 Record the wages earned, but not yet paid as of December 31. 2 Record the adjusting entry relating to interest. 3 Record the adjusting entry relating to rent. Credit Note : = journal entry has been entered Record entry Clear entry View general journal Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Show how all of the liabilities arising from these items are reported on the balance sheet at December 31. (Do not round intermediate calculations.) EZ CURB COMPANY Balance Sheet (partial) At December 31 0
