Grid Iron Prep Inc. (GIPl) is a service business incorporated in January of the current year to provide personal training for athletes aspiring to play college football. The following transactions occurred during the month ended January 31 1. GIPI issued stock in exchange for $100,000 cash on 1/01 2. GlPl purchased a gymnasium building and gym equipment on 1102 for $50,000, 80% of which related to the gymnasium and 20% to the equipment 3. GIPI paid 5260 cash on 1/03 to have the gym equipment refurbished before it could be used. 4. GIPl provided $4,000 in training on 1/04 and expected collection in February 5. GIPI collected $36,000 cash in training fees on 1/10, of which $34,000 was earned in January and 52,000 would be earned in February 6. GIPI paid $23,000 of wages and S7,000 in utilities on 1/30 7. GIPI will depreciate the gymnasium building using the straight-line method over 20 years with a residual value of $2,000. Gym equipment will be depreciated using the double-declining-balance method, with an estimated residual value of $2,250 at the end of its four-year useful life. Record depreciation on 1/31 equal to one-twelfth the yearly amount 8. GIPI received a bil on 1/31 for $350 for advertising done on 1/31. The bill has not been paid . GIPI uses the aging method for estimating doubtful accounts and, on 1131, will record an estimated 3 10.GlPl's income tax rate is 30%. Assume depreciation for tax is the same amount as depreciation for or recorded. percent of its under 30 day-old accounts as not collectible financial reporting purposes. General LedgerTrial BalaneIncome Statement of Requirementournal Statement Retained Earninas Balance Sheet Prepare journal entries to record the transactions and adjustments listed in (1)-(10). Review the accounts as sh General Ledger and Trial Balance tabs. Round your answers to nearest whole dollar. (If no entry is requ transaction/event, select "No journal entry required in the first account field.) View transaction list Grid Iron Prep Inc. (GIPl) is a service business incorporated in January of the current year to provide personal training for athletes aspiring to play college football. The following transactions occurred during the month ended January 31 1. GIPI issued stock in exchange for $100,000 cash on 1/01 2. GlPl purchased a gymnasium building and gym equipment on 1102 for $50,000, 80% of which related to the gymnasium and 20% to the equipment 3. GIPI paid 5260 cash on 1/03 to have the gym equipment refurbished before it could be used. 4. GIPl provided $4,000 in training on 1/04 and expected collection in February 5. GIPI collected $36,000 cash in training fees on 1/10, of which $34,000 was earned in January and 52,000 would be earned in February 6. GIPI paid $23,000 of wages and S7,000 in utilities on 1/30 7. GIPI will depreciate the gymnasium building using the straight-line method over 20 years with a residual value of $2,000. Gym equipment will be depreciated using the double-declining-balance method, with an estimated residual value of $2,250 at the end of its four-year useful life. Record depreciation on 1/31 equal to one-twelfth the yearly amount 8. GIPI received a bil on 1/31 for $350 for advertising done on 1/31. The bill has not been paid . GIPI uses the aging method for estimating doubtful accounts and, on 1131, will record an estimated 3 10.GlPl's income tax rate is 30%. Assume depreciation for tax is the same amount as depreciation for or recorded. percent of its under 30 day-old accounts as not collectible financial reporting purposes. General LedgerTrial BalaneIncome Statement of Requirementournal Statement Retained Earninas Balance Sheet Prepare journal entries to record the transactions and adjustments listed in (1)-(10). Review the accounts as sh General Ledger and Trial Balance tabs. Round your answers to nearest whole dollar. (If no entry is requ transaction/event, select "No journal entry required in the first account field.) View transaction list
