ha RevProject Compatibility Mode Saved to this PC out References . Malings Review View Help Parageaph Styles 1 Record the following entries for year 1 a. The corporation sells $55,000 of stock (1,000 shares) b The corporation pays $6,000 for a six-year lease c The corporation pu d The corporation buys $10,600 of inventory on account. e The corporation buys $5,000 of equipment for $3,000 cash and $2,000 notes payable f The corporation pays the vendor bill in (d) g The corporation buys $4,500 of inventory on account again h The corporation pays the stockholders $3,000 for dividends i The corporation has cash sales of $18,000 and credit sales of $2,000 The inventory cost is $9,000 j The corporation pays $200 for consulting expense k. The corporation pays $300 for advertising expense The corporation pays $2,200 for salaries expense m. The corporation pays $250 for utilities expense n. The corporation has $700 of supplies left o. The corporation used one year of the lease p The equipment wore out by $500 g The corporation owes (hasn't paid yet) interest of $100 for the notes payable The company is in a 10% tax bracket and accrues now for taxes it will pay later r. 2 Prepare the financial statements for year 1 Include a Trial balance Remember to carry the beginning balances forward in the permanent accounts as the first Year 2 transaction before you begin the year 2 transactions below 3. Record the following entries for year 2 a. The corporation pays the accounts payable balance from year 1 b. The corporation pays the interest payable from year 1