hi can you please help me with the part a2 of this question that says prepare the adjusting entries. thank you!
10. Account Titles and Explanation Debit 1. Paid-in Capital in Excess of Par-Preferred Stock 2. Paid-in Capital in Excess of Par-Common Stock 3. 4. 5. 6. 7. 8. 9. Service Revenue 4. Unearned Service Revenue 5. 6. Supplies 7. Cash 8. Treasury Stock 9. Other Operating Expenses Cash 10. Cash Dividends 11. Allowance for Doubtful Accounts (a2) Prepare the adjusting entries. (Credit account tities are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter Ofor the amounts. Record Journal entries in the order presented in the problem, No. Account Titles and Explanation 1. 2. 3. Debit Credit Pina Colada Corporation's balance sheet at December 31, 2021, is presented as follows. During 2022, the foliowing trarsactions occurred. 1. On danuary 1, 2022. Pina Colada lissued 1,200 shares of 540 par, 7 preferred stock for $49.200. 2. On January 1, 2022. Pina Colada also issued 900 shares of the $10 par value common stock for $20,100. 3. Pina Colada performed services for $328000 on account. 4. On April 1, 2022, Pina Colada collected fees of $39,200 in advance for services to be performed from April 1. 2022, to March 31. 2023. 5. Pina Colada collected $266,300 from customers on account. 6. Pina Colada bought $35,900 of supplies on account. 7. Pina Colada paid $34,200 on accounts payable. 8. Pina Colada reacquired 400 shares of its common stock on June 1, 2022, for $26 per share, 9. Paid other operating expenses of $196,500. 10. On December 31, 2022, Pira Colanta declared the annual preferred stock dividend and a 51.30 per share dividend on the outstanding common stock, all payable on January 15 , 2023. 11. An account receivable of $1,600 which originated in 2021 is written off as uncollectible. Adjustment data: A count of supplies indicates that $5.800 of expplies remain unused at year-end $234300 $234,300 During 2022, the following transactions occurred. 1. On January 1,2022, Pina Colad a issued 1,200 shares of $4b par, 72 preferred stock for $49.200. 2. On Lanuary 1. 2022. Pina Colada also issucd 900 shares of the $10 par value common stock for $20,100. 3. Pina Colada performed services for $328,000 on account. 4. On April 1, 2022, Pina Colada collected fees of $39.200 in advance for services to be performed from April 1, 2022, to March 31, 2023. 5. Pina Colada collected $266,300 from customers on account. 6. Pina Colada bought $35,900 of supplies on account. 7. Pina Colada paid $34,200 on accounts payable. 8. Pina Colada reacquired 400 shares of its common stock on June 1, 2022, for $26 per share. 9. Paid other operating expenses of $196,500. 10. On December 31,2022, Pina Colada declared the annual preferred stock dividend and a $1.30 per share dividend on the outstanding common stock, all payable on January 15 . 2023 . 11. An account receivable of $1.600 which originated in 2021 is written off as uncollectible. Adjustment data: 1. A count of supplies indicates that $5,800 of supplies remain unused at year-end. 2. Recorded revenue from item 4 above: 3. The allowance for doubtful accounts should have a balance of $3,500 at year end. 4. Depreciation is recorded on the building on a straight-line basis based on a 30 year life and a salvage value of $10,000. 5. The income tax rate is 30%. (Hint: Prepare the income statement up to income before income tawes and multiply by 30% to compute the amount) (g)
