Hi, here are two accounting need your help. Questions are in the file.

BUSI 2001 - Intermediate Accounting 1 Assignment 2 Notes Receivable, Inventories, PPE Problem 1 You are a manufacturer of turbines and are a publicly accountable entity. On December 31, 20x0, you made a sale of a turbine to a customer. You estimate that your customer's incremental borrowing rate is 6%. Your incremental borrowing rate is 5%. Required - For each of the following terms of payment, prepare the journal entries for this transaction for the years ended December 31, 20x0, 20x1 and 20x2. a) b) c) d) e) f) The customer will pay $500,000 on December 31, 20x2 and will pay interest of 6% on the $500,000 on December 31, 20x1 and 20x2. The customer will pay $500,000 on December 31, 20x2 and pay no interest in the interim. The customer will pay $500,000 on December 31, 20x2 and will pay interest of 2% on the $500,000 on December 31, 20x1 and 20x2. The customer will pay equal payments of principal and interest over 5 years with the first payment made on December 31, 20x1. The nominal value of the principal at December 31, 20x0 is $500,000. The interest charged is 3%. The customer will pay $500,000 on December 31, 20x2 and pay no interest in the interim. The cash sales price of the turbine would be $450,000. Repeat part (d) on the assumption that you are a private enterprise subject to ASPE and you wish to use the straight-line method. Problem 2 Data on the one of the items of inventory of Tracce Corporation for the month of November is as follows: Item Date Nov 1* Nov 4 Nov 8 Nov 10 Nov 16 Nov 22 Nov 28 s Purchased 2,500 1,600 Uni t Cos $3.56 3.62 Total Purchase 3,400 3.65 12,410 2,600 3.60 9,360 $8,900 5,792 Unit s Sol Uni Total Sale t Pric 2,900 $6.65 $19,285 1,600 6.70 10,720 1,400 6.70 9,380 Required - Calculate the value of the ending inventory, cost of goods sold and gross margin under each of the following assumptions: a) FIFO - Periodic b) Weighted Average - Periodic c) Moving Weighted Average - Perpetual (use 4 decimals in the calculation of unit costs)