I need help with part 3 (ending balances)

Part One Two and Three MMARECOMMOOORRRRRRRRRRRRRR SIPE O pod e 300 $1.00 h oded a re & 1//201004 Pedometer The computerents the of 10. 104/20 Purchased $11.00 of n or ge and from any's 11. 1/08/20 12. 1/13/2010 13. 1/11/20 Seed receved and p Sweaty and income for wholesale Rec er r om herwyer S wabe both metal and purchase and at the shop som har hech t and then pay ater Sold headbands to UTEP h e n banget on account and is $2.500. The cost of methohoothandske Sison Utep does not have to on saleston uchared Compute 5:07 4 10 20 Purchased $10.000 o r dre 13 11/20 for $8.000 The cost of the $2.500. The cost of the blue headbands is $1.500 UTUP does not have to pay tasto Purchased 200 o n this is to be recorded Purchased on on account for $5.500 s 16. 1734/20 17. 1/15/20 Headbands 18 1/20/20 19. 1/22/20 20. 1/23/20 21. 1/22/20 22. 1/23/20 O 107 Depout 1 008 c S 500 Buendi Received and paid the $200 to supplies o mes on 1/15/20 Paid the two inwoces rom a ns from 1/08/20 Ordered blue heathands for $2.300 o C Ms. Sneed donated headbands to the Ord er. She felt that this was a good tourishenewbie Hee business was listed as a spon d age was put in the fund raser program. Cost of the blue headbands were $750, and the 24. 1/23/20 1 0 5375 for 26. 1/23/20 Deputad o 28 1/25/20 Deposito 29. 128/20 30. 1/30/20 Collected as deposited in the bank. The cost of $2.150 gehad Received but do Pad the first to payment amount is S O Awas candi heads SSL 527721 ment. The 5000 forint 1 012 Office Supp $2.570 and tax collected w o o l was deposited in the bankThe cost of the merchand was 51.350 h ands 5100, Drangheadhana 32, 1/31201013 Pasto retreler of record the m Once all the journal entries are recorded as the prace with the date being lanuary 31 2029. The following are the eletes below e for the month of r Record Adistin Entries Part One, Two and Three Instructions Record the January 2020 transactions in the general journal (last section of this practice set) using the following events. Skip a line between each entry and number the entries to match the number of the transaction. In the general journal record the transaction number, the date, Dr/Cr and the account numbers along with the dollar amounts. After all journal entries are entered into the practice set, enter the adjusting journal entries. Next, create a T-Account for each account that is used in the Chart of Accounts and record the transactions and end with an ending balance. All ending balances should be on the normal balance side even if the account has a zero balance. If there is a number that is uneven round to the nearest cent. You will need the ending balance in the cash account for the bank reconciliation. All instructions for Blackboard start on page 8. Transactions Description Date Deposit No. Check No. 1/02/20 1/02/20 Deposit #1 Samantha Sneed met with her lawyer and CPA for advice on starting the business. They decided that Ms. Sneed would organize the business as a corporation. The lawyer told Ms. Sneed to register the company name, Sweaty Bands, Inc., with the County of El Paso. In addition, Ms. Sneed will get an employer identification number (EIN) from the Internal Revenue Service and get a sales tax permit from the state of Texas. The lawyer agreed to prepare the Articles of Incorporation to be filed with the Secretary of State of Texas. The CPA has agreed to help Ms. Sneed set up her accounting system. Ms. Sneed opened a business checking account at Wells Fargo Bank by depositing the personal check she gave her company for $25,000. The corporation issued her a stock certificate for 50,000 shares of common stock. Ms. Sneed signed a one-year rental agreement with Rusty Realtors for shop space. She was required to pay $3,200 for rent for the months of January 1, 2020 - April 30, 2020. Arranged for a general business liability insurance policy and paid $1,800 to State Penn Insurance. This premium is for six months of coverage Purchased store equipment for a cost of $10,000 from Office and Store Supply for use in the business. Ms. Sneed signed a one year, 6% note payable for the cost of the office and store equipment. The store and office equipment have an estimated useful life of 4 years 3. 1/03/20 Ck #1001 4. 1/03/20 Ck #1002 5. 1/03/20 5 Page 1/05/20 Deposit 12 1/05/20 Ck #1003 8. 1/06/20 Ck #1004 9. 10. 1/06/20 1/08/20 Ck 91005 11. 1/08/20 12. 13. 1/13/20 1/13/20 Ck #1006 14. 1/13/20 and the residual (salvare value is $2.000. This will be recorded as Store and Office Equipment Signed a note payable to borrow $7.000 from Wells Fargo Bank. Interest is 6% annually and the note is to be repaid with interest in six months. Purchased furniture and fixtures for $13.000 from Furniture Warehouse. The estimated service life of this asset is 5 years. The residual (salvage value) is $1,000. This will be recorded as Furniture and Fixtures. Purchased Computer Equipment for $900 to be used in the store. The computer equipment has a useful life of 3 years. Purchased $300 in office supplies. Purchased $11,000 of Inventory-Orange Headbands from Hailey's Headbands on account. Purchased $5,000 Inventory-Blue Headbands from Hailey's Headbands on account. Ms. Sneed received and paid the $350 charge from her lawyer. Sweaty Bands is now open for business. Sales will be both retail and wholesale. Retail customers will purchase online and at the shop and will be charged an 8.25% sales tax. Ms. Sneed will allow major customers to charge their purchases on account and then pay later. Sold headbands to UTEP for their homecoming banquet on account for $8,000. The cost of the orange headbands is $2,500. The cost of the blue headbands is $1,500. UTEP does not have to pay sales tax on the purchase. Purchased $200 of store supplies on account. This is to be recorded as store supplies. Purchased additional orange headbands from Hailey's Headbands on account, for $5,500. Recorded sales on account for the first five days of operation Sales on account totaled $5,500 and the sales tax totaled $453.75. The cost of merchandise sold was $2750.00. (Orange headbands were $1,500 and Blue headbands were $1,250.) Received and paid the $200 invoice for store supplies. Received cash from sales on account on 1/15/20 Paid the two invoices from Hailey's Headbands from 1/08/20 Ordered blue headbands for $2,900 on account, Ms. Sneed donated headbands to the Child Crisis fund raiser. She felt that this was a good way to advertise her new business. Her business was listed as a sponsor and a large ad was put in the fund raiser program. Cost of the blue headbands were $750, and the 15. 1/14/20 16. 1/14/20 17. 1/15/20 18. 1/20/20 19. 1/22/20 122/20 21. 1/22/20 22. 1/23/20 ck #1007 Deposit #3 ck #1008 6 Page Current Assets 10000 Cash 12100 Stockholders' Equity 39003 Common Stock 39005 Retained Earnings 39007 Dividends 11000 Accounts Receivable 12000 Inventory-Orange Headbands Inventory - Blue Headbands 13100 Office Supplies Store Supplies Prepaid Rent 18100 Prepaid Insurance 18200 Prepaid Advertising Long-Term Assets Store & Office Equipment 13200 18000 Revenue 40000 Sales S 15000 17000 15100 17100 Accumulated Depreciation -Store & Office Equipment Furniture & Fixtures Accumulated Depreciation Furniture & Fixtures Computer Equipment Accumulated Depreciation - Computer Equipment Expenses 50000 60100 60150 60200 60300 60350 60400 60500 Cost of Goods Sold Legal Exper Store Supplies Expense Office Supplies Expense Insurance Expense Wages Expense Delivery Expense Advertising and Promotion Expense Utility Expense Rent Expense Depreciation Expense Interest Expense Bank Service Fee 15200 17200 60550 60600 60650 60700 60750 Current Liabilities 20000 Accounts Payable 21100 Note Payable-Wells Fargo Bank 21200 Note Payable-Store & Office Supply 23100 Wages Payable 23200 Interest Payable 23300 Sales Tax Payable 23400 Utility Payable Long-Term Liabilities 27000 Mortgage Payable 27100 Notes Payable 4 Page 23. 1/23/20 Deposit #4 24. 1/23/20 Ck 1009 25. 26. 1/23/20 1/23/20 Ck #1010 Deposit 5 27. 1/23/20 Ck #1011 28. 1/25/20 Deposit #6 orange headbands were $100. Ms. Sneed considers this an advertising expense. Received payment in full from UTEP. The payment was deposited in the bank Ms. Sneed paid her credit card bill for the month. The total was $375 for deliveries Purchased and paid for $65 of office supplies. Internet and retail sales totaled $10,620 and sales taxes of $876.15 was collected. The cost of the merchandise sold was $5,310 (Blue Headbands $2,655; Orange headbands $2,655). The money was deposited in the bank. Paid the balance due to Hailey's Headbands. There are two invoices; one on 1/14/20 and the other on 1/22/20. Collected sales of $4,300. Sales tax collected was $280.50. All was deposited in the bank. The cost of the merchandise sold was $2,150. (Orange headbands $2,000; Blue headbands $150). Received but did not pay the electric bill for the month, $277.23. Paid the first monthly installment on the office equipment. The payment amount is $883.33. Of this amount, $50.00 is for interest and $833.33 is for principal. Make the check payable to Store & Office Supply Recorded internet sales for the last week of the month. Sales were $2,570 and sales tax collected was $212.03, all was deposited in the bank. The cost of the merchandise sold was $1,350 (Blue headbands $1,000; Orange headbands $350). Paid all sales tax owed for January to the Comptroller of Public Accounts. Declared and paid a cash dividend of $100 to Samantha Sneed. 29. 1/28/20 30. 1/30/20 Ck #1012 31. 1/30/20 Deposit #7 32. 1/31/20 Ck #1013 33. 1/31/20 Ck #1014 Once all the journal entries are recorded in the practice set, record the adjusting journal entries below with the date being January 31, 2020. The following are the adjusting journal entries for the month of January Record Adjusting Entries: Record the following month end adjusting entries for the month of January Write the journal entries in the practice set after the original journal entries and round to the nearest cent. a. 1,550 of wages for the part-time help from Irene's Temp Services for January should be accrued. Do not worry about payroll taxes; Temp Services Inc. will handle these. b. $150 of store supplies remained on hand. C. $43 of office supplies remained on hand. 7 Page