Instructions The following items were selected from among the transactions completed by Sherwood Co. during the current year: Mar 1 31 Apr. 30 Purchased merchandise on account from Kirkwood Co., $300,000, terms n/30. Issued a 30-day, 4% note for $300,000 to Kirkwood Co., on account. Paid Kirkwood Co. the amount owed on the note of March 31. Borrowed $156,000 from Triple Creek Bank, issuing a 45-day, 4% note. Purchased tools by issuing a $228,000. 60-day note to Poulin Co., which discounted the note at the Jun 1 Jul 1 rate of 9% 16 Aug 15 30 Dec 1 Pald Triple Creek Bank the interest due on the note of June 1 and renewed the loan by issuing a new 30-day, 6.5% note for $156,000. (Journalize both the debt and credit to the notes payable account.) Paid Triple Creek Bank the amount due on the note of July 16, Paid Poulin Co, the amount due on the note of July 1. Purchased equipment from Greenwood Co. for $580,000. paying $102,000 cash and issuing a series of ten 6% notes for $47,800 each, coming due at 30-day intervals. Settled a product liability lawsuit with a customer for $300,500, payable in January. Accrued the loss in a litigation claims payable account Paid the amount due to Greenwood Co. on the first note in the series issued on December 1 22 31 Instructions Journal Shaded cells have foed 1. Journalce the transactions. Refer to the Chart of Accounts for exact wording of account titles. Assume a 360-day year. Scroll down to access page 12 of the journal. Round answers to the nearest dollar All transactions on this page must be entered (except for post ref(s) before you will receive Check My Work feedback. PWGE 11 JOURNAL Score: 75/360 ACCOUNTING EQUATION DATE DESCRIPTION POST. REF DEON CREDIT ASSETS LIABUITIES EQUITY 3 Mar. 1 300,000.00 300,000.00 1 Accounts Payable-Kirkwood Co. Mar. 31 Accounts Payable Kirkwood Co. Notes Payable Apr. 30 Notes Payable Interest Expense Cash Jun 1 Cash Notes Payable 10 11 Journal Shaded cells have Points: 2. Journalize the adjusting entry for each of the following accrued expenses at the end of the current year (refer to the Chart of Accounts for exact wording of account titles): A Product warranty cost. 528,000 B. Interest on the nine remaining notes owed to Greenwood Co. Assume a 360-day year. Question not attempted. PAGE 12 JOURNAL Score: 0/51 ACCOUNTING EQUATION DATE POSTRES DESCRIPTION Adjusting Entries DELT CREDIT ASSETS LIABILITIES CQUITY 2
