Jones Widget Company (JWC) incorporated at the beginning of 2014. Below is the post closing trial balance as of 12/31/2014.

Account Title	Balance
Cash		9,700
Accounts Receivable		8,350
Allowance for Doubtful Accounts		915
Inventory		12,920
Prepaid Rent		1,800
Equipment		27,000
Accumulated Depreciation		2,600
Accounts Payable		0
Sales Tax payable		600
FICA Taxes Payable		800
Federal Income Tax (FIT) Payable		600
Wages Payable		1,600
Unemployment taxes payable		400
Unearned Revenue		8,500
Interest Payable		270
Notes Payable		12,000
Common Stock		14,300
Add'l PIC		10,210
RE - December 31, 2014		11,175
Treasury Stock		4,200

Additional Information:

	JWC establishes a policy that it will sell inventory at $170 per unit. Sales taxes are 6%. JWC will use the FIFO method and record COGS on a perpetual basis.
	Employee wages are $4,200 per month. Employees are paid on the 16th for the first half of the month and on the first of the following month for the second half of each month. The income taxes withheld are $300 each paycheck, and the FICA taxes are $200 per paycheck. The withholding and the employers matching contribution are paid monthly on the second day of the month. In addition, unemployment taxes of $60 are accrued with each payroll. The taxes are paid on March 31.
	The Beginning inventory of $12,920 consists of 190 units.
	The Prepaid Rent balance is for January 2015.
	The equipment was purchased on July 1, 2014. It is being depreciated using the straight line method.
	Unearned Revenue is for 50 units ordered and paid for in advance by two customers in late December. One order will be filled in January, the remainder in early February.
	The Notes payable represents a $12,000 bank loan received on October 1, 2013 at 9% annual interest.
	The par value on the common stock is $2.
	The treasury stock account has 700 shares.
	Record all transactions to the nearest dollar.

Below are transactions for January 2015

Jan 1	Paid December 31 payroll previously accrued.
Jan 2	A $92,000 6% six year bond is issued. The effective yield is 7%.

	6%		7%
Present Value of $1 factors	.7050		.6663
Present Value of an Annuity of $1 factors	4.9173		4.7665

Jan 2	A truck is purchased for $11,000 cash. It is estimated the truck will be used for 50,000 miles and will have no salvage value. (Record the purchase to the account "Vehicles").
Jan 2	Payroll taxes payable (FIT & FICA) recorded in December are remitted to the IRS.
Jan 5	A $910 customer account is written off as uncollectible.
Jan 6	Sales on account of 185 units of inventory occur during January. Include sales tax of 6%.
Jan 10	Sales taxes of $600 which had been collected and recorded in December are paid to the state.
Jan 11	An additional 80 units of inventory are purchased on account for $5,200.
Jan 12	The equipment purchased in 2014 for $27,000 is sold for $25,000. No additional depreciation is recorded for January.
Jan 14	Having sold the equipment, JWC pays off the note in full. The amount paid is $12,311 which includes an additional $41 interest through Jan 14.
Jan 15	A portion of the advance order from December (45 units) is delivered. There is no sales tax on this order.
Jan 16	Record and pay payroll for January 1-15. Record the employers matching share of FICA taxes And the unemployment taxes also.
Jan 20	450 shares of the treasury stock are sold for $5,400.
Jan 21	Collections from sales on account totaled $8,700.
Jan 27	Sold the other 250 shares of the treasury stock for $1,200.
Jan 28	JWC declares and distributes a 10% Stock dividend. The market price of the stock at the time is $5 per share. (Hint on the statement of retained earnings, this amount will should be shown as a dividend).
Jan 31	(Adjusting 1) Record depreciation on the truck. During January, the truck is driven 1,500 miles.
Jan 31	(Adjusting 2) It is estimated that 3% of the ending accounts receivable balance will be uncollectible.
Jan 31	(Adjusting 3) Record January rent expired.
Jan 31	(Adjusting 4) Accrue January 31 payroll, which will be payable on February 1. Record the employers matching share of FICA taxes also.
Jan 31	(Adjusting 5) Record ONE MONTHS interest expense and amortization of premium or discount on the bond. Round to the nearest dollar.

Required:

1-a.	Prepare all January journal entries and adjusting entries. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)