Kingbird Corporation's balance sheet at December $31,2024,$ is presented below.

Debits:

Cash $$93,000$

Inventory $95,325$

Prepaid insurance $17,360$

Equipment $117,800$

Total $$323,485$

Credits:

Accounts payable $$42,625$

Interest payable $7,750$

Bonds payable $155,000$

Common stock $77,500$

Retained earnings $$40,610$

Total $$323,485$

During $2025,$ the following transactions occurred. Kingbird uses a perpetual inventory system.

$1.$ Kingbird paid $$7,750$ interest on the bonds on January $1,2025.$

$2.$ Kingbird purchased $$747,410$ of inventory on account.

$3.$ Kingbird sold for $$1,488,000$ cash inventory which cost $$818,400.$ Kingbird also collected $$89,280$ sales taxes.

$4.$ Kingbird $$713,000$ on accounts payable.

$5.$ Kingbird paid $$7,750$ interest on the bonds on July $1,2025.$

$6.$ The prepaid insurance $($$$17,360)$ espired on July $31.$

$7.$ On August $1,$ Kingbird paid $$30,600$ for insurance coverage from August $1,2025,$ though July $31,2026.$

$8.$ Kingbird paid $$52,700$ sales taxes to the state.

$9.$ Paid other operating expenses, $$282,100.$

$10.$ Redeemed the bonds on December $31,2025,$ by paying $$148,800$ plus $$7,750$ interest.

$11.$ Issued $$279,000$ of $8\%,10-$year bonds on december $31,2025,$ at $103.$ The bonds pay interest every June $30$ and December $31.$

Adjustment data:

$1.$ Recorded the insurance expired from item $7.$

$2.$ The equipment was acquired on December $31,2024,$ and will be depreciated on a straight$-$line basis over $5$ years with a $$9,400$ salvage value.

$3.$ The income tax rate is $30\%($Hint: prepare the income statement up income before taxes and multiply by $30\%$ to compute the amount.$)$

Prepare journal entries for the transactions listed above and adjusting entries.

List of accounts for you to use for the account titles.

Accounts Payable

Accounts Receivable

Accrued Pension Liability

Accumulated Depreciation$-$Equipment

Bonds Payable

Buildings

Cash

Common Stock

Cost of Goods Sold

Current Portion of Long$-$Term Debt

Depreciation Expense

Discount on Bonds Payable

Dividends

Equipment

Federal Income Taxes Payable

Federal Unemployment Taxes Payable

FICA Taxes Payable

Gain on Bond Redemption

Income Tax Expense

Income Taxes Payable

Insurance Expense

Interest Expense

Interest Payable

Inventory

Land

Loss on Bond Redemption

Mortgage Payable