Need adjusting journal entries A - I

Stockholders' Equity 39003 Common Stock 39005 Retained Earnings 39007 Dividends Current Assets 10000 Cash 11000 Accounts Receivable 12000 Inventory-Orange Headbands 12100 Inventory - Blue Headbands 13100 Office Supplies 13200 Store Supplies 18000 Prepaid Rent 18100 Prepaid Insurance 18200 Prepaid Advertising Revenue 40000 Sales Long-Term Assets 15000 Store & Office Equipment 17000 Accumulated Depreciation -Store & Office Equipment 15100 Furniture & Fixtures 17100 Accumulated Depreciation Furniture & Fixtures 15200 Computer Equipment 17200 Accumulated Depreciation - Computer Equipment Expenses 50000 60100 60150 60200 60300 60350 60400 60500 Cost of Goods Sold Legal Expense Store Supplies Expense Office Supplies Expense Insurance Expense Wages Expense Delivery Expense Deliver Advertising and Promotion Expense Utility Expense Rent Expense Depreciation Expense Interest Expense Bank Service Fee 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 Blackboard Instructions: When entering the journal entries into Blackboard please follow the example 1. Enter each transaction on one line. First the debit and then the credit. Do NOT enter any account names only account numbers, Use Dr for Debit and Cr for Credit with non please put the cents even if it is zero. See example below: Dr 10000 $50,000.00 Cr 39003 $50,000.00 (Debit Account # Amount Credit Account Amount) Notice that the account numbers do NOT have commas and the dollar amounts have commas and dollar signs and all dollar amounts have the cents even if it is zero. 2. If there is more than one debit enter the debit first with the smallest account number(s) listed first and then the credits with the smallest account number listed first. Make sure that you enter Dr or Cr before each account number. See example below: Dr 12000 $8,000.00 Cr 10000 $1,000.00 Cr 20000 $7000.00 3. For all sales, list the Sale entry first then the Cost of Goods Sold entry second. The entire entry for both should be on one line. First the sale, as shown below, then the cost of the inventory. Again, put the smallest account number first if there are more than one debit or credit. Dr 10000 $30,000.00 Cr 23300 $500.00 Cr 40000 $29,000.00 Dr 50000 $15,000.00 CP 12000 $8,000.00 Cr 12100 $7,000.00 Both entries should all be on one line. 4. If there is no journal entry and you only need to put in a number please enter the amount as the dollar amount or as a number as the example below. $15,000.00 or 15,000 5. When entering the ending balances for the T-Accounts enter the debit or credit first and the amount last. You do not need to enter the account number. See example below, Dr $10,000.00 or Cr $10,000.00 6. If there is no journal entry to be written please write No JE for no journal entry. See below for example. NO JE Transactions Date Deposit No. / Check No. Description 1. 1/02/20 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. 2. 1/02/20 Deposit #1 3. 1/03/20 Ck #1001 4. 1/03/20 Ck #1002 5. 1/03/20 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 51 Page 6. 1/05/20 Deposit #2 7. 1/05/20 Ck #1003 8. 1/06/20 Ck #1004 Ck #1005 9. 10. 1/06/20 1/08/20 11. 1/08/20 Ck #1006 12. 13. 1/13/20 1/13/20 and the residual (salvage) 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 14. 1/13/20 15. 1/14/20 16. 1/14/2 17. 1/15/20 18. 19. 20. 21. 22. 1/20/20 1/22/20 1/22/20 1/22/20 1/23/20 Ck #1007 Deposit #3 Ck #1008 23. 1/23/20 orange headbands were $100. Ms. Sneed considers this an advertising expense. Received payment in full from UTEP. The payment was deposited in the bank. Deposit #4 24. 1/23/20 Ck #1009 25. 1/23/20 26. 1/23/20 Ck #1010 Deposit #5 27. 1/23/20 Ck #1011 28. 1/25/20 Deposit #6 29. 1/28/20 30. 1/30/20 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. 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 Start by using balance on the back Requirements 1 Correct Error Correct any el Credits must equal each other Hank Reconciliation. Using the cash bal nts Anery sting journal entries to your cash at et so that the general ledger cash "lon aswer the questions in Blackboard ent, Statement of Stockholders' the practice set in the correct 1.NO JE 2. Dr 10000 $25,000.00 Cr 34003 125,000.00 3. Dr 18000 $3,200.00 CM DOOD $3,200.00 4 DY ISIDO $1,800.00 Cr 10000 $1,800.00 5. Dr 15000 $10.000.00 Gr 112.10.000.00 DY 10000 $7,000.00 CX 21100 17,000.00 7. D 5100 $13,000.0D CR 10000 $13,000.00 Dr 15200 $900.00 CV DODO 9900.00 9 I DY 13100$300.00 CV IDDOD $ 300.00 10. DO 1200D $11,000.00 Cr 20000 $,.00 Dr 12100 $5,000.06 Cr 20000 $5,000.00 12. Dr LDIDO $ 350.0D CR 10000 $250.00 13. NO JE 14. Dr 11 000 $ 8,000.00 Cr 40000 $8,000.00 Dr 50000 $4,000.00 Cr 12000 2,500.00 Cr 12100 $1,500.00 25. DO 13200 $ 200.000 20000 $200.00 llo Dr 12000 $5,500.DOC 20000 $5,500.00 17 Dr / DOO $5953.75 CC 23300 $453.75 CV 40000 $5/500.00 Dr 50000 $2,750.00 Cr 12.000 $1.500.DOC 12.00 +1250.00 18. DO 20000 $200.00 CO DODO $ 200.00 19. Dr 10000 $5,953.75 CT LIDDO $5,953.15 20.Dr 20000 $le D00.00 Or 1 DOOD $160,000.00 2L DE 12100 $2,900.000 20000 $2,900.00 22 or 40500 8850.00 Cr 12000 $100.00 Cr 12100 $750.00 23 D 10000 $4,000.00 C 1000 $8,000.00 24. Dr 160400 8375.00 cr 10000 8375.00 25 D 13100 $65 DOCY 10000 165.00 26.Dr IDODO $111910.15 Cr 23300 $876.15.cr 40000 $10,620.00 Dr SDDOO $5,310. DO Cr 12000 $2,60-5.00 Cr 12100 $2,165.00 27. DO 20000 $8,400. DO Cr 10000 $8,400.00 28 DT 1000D 74,580.5D ON 23200 $286.50 Cr 4DDDO $4,300.00 DI SODDO 2,150.00 Cr 12000 $2.000.000 cr 12100 $150.00 29. Dr 10550 $277.23 Cr 23400 $277.23 30. DO 21200 $833.33 DV 10700 $50.00 C 1ooo 88833 31 DE IDDOO $2,782.03 CX 23300 $112.03 Cr 4000 $2,570.00 Dr 50000 $1,350.00 CS 12000 $750.00 Cr 12100 $1,000.00 32 DO 23300 $1,822.43 CV DOOD $1,82243 32 Dr 39007 $ 100.00 Cr 10000 $100.000 d. Make the necessary adjusting entry for one month's depreciation for the furniture and fixtures using Straight Line Depreciation. e. Make the necessary adjusting entry for the store and office equipment using Straight Line Depreciation. f. One month of depreciation for computer equipment using Straight Line Depreciation. 8. One month of prepaid insurance has expired. h. One month of prepaid rent has expired. i. Record the interest on the loan from Wells Fargo