On January 1, 2015, the ledger of Accardo Company contains the following liability accounts. During January, the following selected transactions occurred. (in excel file)

A. Journalize the January transactions.

B. Journalize the adjusting entry at January 31 for the outstanding note payable. (Hint: Use one-third of a month for the Girard Bank note.)

C. Prepare the current liabilities section of the balance sheet at January 31, 2015. Assume no change in accounts payable.

Section Accounts Payable $52,000 Date 7,700 Sales Taxes Payable Accardo Company Unearned Service Revenu 16.000 Page 528 General Journal Jan. 5 Sold merchandise for cash totaling $20.520, which includes 8% sales taxes 12 Performed services for customers who had made advance payments of $10,000. (Credit Service Revenue) 14 Paid state revenue department for sales taxes collected in December 2014 ($7,700). Sold 900 units of a new product on credit at $50 per unit, plus 8% sales tax. Jan. 5 2 121 Borrowed $27,000 from Girard Bank on a 3-month, 8%, $27,000 note. Sold merchandise for cash totaling S12,420, which includes 8% sales taxes. 24 Jan. 31 25 265 27 28