Please create adjusting journal entries for those transitions.

1- Because of strong demand and a need for additional inventory, DeeDee needed some temporary additional storage space so on July 1, 2020 they rented a unit for an annual rate of $19,200 and they paid the entire amount up front. The entire amount was expensed on July 1.

2- As of 12/31/2020 the Available for Sale Equity Investments have a fair value of $380,000 and the fair value of the Available for Sale Debt Investments have a fair value of $130,000. Due to the market conditions, the company does not plan on selling the assets in 2020, but their intent is to sell at some point in time.

You can ignore the tax effect on unrealized gains and losses. (Hint: Unrealized Gains and Losses OCI are closed to Accumulated Other Comprehensive Income at the end of the year.)

3- DeeDee uses the FIFO Inventory Method in valuing inventory. The inventory balance of $372,500 was based on a physical count at 12/31/2020. Based on your analysis, you have noted that $6,000 of marketing games that belonged to Marketing Majors Inc. and being held by DeeDee on consignment was included in the physical account at year end. You also note that goods were in transit from a vendor on December 31, 2020 and were not included in ending inventory. The cost of the inventory was $18,000 and the goods were shipped f.o.b. shipping point on December 29, 2020.

Account Title DeeDee Double Entry, Incorporated End of Period Worksheet For the Year Ended December 31, 2020 Unadjusted Trial Balance Adjustments DR CR CR 165,800 768,500 2,500 DR 372,500 9,000 8,000 Cash Accounts Receivable Allowance for Doubtful Accounts Interest Receivable Merchandise Inventory Prepaid Insurance Prepaid Advertising Prepaid Rent Office Supplies Note Receivable Available for Sale Debt Investments Available for Sale Equity Investments Office Building Accumulated Depreciation - Office Building Land Office Equipment Accumulated Depreciation - Office Equipme Copyrights Accounts Payable Sales Tax Pavable 5,500 180,000 100,000 400,000 3,100,000 155,000 850,000 250,000 47,500 150,000 345,000 345,000 1,500,000 770,000 1,200,000 889,420 8,500 240,000 Accounts Payable Sales Tax Payable Salaries Payable Payroll Taxes Payable Interest Payable Income Tax Payable Unearned Revenue Loan Payable - Coldstar Bank Common Stock Additional Paid in Capital Retained Earnings Accumulated Other Comprehensive Income Dividends Sales Sales Returns and Allowances Sales Discounts Cost of Goods Sold Sales Salaries Expense Office Salaries Expense Advertising Expense Depreciation Expense - Office Building Depreciaiton Expense - Office Equipment Leasing Expense - Stores Miscellaneous Selling Expense Research & Development Expense Rent Expense - Storage Facility 4,691,250 21,700 17,200 1,757,200 476,400 434,000 54,000 244,000 16,950 19,200 17,200 1,757,200 476,400 434,000 54,000 244,000 16,950 Sales Discounts Cost of Goods Sold Sales Salaries Expense Office Salaries Expense Advertising Expense Depreciation Expense - Office Building Depreciaiton Expense - Office Equipment Leasing Expense - Stores Miscellaneous Selling Expense Research & Development Expense Rent Expense - Storage Facility Insurance Expense Office Supplies Expense Miscellaneous Administrative Expense Rent Revenue Interest Revenue on Note Receivable Unrealized Gain/Loss -Income Unrealized Gain/Loss - OCI Interest Revenue on Debt Investments Dividend Revenue on Equity Investments Interest Expense Bad Debt Expense Amortization Expense Income Tax Expense 19,200 2,000 17,000 9,220 48,000 - 4,000 12,000 9,670,670 9,670,670