Grid Iron Prep Incorporated (GIP) is a service business Incorporated in January of the current year to provide personal training for athletes aspiring to play college football. The following transactions occurred during the month ended January 31. a GIPI issued stock in exchange for $200,000 cash on 101 b GIPI purchased a gymnaslum building and gym equipment on 102 for $62,000, 80% of which related to the gymnasium and 20% to the equipment CGIPI paid $200 cash on 103 to have the gym equipment refurbished before it could be used. d. GIPI provided $7.000 in training on 1/04 and expected collection in February e. GIPI collected $45,000 cash in training foes on 170, of which $43,000 related to January and $2,000 related to February GIPI paid $27.000 of wages and $9,500 in utilities on 1/30. g. GIPI wil depreciate the gymnasium building using the straight-line method over 10 years with a residual value of $2,500. Gym equipment will be depreciated using the double-declining-balance method with an estimated residual value of $3,500 at the end of its four-year useful life. Record depreciation on 1/31 equal to one-twelfth the yearly amount AGIPI received a bill on 131 for $480 for advertising done on 131. The bill has not been paid or recorded. GIPI uses the aging method for estimating doubtful accounts and, on 1/31, will record an estimated 3 percent of its under-30-day-old accounts as not collectible GIP's income tax rate is 30%. Assume depreciation for tax is the same amount as depreciation for financial reporting purposes. Requirement General Joumal General Ledger Thal Balance Income Statement Statement of Retained Earnings Balance Sheet Prepare journal entries to record the transactions and adjustments listed in (a) to (1). Review the accounts as shown in Ledger and Trial Balance tabs. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the fi field. Round your final answers to the nearest whole dollar amount.) ok View transaction et nt Journal entry worksheet 3 2 5 7 > 10 ences GIPI will depreciate the gymnasium building using the straight-line method over 10 years with a residual value of $2,500. Gym equipment will be depreciated using the double-declining balance method, with an estimated residual value of $3,500 at the end of its four-year useful life. Record Note: Enter debits before credits Credit Debit 921 Date General Journal January 31 Depreciation Expense Accumulated Depreciation-Buildings Accumulated Depreciation Equipment 306 525 Record entry Clear entry View general journal pok View transaction list int Journal entry worksheet 10 > ences 2 8 7 8 g depreciated using the double-declining-balance method, with an estimated residual value of $3,500 at the end of its four-year useful life. Record depreciation on 1/31 equal to one-twelfth the yearly amount. Record the transaction. Note: Enter debits before credits Credit Date General Journal January 31 Depreciation Expense Accumulated Depreciation-Buildings Accumulated Depreciation Equipment Debit 921 396 525 Record entry Clear entry View general Journal View transaction let Journal entry worksheet 0 2 10 GIPI uses the aging method for estimating doubtful accounts and, on 1/31, will record an estimated 3 percent of its under-30-day-old accounts as not collectible. Record the transaction. Note: Enter debits before credits. Date General Journal January 31 Bad Debt Expense Allowance for Doubtful Accounts Debit Credit Record entry Clear entry View general Journal held. Round your final answers to the nearest whole dollar amount.) View transaction et Journal entry worksheet 8 10 GIPI's income tax rate is 30%. Assume depreciation for tax is the same amount as depreciation for financial reporting purposes. Record the transaction. Note: Enter debits before credits Debit Credit Date General Journal January 31 Income Tax Expense income Tax Payable Record entry Clear entry View general journal 4 Requirement General Journal General Lado Trial Balance Income Statement Rated Earnings Prepare journal entries to record the transactions and adjustments Ested in (a) to (1. Review the accounts as shown in the Ger Ledger and Tial Balance tabs. (If no entry is required for a transaction event, select "No Journal Entry Required in the first aco field. Round your final answers to the nearest whole dallar amount.) 74 View from View juntry worked NO Onte Rook Denarni Juma Dec Credit 1 January 01 Cash Convon Stock 200.000 200,000 2 January 02 Buildings Euipment Cash 12.400 Deference 2.000 3 January Equipment Cash 200 200 4 January 04 Accounts Recovable Service Rover 7.000 7.000 January 10 45.000 Cash Service Revan Deforrad Rove 2000 2.000 January 30 Salaries and Wages Expanse tities Expo 27000 3.500 36 500 7 January 31 321 Depreciation Expono Acum D-Blog Romuald Derationen naya Artising Excel Abi B 9 January 21 Bad Date Alware for 10 come To Expo Tax Pay General Requirement General Statement or Income Journal Lider Wal Balance Statement Rotariod Balance She Earnings Prepare the statement of retained earings for the month ended January 31. You will need to determine and enter the accounts and balances to prepare the Statement of Retained Earnings. (Round your final answers to the nearest whole dollar amount.) GRIDIRON PREP INCORPORATED statement of Rotained Earning For the Month Ended January 31 Balance, January Dividends Balance January 31 J.GIPI's Income tax rate is 30%. Accume depreciation for tax is the same amount as depreciation for financial res book Print General General Statement of Income Requirement Journal Trial Balance Retained Balance Sheet Ledger Statement Earnings Use the dropdowns to select the appropriate accounts to be reported on the balance sheet. However, you will need to the amount for Acmunts Receivable (net of Allowance for Doubtful Accounts), Buildings and Equipment (net of Accum Depreciation), Common Stock, and Retained Earnings. (Round your final anawers to the nearest whole dollar amount Show References GRID IRON PREP INCORPORATED Balance sheet As of January 31 alment of Red Eaming
