(PREPARE JOURNAL ENTRIES FOR THE FOLLOWING TRANSACTIONS AND THE ADJUSTING ENTRIES)

a

make journal entries of the following transactions. (no all need journal entries)

Date January 3 Employees are paid monthly on the first business day of the for work done in the previous month. (Ignore payroll taxes assignment.) Accounting wrote and distributed the paychecks for this GBI received $60,000 in safety product inventory and $40,000 raw materials from Dallas Bike Basics. This inventory was ordered on December 28. The payment terms for the invoice total of $100,000 are net 10 days. GBI paid the CWX shipping company $1500 with a manual check for the shipment of the goods base on the weight. The bill of lading showed that the safety product inventory arrived in 5 boxes with an average weight of 40 lbs per box. and the raw materials came on a pallet and weighed 300 lbs 3 Windy City Bikes in Chicago, IL ordered $22,500 of bicycle accessories from GBI. The cost of the accessories (to GBI) $15,000. The goods were shipped to Windy City immediately via UPS using Windy City's UPS shipping number. The terms of payment for Windy City's order are 3/10 net 30 days 4 January 7 GBI received payment of $24,000 from Northwest Bikes in Seattle WA for the balance due on their account GBI's account on the utility company website is updated at the end of each month when the meter is read. GBI uses this data to accrue the expenses at the end of each month (in this case on December 31) This allows recognition of the expense in the correct period Expenses are usually accrued at the end of th month as Accrued Expenses". GBI paid the December utility bill via the company's automatic electronic bill pay program 5 January 10 GBI's advertisement in the English language edition of Italian Cycling Journal was published today. This ad was prepaid at the end of August for six months of advertising. September through February, (Four months of advertising have already been used) The office manager in San Diego ordered $380 of office (operating) supplies from Staples. While on the way back from a delivery, one of the warehouse staff picked up the Staples order and brought it to GBI's office. GBI has an account with Staples and payment terms are net 10. Operating supplies expense is figured at the end of the month determined by the amount of supplies used during the month GBI ordered $75000 in raw materials from Space Bik in Houston, TX. Terms of payment to Space Bikes are net 30 6 7 January 11 8