Prepare the General Journal and All T$-$Accounts using the following information and list of Accounts. Dinah Soars, Biff Wellington and Duane Pipe are the stockholders of Sharpe, Incorporated. The Articles of Incorporation for the corporation authorized $500,000$ shares of $$2$ par common stock, and $100,000$ shares of $$30$ par, $4\%,$ preferred stock. As of January $1,2023,$ there were $24,000$ shares of common stock issued and outstanding and $5,000$ shares of preferred stock issued and outstanding.

Selected transactions completed by Sharpe Incorporated during the fiscal year$-$ending December $31,2023,$ are as follows:

Jan $1$ Issued $12,500$ shares of $$2$ par common stock at $$22,$ receiving cash.

Jan $1$ Issued $5,800$ shares of $$30$ par, $4\%,$ preferred stock at $$70$ for cash.

Feb $1$ Purchased equipment for $$195,000,$ paying $$15,000$ cash and financing the remainder with a $180-$day, $6\%$ note payable.

Mar $15$ Purchased land for $$352,000$ by issuing $20,000$ shares of common stock.

Mar $31$ Purchased a two$-$year insurance policy for $$36,600.$

May $1$ Purchased $1,750$ shares of the company$$s own common stock at $$22$ per share.

May $31$ Issued $$1,000,000$ of $8-$year, $7\%$ bonds with interest payable semiannually. The amount of cash received was $$926,896.$

July $30$ Paid the amount due on the note payable signed on February $1.$

Aug $1$ Sold $430$ shares of treasury common stock purchased on May $1$ for $$25$ per share.

Sept $15$ Declared a $2\%$ stock dividend on common stock to be distributed on September $30$ to stockholders of record on September $20.$ The market price per share on September $15$ is $$25$ per share.

Sept $30$ Distributed the stock dividend declared September $15.$

Oct $1$ Borrowed $$40,000$ from Second Bank by issuing an $7\%$ note. The note is to be repaid in quarterly payments of principal plus interest totaling $$1,860$ per quarter.

Oct $16$ Sold $370$ shares of treasury common stock purchased on May $1$ for $$18$ per share.

Nov $30$ Paid the semiannual interest and amortized the discount on the bonds issued on May $31.$

Dec $1$ Declared a cash dividend at the stated amount to preferred stockholders and $\mathrm{.}40$ per share to common stockholders payable on December $30$ to stockholder$$s of record on December $16.$

$($Hint: don$$t forget the shares distributed from the stock dividend$)$

Dec $30$ Paid the cash dividends declared on December $1.$

Dec $31$ Paid the first quarterly installment of the note issued on October $1.$

Dec $31$ Record revenue for the year of $$1,975,000,$ received $$500,000$ in cash, the remainder is on account.

Dec $31$ Record expenses for the year, paid in cash $($one compound entry$)$:

Rent $$170,000$

Utilities $13,200$

Salaries $760,000$

Advertising $140,000$

Medical insurance $32,000$

Commissions $63,000$

Legal and accounting $18,000$

Miscellaneous $8,400$

Adjusting Entries $($At December $31,2023)$

$(1)$ The employees$$ accrued vacation pay at the end of the year was $$11,880.$

$(2)$ Record depreciation on the equipment purchased on February $1,$ using the straight$-$line method. The equipment has an estimated $9-$year useful life and an estimated residual value of $$2,760.$

$(3)$ Record insurance expired on the policy purchased March $31.$

$(4)$ Record the adjusting entry for the interest accrued and the amortization of the premium on the bonds payable since the last interest payment. $($Round the amount to the nearest dollar$)$ Cash

Accounts Receivable

Prepaid Insurance

Land

Equipment

Accumulated Depreciation

Vacation Pay Payable

Interest Payable

Notes Payable

Common Dividends Payable

Preferred Dividends Payable

Bonds Payable

Bond Discount

Common Stock

PIC in Excess of Par $-$ Common Stock

Preferred Stock

PIC in Excess of Par $-$ Preferred Stock

PIC $-$ Treasury Stock

Stock Dividend Distributable

Retained Earnings

Treasury Stock

Fees Earned

Advertising Expense

Commissions Expense

Depreciation Expense

Insurance Expense

Legal & Accounting Expense

Medical Insurance Expense

Miscellaneous Expense

Rent Expense

Salary Expense

Utilities Expense

Vacation Pay Expense

Interest Expense