Prepare the Journal entries below

1. use LIFO & periodic inventory

2. Credit sales discounts AND purchase discounts use the net method

3. Straight line depreciation

April 16 Bought 2,000 units of inventory at $150 from Target with cash

April 29 Returned 100 units of inventory to Target for cash

October 1 Jill began subleasing extra space to Anthony. Anthony paid for $50,000 for six months rent in advance.

October 5 Purchased equipment for in exchange for a $30,000 non-interest bearing note due in one year. The equipment has an estimated residual value of $2,000 and a useful life of 8 years. Note: Assume an effective interest rate of 8 percent.

October 10 one year of insurance in advance purchased for $12,000

October 16 Inventory sold to Abby for $150,000 on credit

October 31 Abby paid half of the amount owed

Dec 2 Repurchased 1,000 shares of stock for $150/share

Dec 16 Declared a dividend of $3/share. The dividend will be distributed to shareholders on Feb. 15, 2018

Dec 16 Abby becomes bankrupt so Jill writes off balance owed by Abby as uncollectible