Print by: Erica Burkett AC201:AC201DLS2A2020 Principles Financial Accounting / AC201 - Extra Credit Opportunity 2 (Chapter 5 Comprehensive Problem) *Comprehensive Accounting Cycle Review 5-1 (Part Level Submission) On December 1, 2017, Devine Distributing Company had the following account balances Cash Accounts Receivable Inventory Supplies Equipment Debit $7,100 5,200 12,400 1,500 23,800 $50,000 Accumulated Depreciation-Equipment Accounts Payable Salaries and Wages Payable Common Stock Retained Earnings Credit $2,380 4,600 1,200 15,500 26,320 $50,000 During December, the company completed the following summary transactions. Dec. Paid $1,800 for salaries due employees, of which $600 is for December and $1,200 is for 6 November salaries payable. 8 Received $1,800 cash from customers in payment of account (no discount allowed). 10 Sold merchandise for cash $6,500. The cost of the merchandise sold was $3,900. 13 Purchased merchandise on account from Hecht Co. $9,400, terms 2/10, n/30. 15 Purchased supplies for cash $1,800. 18 Sold merchandise on account $12,500, terms 3710, n/30. The cost of the merchandise sold was $8,100. 20 Paid salaries $1,500. 23 Paid Hecht Co. in full, less discount. 27 Received collections in full, less discounts, from customers billed on December 18. *(a) Journalize the December transactions using a perpetual inventory system. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation Dec. 6 Debit Credit 600 Salarics & Wages Expense Salaries & Wages Payable CASH Cash 120 1800 Dec 8