Problem 2-11 (Algo) Cash versus accrual accounting [LO2-9] Selected balance sheet information for the Wolf Company at November 30, and December 31, 2024, is presented below. The company uses the perpetual inventory system and all sales to customers are made on credit. Accounts receivable Prepaid insurance Inventory Accounts payable Salaries payable November 30 Debits 10,500 5,500 7,500 Credits 12,500 5,500 December 31 Debits 3,500 8,000 6,500 Credits 15,500 3,500 The following cash flow information also is available: a. Cash collected from credit customers, $85,000 b. Cash paid for insurance, $5,500. c. Cash paid to suppliers of inventory. $65,000 (the entire accounts payable amounts relate to inventory purchases). d. Cash paid to employees for salaries, $10,500. Required: 1. Determine the following for the month of December: 2. Prepare summary journal entries to record the month's sales and cost of those sales

Problem 2-11 (Algo) Cash versus accrual accounting [LO2-9] Selected balance sheet information for the Wolf Company at November 30, and December 31, 2024, is presented below. The company uses the perpetual inventory system and all sales to customers are made on credit The following cash flow information also is available: a. Cash collected from credit customers, $85,000 b Cash paid for insurance, $5,500 c. Cash paid to suppliers of inventory. $65.000 (the emtire accounts payable amounts relate to inventory purchases) d Cash paid to employees for salanes, $10,500. Required: 1. Determine the following for the month of December 2. Prepare summary journal entres to record the month's sales and cost of those sales Complete this question by entering your answers in the tabs below. Determine the following for the month of December: Pepare summary journal entries to record the month's sales and cost of those sales. Note: If no entry is required for a event, select "No journal entry required" in the first account field. Journal entry worksheet Record the sales for the month of December. Note: Enter debits before credits. Journal entry worksheet Record the cost of sales for the month of December. Note: Enter debits before credits