problem 3:)

Evergreen Company sells lawn and garden products to wholesalers. The company's fiscal year-end is December 31. During 2021, the following transactions related to receivables occurred:

Feb. 28 Sold merchandise to Lennox, Inc., for $12,000 and accepted a 8%, 7-month note. 8% is an appropriate rate for this type of note.

Mar. 31 Sold merchandise to Maddox Co. that had a fair value of $7,636, and accepted a noninterest-bearing note for which $8,300 payment is due on March 31, 2022.

Apr. 3 Sold merchandise to Carr Co. for $7,300 with terms 3/10, n/30. Evergreen uses the grossmethod to account for cash discounts.

11 Collected the entire amount due from Carr Co. 17 A customer returned merchandise costing $3,500. Evergreen reduced the customer's receivable balance by $5,300, the sales price of the merchandise. Sales returns are recorded by the company as they occur. 30 Transferred receivables of $53,000 to a factor without recourse. The factor charged Evergreen a 2% finance charge on the receivables transferred. The sale criteria are met. June 30 Discounted the Lennox, Inc., note at the bank. The bank's discount rate is 10%. The note was discounted without recourse.

Sep. 30 Lennox, Inc., paid the note amount plus interest to the bank.

Required:

1. the necessary journal entries for Evergreen for each of the above dates. For transactions involving the sale of merchandise, ignore the entry for the cost of goods sold.

2. any necessary adjusting entries at December 31, 2021. Adjusting entries are only recorded at year-end.

3. schedule showing the effect of the journal entries on 2021 income before taxes.

required 1 transaction log:

1: Sold merchandise to Lennox, Inc. for $12,000 and accepted a 8%, 7-month note. 8% is an appropriate rate for this type of note.

2: Sold merchandise to Maddox Co. and accepted a noninterest-bearing note with a discount rate of 8%. The $8,300 payment is due on March 31, 2021.

3: Sold merchandise to Carr Co. for $7,300 with terms 3/10, n/30. Evergreen uses the gross method to account for cash discounts.

4:Collected the entire amount due from Carr Co.

5: Evergreen reduced the customer's receivable balance by $5,300, the sales price of the merchandise. Sales returns are recorded by the company as they occur.

6: A customer returned merchandise costing $3,500.

7: Transferred receivables of $53,000 to a factor without recourse. The factor charged Evergreen a 2% finance charge on the receivables transferred. The sale criteria are met.

8:Record the accrual of four months of interest on the note receivable issued on February 28.

9:Discounted the Lennox, Inc., note at the bank. The bank's discount rate is 10%. The note was discounted without recourse.

10:Lennox, Inc., paid the note amount plus interest to the bank.

required 2 transaction log:

1: Record accrued interest at December 31, 2021.

required 3 transaction log:

date increase(decrease)

February 28

March 31

April 3

April 11

April 17

April 17

April 30

June 30

June 30

December 31

Total effect$

Date

all Metro by T-Mobile - 12:56 AM A ezto.mheducation.com - Private Evergreen Company sells lawn and garden products to wholesalers. The company's fiscal year-end is December 31. During 2021, the following transactions related to receivables occurred: Feb. " Sold merchandise to Lennox, Inc., for $12,000 and accepted a 8%, 7-month note. 8% is an appropriate rate for this type of note. Mar. 31 Sold merchandise to Maddox Co. that had a fair value of $7,636, and accepted a noninterest-bearing note for which $8,300 payment is due on March 31, 2022. AP. 3 Sold merchandise to Carr Co. for $7,300 with terms 3/10. n/30. Evergreen uses the gross method to account for cash discounts. " Collected the entire amount due from Carr Co. "A customer returned merchandise costing $3,500. Evergreen reduced the customer's receivable balance by $5,300, the sales price of the merchandise. Sales returns are recorded by the company as they occur. 3 Transferred receivables of $53,000 to a factor without recourse. The factor charged Evergreen a 2% finance charge on the receivables transferred. The sale criteria are met. June 3 Discounted the Lennox, Inc., note at the bank. The bank's discount rate is 10%. The note was discounted without recourse. Sep. Lennox, Inc., paid the note amount plus interest to the bank. Required: 1. Prepare the necessary journal entries for Evergreen for each of the above dates. For transactions involving the sale of merchandise, ignore the entry for the cost of goods sold. 2. Prepare any necessary adjusting entries at December 31, 2021. Adjusting entries are only recorded at year-end. 3. Prepare a schedule showing the effect of the journal entries on 2021 income before taxes. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare the necessary journal entries for Evergreen for each of the above dates. For transactions involving the sale of merchandise, ignore the entry for the cost of goods sold. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Do not round intermediate calculations. Round your final answers to the nearest whole dollar.) Show less a View transaction list Journal entry worksheet 2 3 10 Sold merchandise to Lennox, Inc. for $12,000 and accepted a 8%, 7-month note. 816 is an appropriate rate for this type of note. Note: Enter debits before credits General Journal Dobill Credit February 28, 2021 Record entry Clear entry View general journalMetro by T-Mobile 12:57 AM 10+ A ezto.mheducation.com - Private The unadjusted trial balance of the Manufacturing Equitable at December 31, 2021, the end of its fiscal year, included the following account balances. Manufacturing's 2021 financial statements were issued on April 1, 2022. Accounts receivable 105.000 Accounts payable 50 500 12% notes. payable to bank 643.000 Mortgage note payable 1,405,000 Other information: a. The bank notes, issued August 1, 2021, are due on July 31, 2022, and pay interest at a rate of 12%, payable at maturity. b. The mortgage note is due on March 1, 2022. Interest at 11% has been paid up to December 31 (assume 11% is a realistic rate). Manufacturing intended at December 31, 2021, to refinance the note on its due date with a new 10-year mortgage note. In fact, on March 1, Manufacturing paid $385,000 in cash on the principal balance and refinanced the remaining $1,020,000. c. Included in the accounts receivable balance at December 31, 2021, were two subsidiary accounts that had been overpaid and had credit balances totaling $18.550. The accounts were of two major customers who were expected to order more merchandise from Manufacturing and apply the overpayments to those future purchases. d. On November 1, 2021, Manufacturing rented a portion of its factory to a tenant for $34,800 per year, payable in advance. The payment for the 12 months ended October 31, 2022, was received as required and was credited to rent revenue. Required: 1. Prepare any necessary adjusting journal entries at December 31, 2021, pertaining to each item of other information (a-d). 2. Prepare the current and long-term liability sections of the December 31, 2021, balance sheet. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare any necessary adjusting journal entries at December 31, 2021, pertaining to each item of other information (a-d). (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Show lessa View transaction list Journal entry worksheet 2 3 The bank notes, issued August 1, 2021, are due on July 31, 2022, and pay interest at a rate of 12%, payable at maturity. Hotre Enter debits before create Transaction General Journal Credit lisgord entry Clear mabry View panerai journal