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Question 1 The following transactions of Denver Pharmacies occurred during 2011 and 2012: 2011 9 Jan 29 Jan 5 Feb 28 Feb 9 Jul
Question 1 The following transactions of Denver Pharmacies occurred during 2011 and 2012: 2011 9 Jan 29 Jan 5 Feb 28 Feb 9 Jul 31 Aug 31 Dec 31 Dec Purchased computer equipment at a cost of RM9,000, singing a six month 6% note payable for that amount. Recorded the week's sale of RM64,000, three-fourth on credit and one-fourth for cash. Sales amounts are subject to a 6% state sales tax. Sent the last week's sales tax to the state. Borrowed RM204,000 on a four year, 10% note payable that calls for RM51,000 annual installment payment plus interest. Record the current and long term portions of the note payable in two separate accounts. Paid the six month, 6% note, plus interest, at maturity. Purchased inventory for RM12,000, signing a six month, 9% note payable. Accrued warranty expense, which is estimated at 2% of sales of RM603,000. Accrued interest on all outstanding note payable. Make a separate interest accrual for each note payable. 2012 28 Feb 29 Feb Paid the first installment and interest for one year on the four year note payable. Paid off the 9% note plus interest at maturity. Required: Journalize the transactions in Denver's general journal. Explanations are not required.
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