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Question 2 The following particular transactions of Sequential Data occurred during 2018 and 2019. Sequential Data had a December 31 year end. 2018 January 02:
Question 2 The following particular transactions of Sequential Data occurred during 2018 and 2019. Sequential Data had a December 31 year end. 2018 January 02: Purchased equipment at a cost of $ 400,000 plus 5% GST, signing a 4%, 180-day note payable. January 31: Recorded the month's sales of $ 1,600,000, which excludes PST and GST; 75% was on credit, and 25% was cash. Sales amounts were subject to 7% PST and 5% GST, and they were not included in the $ 1,600,000 amount. February 04: Paid January's PST and GST to the appropriate authorities. March 01: Borrowed $4,000,000 on a 5% note payable that called for annual instalment payments of $ 400,000. July 02: Paid the 6-month, 4% note at maturity. October 31: Purchased inventory for $ 200,000 plus GST, signing a 6-month, 3% note payable. December 31: Accrued warranty expense estimated at 6% of annual sales, which totalled $ 9,000,000. December 31: Accrued interest on all outstanding notes payable. Made a separate interest accrual entry for each note payable. 2019 March 01: Paid the first instalment and interest for 1 year on the long-term note payable. April 30: Paid off the 3% note plus interest at maturity. Required: Prepare journal entries in Sequential Data's general journal to record the above transactions. Use days in any interest accrual calculations, not months. Round all amounts to the nearest dollar. Explanations are not required. DATE 2018 General Journal ACCOUNT TITLES AND POST. EXPLANATIONS REF. DEBIT CREDIT DATE 2018 General Journal ACCOUNT TITLES AND EXPLANATIONS POST. REF. DEBIT CREDIT 2019
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