received a check in the amount of $23,569 from swanson brothers construction in full payment of invoice no. 1120 dated november 26 in the amount of $24,050

December 3 3 3 Received a check in the amount of 50 from Swanson Brothers Construction in full payment of invoice No. 1120 dated November 26 in the amount of $24,050. Sold sewer and drainage pipe to Beverly's Building Products on account, invoice No. 1201 for $13,150. Purchased copper tubing and fittings from Edward's Plumbing Supplies Inc. on account, purchase order No. 315 for $24,320, terms n/60. Issued check No. 1580 for $26,400 to Oxenford Copperworks in settlement of the balance owed on purchase order No. 280. A court notice indicates that Iwanagan Plumbing and Heating is bankrupt and payment of its account improbable; the president orders the account to be written off as a bad debt (invoice No. 780). 3 3 3 4 sold bathroom fixtures to Bilder Construction Company on account, invoice No.1202 for $44,900. Received a check in the amount of $49,294 from The Potts Company in full payment of invoice No. 1128 dated November 27 for $50,300. Sold plumbing supplies and plastic pipe to Coconino Contractors, Inc. on account, invoice No. 1203 for $10,300. Issued check No. 1581 for $810 to Standard Oil Co. in payment of gas, oil, and truck repair from Tierney's Standard Service. Issued check No. 1582 for $9,900 to Khatan Steel Corp. in full settlement of purchase order No. 312 for $10,000. 5 5 Issued check No. 1583 for $10,486 to Phoenix Plastics in full payment of Phoenix's invoice dated November 28 in the amount of $10,700, for purchase order No. 313, terms 2/10, n/30. 5 6 6 6 Received a check in the amount of $72,863 from Rankin Plumbing Corp. in full payment of invoice No. 1129 dated November 28 for $74,350. Sold cast pipe to Trudy's Plumbing on account, invoice No. 1204 for $29,300. Received a check in the amount of $27.800 from Coconino Contractors, Inc. in full payment of invoice No. 1091 dated October 20. Purchased bathroom fixtures from Phoenix Plastics, on account, purchase order No. 316 for $52,700 terms 1/10, n/30. Received a check in the amount of $29,000 from Boecker Builders in partial payment of balance outstanding covering invoice Nos. 1050 and 1071. Issued check No. 1584 for $600 to Scooter Gordon for lettering and sign painting on some delivery trucks. 7 INSTRUCTIONS 1. Make the entries in the appropriate journals for December 26 through December 31. 2. Post any amounts to be posted as individual amounts from the journals to the general ledger and any amounts to be posted to the subsidiary ledger accounts. (If the normal practice of daily posting were followed, the postings would be in chronological order; proper date sequence for this practice set is not necessary.) 3. Foot and cross-foot the columnar journals and complete the month-end postings of all books of original entry. 4. Prepare a trial balance by entering the account balances from the general ledger in the first two columns of the ten-column work sheet (list all accounts, including those with zero balances). 900 Issued check No. 1585 for $6,750 to Phoenix Pastics, in ment of Phoenix's invoice dated November 12 in the amount of $6.750, our purchase order No. 299. 10 Issued check No. 1586 for $37.719 to Smith Pipe Company in full payment of their invoice dated November 28, terms 1/15, n/co, our purchase order No. 314. 10 Received a check in the amount of $15,100 from Trudy's Plumbing in full settlement of invoice No. 1106 dated November 7. 10 Sold pipe, fixtures, and accessories to Trudy's Plumbing on account, invoice No. 1205 for $33,850. 11 The payroll summary for the biweekly pay period ended Friday, December 7 contained the following information: Delivery and warehouse wages...... $4,060 FICA taxes withheld...... 350 Federal income taxes withheld ..... State income taxes withheld .. 190 Net pay ............. $3,420 Employer's payroll taxes: FICA Lax. $ 350 Federal unemployment tax..... State unemployment tax.... Issued check No. 1587 for the amount of the net pay and deposited it in the payroll bank account. Individual payroll checks were then prepared for distribution to the biweekly employees on Tuesday, December 11. 11 Sold plumbing supplies and copper tubing to The Potts Company on account, invoice No. 1206 for $31,450 11 Received a check in the amount of $33.920 from Boecker Builders in full payment of invoice No. 1071. 11 Cash sales to date totaled $12,292. 12 Received a check in the amount of $28,714 from Trudy's Plumbing in payment of invoice No. 1204. 12 Sold plumbing fixtures and supplies to Boecker Builders, on account, invoice No. 1207 for $24,730. 13 The Potts Company returned defective copper tubing that it purchased on December 10. A credit memo in the amount of $4,680 is issued relative to invoice No. 1206. The cop- per tubing had a cost of $3,550. 13 The defective copper tubing is returned to Edward's Plumbing Supplies, Inc. along with a debit memo in the amount of $3,550 in reduction of purchase order No. 315. 13 Issued check No. 1588 for $399 in payment of November telephone bill to Northern Illinois Communications. 14 Issued check No. 1589 in the amount of $11,360 in payment of federal withholding taxes, $9,573, and FICA taxes, $1,787, payable on November salaries and wages; the check is remitted to the Winnebago County Bank as the depository. 14 Issued check No. 1590 for $52,173 to Phoenix Plastics, Inc. in payment of purchase order No. 316. The president inform you that Bilder Construction Company agrees to cover the de account receivable curice No. 1120) to ano note due six math Purchased plumbing materials from Smith Hipe Company on account, purchase order No. 317 for $60.000 terms 1/15, O. 18 Sald drain tile plastic pipe, and copper tubing to A B Hardware on account, invoice No. 1208 for $7.920, 18 Sald fixtures and materials to Coconino Contractors, Inc. on account, invoice No. 1209 for $42,780 19 Anime in the amount of $1,021 was received from S. White Trucking Company for freight on purchase order No. 317 and paid by issuing check No. 1591. 19 Received a check in the amount of $53,173 from Trudy's Plumbing in payment of invoice No. 1205. 20 Purchased office supplies from the Pen & Pad, issuing check No. 1582 in the amount of $1,380. (Note: Debit asset account). 20 Purchased a new Faith computer for $6,100 from Business Basics, Inc., purchase ander No. 318. prving $600 down through Check No. 1593 with the balance due in thirty days 30). The computer has an estimated life of five years with a salvage value of $1,300. Use subsidiary account No. 16. Journalize the entire entry in the cash disbursements journal. 21 Purchased bathroom and kitchen fixtures from Phoenix Plastics, on account, purchase order No. 319 for $48,330, terms 1/10, n/30. 21 Received a bill from DeKalb Transport for $2,300 for freight costs incurred during the last 30 days, terms n/30. 24 The payroll summary for the biweekly pay period ended Friday, December 21, con- tained the following information: Delivery and warehouse wages... $5,770 FICA taxes withheld .......... 415 Federal income taxes withheld .... 1,067 State income taxes withheld .... 225 Net pay........... $4.063 Employer's payroll taxes: FICA tax................... $ 415 Federal unemployment tax....... State unemployment fax........ Issued check No. 1594 for the amount of the net pay and deposited it in the payroll bank account. Individual payroll checks were then prepared for distribution to the biweekly employees on Monday, December 24. NOTE: Transactions up to this point have been recorded. At this point you became con- troller and are responsible for recording all further transactions. 26 The board of directors voted to purchase 1,000 shares of its own stock from stockholder Dionne Schivone at $83 per share and issued check No. 1595 in payment. Stock repur- chases are recorded at cost. Rockford is purchasing these shares because Ms. Schivone had been a valuable employee. 26 The ward of directors declared a $1.50 per-share cash dividend payable on January 14 to stockholders of record on December 26 Cafter purchase of stock) 26 The president inform you that Beverly's Building Products agrees to convert the $14,000 Overdue accounts receivable invoice No. 1119) balance to a note dhe six months from today. 27 A half-acre parcel of land adjacent to the building is acquired in exchange for 600 shares of unissued common stock. The land has a fair value of $54,000 and will be used imme. diately as an outside storage lot and parking lot. 27 An invoice in the amount of $2.650 is received from Wayne McManus, lawyer, for legal services involved in the acquisition of the adjacent parcel of land; check No. 1596 is issued in payment. 27 Sold pipe and plumbing materials to Boecker Builders on account, invoice No. 1210 for $49,040. 28 Issued check No. 1597 in the amount of $500 to the Northern Star for advertisement un in the home building supplement of December 13. 28 Issued check No. 1598 in the amount of $925 to Standard Oil Co. in payment of gas, oil, and truck repairs from Standard Oil Co. (use Freight-out). 28 Purchased copper and cast iron pipe from Oxenford Copperworks on account, purchase order No. 320 for $68,940, terms 1/10, 1/30. 28 Check No. 1599 for $15,000 is issued to the bond sinking fund trustee, Chicago Trust Co., for deposit in the sinking fund. (Use Other Assets). 28 Sold plumbing supplies to Swanson Brothers Construction on account, invoice No. 1211 for $24,650. 31 Received a check for $24,730 from Boecker Builders in payment of invoice No. 1207. 31 Issued check No. 1600 for $50,292 to Smith Pipe Company in payment of purchase order No. 317. 31 The custodian of the petty cash fund submits the following receipts for reimbursement and reports a cash-on-hand count of $8. Postage stamps used ... $68 United Parcel (freight-out) ................ C.O.D. postage (freight costs) .................. 51 23 Check No. 1601 is issued and cashed to reimburse the fund. 31 Sold an electric truck-lifi to Leila Stierman Co. for $2,500 cash. The original cost was $7,900 with salvage value of $900, a life of 10 years, and accumulated depreciation recorded through 12/31/17 of $4,550. The straight-line method is used. (Note: the company follows the practice of recording a half year's depreciation in the year of acquisition and a half year in the year of disposal.) First, bring the depreciation expense up to date in the general journal. Then journalize the entire entry for the sale in the cash receipts journal. 31 Sold bathroom fixtures and plumbing supplies to Trudy's Plumbing on account, invoice No. 1212 for $55,770. for some time the petty cash fund has been aller than required for month e r e the fand is increased by 575 by can check No. 1602 and placing the money in the perty chand The p all summary for the month paid employees is suited so that December che can be distributed before the years the details are as follows: Ontle and ac t ive salaries $45.900 F lame as withheld S cenes withheld FCA U held. 7.686 1.517 3,120 Nel pay... Pundcheck No. 1603 for the amount of the puy and deposited it in the payroll bank a t dual p oll checks were prepared for distribution to all monthly employees by the end of the day Employer's payroll tas RICA Call office and administrative)....... Federal unemployment tax... State unemployment tak $3,320 31 Cash sales since December 14 total $39,900 INSTRUCTIONS 1. Make the entries in the appropriate journals for December 26 through December 31. 2 Post any amounts to be posted as individual amounts from the journals to the sceneral ledger and any amounts to be posted to the subsidiary ledger accounts. If the normal practice of daily posting were followed, the postings would be in chronological order; proper date sequence for this practice set is not necessary.) 3. Foot and cross-foot the columnar journals and complete the month-end postings of all books of original entry. 4. Prepare a trial balance by entering the account balances from the general leder in the first two columns of the ten-column work sheet (list all accounts, including those with zero balances). 5. From the following information prepare adjusting entries in the general journal and enter them in the "adjustments" columns of the work sheet and cross-reference the amounts using the related alphabetic characters (round all calculations to the nearest dollar). a. The annual provision for doubtful accounts receivable is recorded in an amount equal to 5% of gross accounts receivable less the ending Allowance account balance. (This entry should be entered below the middle of General Journal page 10.) b. An inventory count of the office supplies revealed $830 of supplies on hand at year- end. c. The insurance premium outstanding on January 1, 2018, covers the period January 1 through August 31, 2018. The insurance premium of $7.800 recorded in August covers the period of September 1, 2018 through August 31, 2019. Rockford estimates that 75% of the premiums are attributable to general activities and 25% to selling activities. (Use Miscellaneous Expense). December 3 3 3 Received a check in the amount of 50 from Swanson Brothers Construction in full payment of invoice No. 1120 dated November 26 in the amount of $24,050. Sold sewer and drainage pipe to Beverly's Building Products on account, invoice No. 1201 for $13,150. Purchased copper tubing and fittings from Edward's Plumbing Supplies Inc. on account, purchase order No. 315 for $24,320, terms n/60. Issued check No. 1580 for $26,400 to Oxenford Copperworks in settlement of the balance owed on purchase order No. 280. A court notice indicates that Iwanagan Plumbing and Heating is bankrupt and payment of its account improbable; the president orders the account to be written off as a bad debt (invoice No. 780). 3 3 3 4 sold bathroom fixtures to Bilder Construction Company on account, invoice No.1202 for $44,900. Received a check in the amount of $49,294 from The Potts Company in full payment of invoice No. 1128 dated November 27 for $50,300. Sold plumbing supplies and plastic pipe to Coconino Contractors, Inc. on account, invoice No. 1203 for $10,300. Issued check No. 1581 for $810 to Standard Oil Co. in payment of gas, oil, and truck repair from Tierney's Standard Service. Issued check No. 1582 for $9,900 to Khatan Steel Corp. in full settlement of purchase order No. 312 for $10,000. 5 5 Issued check No. 1583 for $10,486 to Phoenix Plastics in full payment of Phoenix's invoice dated November 28 in the amount of $10,700, for purchase order No. 313, terms 2/10, n/30. 5 6 6 6 Received a check in the amount of $72,863 from Rankin Plumbing Corp. in full payment of invoice No. 1129 dated November 28 for $74,350. Sold cast pipe to Trudy's Plumbing on account, invoice No. 1204 for $29,300. Received a check in the amount of $27.800 from Coconino Contractors, Inc. in full payment of invoice No. 1091 dated October 20. Purchased bathroom fixtures from Phoenix Plastics, on account, purchase order No. 316 for $52,700 terms 1/10, n/30. Received a check in the amount of $29,000 from Boecker Builders in partial payment of balance outstanding covering invoice Nos. 1050 and 1071. Issued check No. 1584 for $600 to Scooter Gordon for lettering and sign painting on some delivery trucks. 7 INSTRUCTIONS 1. Make the entries in the appropriate journals for December 26 through December 31. 2. Post any amounts to be posted as individual amounts from the journals to the general ledger and any amounts to be posted to the subsidiary ledger accounts. (If the normal practice of daily posting were followed, the postings would be in chronological order; proper date sequence for this practice set is not necessary.) 3. Foot and cross-foot the columnar journals and complete the month-end postings of all books of original entry. 4. Prepare a trial balance by entering the account balances from the general ledger in the first two columns of the ten-column work sheet (list all accounts, including those with zero balances). 900 Issued check No. 1585 for $6,750 to Phoenix Pastics, in ment of Phoenix's invoice dated November 12 in the amount of $6.750, our purchase order No. 299. 10 Issued check No. 1586 for $37.719 to Smith Pipe Company in full payment of their invoice dated November 28, terms 1/15, n/co, our purchase order No. 314. 10 Received a check in the amount of $15,100 from Trudy's Plumbing in full settlement of invoice No. 1106 dated November 7. 10 Sold pipe, fixtures, and accessories to Trudy's Plumbing on account, invoice No. 1205 for $33,850. 11 The payroll summary for the biweekly pay period ended Friday, December 7 contained the following information: Delivery and warehouse wages...... $4,060 FICA taxes withheld...... 350 Federal income taxes withheld ..... State income taxes withheld .. 190 Net pay ............. $3,420 Employer's payroll taxes: FICA Lax. $ 350 Federal unemployment tax..... State unemployment tax.... Issued check No. 1587 for the amount of the net pay and deposited it in the payroll bank account. Individual payroll checks were then prepared for distribution to the biweekly employees on Tuesday, December 11. 11 Sold plumbing supplies and copper tubing to The Potts Company on account, invoice No. 1206 for $31,450 11 Received a check in the amount of $33.920 from Boecker Builders in full payment of invoice No. 1071. 11 Cash sales to date totaled $12,292. 12 Received a check in the amount of $28,714 from Trudy's Plumbing in payment of invoice No. 1204. 12 Sold plumbing fixtures and supplies to Boecker Builders, on account, invoice No. 1207 for $24,730. 13 The Potts Company returned defective copper tubing that it purchased on December 10. A credit memo in the amount of $4,680 is issued relative to invoice No. 1206. The cop- per tubing had a cost of $3,550. 13 The defective copper tubing is returned to Edward's Plumbing Supplies, Inc. along with a debit memo in the amount of $3,550 in reduction of purchase order No. 315. 13 Issued check No. 1588 for $399 in payment of November telephone bill to Northern Illinois Communications. 14 Issued check No. 1589 in the amount of $11,360 in payment of federal withholding taxes, $9,573, and FICA taxes, $1,787, payable on November salaries and wages; the check is remitted to the Winnebago County Bank as the depository. 14 Issued check No. 1590 for $52,173 to Phoenix Plastics, Inc. in payment of purchase order No. 316. The president inform you that Bilder Construction Company agrees to cover the de account receivable curice No. 1120) to ano note due six math Purchased plumbing materials from Smith Hipe Company on account, purchase order No. 317 for $60.000 terms 1/15, O. 18 Sald drain tile plastic pipe, and copper tubing to A B Hardware on account, invoice No. 1208 for $7.920, 18 Sald fixtures and materials to Coconino Contractors, Inc. on account, invoice No. 1209 for $42,780 19 Anime in the amount of $1,021 was received from S. White Trucking Company for freight on purchase order No. 317 and paid by issuing check No. 1591. 19 Received a check in the amount of $53,173 from Trudy's Plumbing in payment of invoice No. 1205. 20 Purchased office supplies from the Pen & Pad, issuing check No. 1582 in the amount of $1,380. (Note: Debit asset account). 20 Purchased a new Faith computer for $6,100 from Business Basics, Inc., purchase ander No. 318. prving $600 down through Check No. 1593 with the balance due in thirty days 30). The computer has an estimated life of five years with a salvage value of $1,300. Use subsidiary account No. 16. Journalize the entire entry in the cash disbursements journal. 21 Purchased bathroom and kitchen fixtures from Phoenix Plastics, on account, purchase order No. 319 for $48,330, terms 1/10, n/30. 21 Received a bill from DeKalb Transport for $2,300 for freight costs incurred during the last 30 days, terms n/30. 24 The payroll summary for the biweekly pay period ended Friday, December 21, con- tained the following information: Delivery and warehouse wages... $5,770 FICA taxes withheld .......... 415 Federal income taxes withheld .... 1,067 State income taxes withheld .... 225 Net pay........... $4.063 Employer's payroll taxes: FICA tax................... $ 415 Federal unemployment tax....... State unemployment fax........ Issued check No. 1594 for the amount of the net pay and deposited it in the payroll bank account. Individual payroll checks were then prepared for distribution to the biweekly employees on Monday, December 24. NOTE: Transactions up to this point have been recorded. At this point you became con- troller and are responsible for recording all further transactions. 26 The board of directors voted to purchase 1,000 shares of its own stock from stockholder Dionne Schivone at $83 per share and issued check No. 1595 in payment. Stock repur- chases are recorded at cost. Rockford is purchasing these shares because Ms. Schivone had been a valuable employee. 26 The ward of directors declared a $1.50 per-share cash dividend payable on January 14 to stockholders of record on December 26 Cafter purchase of stock) 26 The president inform you that Beverly's Building Products agrees to convert the $14,000 Overdue accounts receivable invoice No. 1119) balance to a note dhe six months from today. 27 A half-acre parcel of land adjacent to the building is acquired in exchange for 600 shares of unissued common stock. The land has a fair value of $54,000 and will be used imme. diately as an outside storage lot and parking lot. 27 An invoice in the amount of $2.650 is received from Wayne McManus, lawyer, for legal services involved in the acquisition of the adjacent parcel of land; check No. 1596 is issued in payment. 27 Sold pipe and plumbing materials to Boecker Builders on account, invoice No. 1210 for $49,040. 28 Issued check No. 1597 in the amount of $500 to the Northern Star for advertisement un in the home building supplement of December 13. 28 Issued check No. 1598 in the amount of $925 to Standard Oil Co. in payment of gas, oil, and truck repairs from Standard Oil Co. (use Freight-out). 28 Purchased copper and cast iron pipe from Oxenford Copperworks on account, purchase order No. 320 for $68,940, terms 1/10, 1/30. 28 Check No. 1599 for $15,000 is issued to the bond sinking fund trustee, Chicago Trust Co., for deposit in the sinking fund. (Use Other Assets). 28 Sold plumbing supplies to Swanson Brothers Construction on account, invoice No. 1211 for $24,650. 31 Received a check for $24,730 from Boecker Builders in payment of invoice No. 1207. 31 Issued check No. 1600 for $50,292 to Smith Pipe Company in payment of purchase order No. 317. 31 The custodian of the petty cash fund submits the following receipts for reimbursement and reports a cash-on-hand count of $8. Postage stamps used ... $68 United Parcel (freight-out) ................ C.O.D. postage (freight costs) .................. 51 23 Check No. 1601 is issued and cashed to reimburse the fund. 31 Sold an electric truck-lifi to Leila Stierman Co. for $2,500 cash. The original cost was $7,900 with salvage value of $900, a life of 10 years, and accumulated depreciation recorded through 12/31/17 of $4,550. The straight-line method is used. (Note: the company follows the practice of recording a half year's depreciation in the year of acquisition and a half year in the year of disposal.) First, bring the depreciation expense up to date in the general journal. Then journalize the entire entry for the sale in the cash receipts journal. 31 Sold bathroom fixtures and plumbing supplies to Trudy's Plumbing on account, invoice No. 1212 for $55,770. for some time the petty cash fund has been aller than required for month e r e the fand is increased by 575 by can check No. 1602 and placing the money in the perty chand The p all summary for the month paid employees is suited so that December che can be distributed before the years the details are as follows: Ontle and ac t ive salaries $45.900 F lame as withheld S cenes withheld FCA U held. 7.686 1.517 3,120 Nel pay... Pundcheck No. 1603 for the amount of the puy and deposited it in the payroll bank a t dual p oll checks were prepared for distribution to all monthly employees by the end of the day Employer's payroll tas RICA Call office and administrative)....... Federal unemployment tax... State unemployment tak $3,320 31 Cash sales since December 14 total $39,900 INSTRUCTIONS 1. Make the entries in the appropriate journals for December 26 through December 31. 2 Post any amounts to be posted as individual amounts from the journals to the sceneral ledger and any amounts to be posted to the subsidiary ledger accounts. If the normal practice of daily posting were followed, the postings would be in chronological order; proper date sequence for this practice set is not necessary.) 3. Foot and cross-foot the columnar journals and complete the month-end postings of all books of original entry. 4. Prepare a trial balance by entering the account balances from the general leder in the first two columns of the ten-column work sheet (list all accounts, including those with zero balances). 5. From the following information prepare adjusting entries in the general journal and enter them in the "adjustments" columns of the work sheet and cross-reference the amounts using the related alphabetic characters (round all calculations to the nearest dollar). a. The annual provision for doubtful accounts receivable is recorded in an amount equal to 5% of gross accounts receivable less the ending Allowance account balance. (This entry should be entered below the middle of General Journal page 10.) b. An inventory count of the office supplies revealed $830 of supplies on hand at year- end. c. The insurance premium outstanding on January 1, 2018, covers the period January 1 through August 31, 2018. The insurance premium of $7.800 recorded in August covers the period of September 1, 2018 through August 31, 2019. Rockford estimates that 75% of the premiums are attributable to general activities and 25% to selling activities. (Use Miscellaneous Expense)