Record the following adjusting entries in general journal form as of December 31, 2020: 1. Supplies on hand at the end of the year: $700 2. Equipment shown on the 12/1 TB was purchased on 1/1/17, has a 8 year life, no salvage value and company uses double-declining balance method for its depreciation. 3. Included in the truck balance is a fully depreciated truck for $6,500 and a new truck valued at $50,000 which was purchased on 1/1/17. The new truck has a 9-year life, no salvage value and the company uses the sum-of-the-years digits for its depreciation method on this asset. 4. Don't forget to depreciate the new equipment! 5. The patent was purchased on 1/1/2013 for $100,000 and its useful life is 20 years. 6. $40,600 was paid on October 1, 2020 for six months rent. 7. On February 1, 2020, paid $38,500 for a 12-month insurance policy. 8. Declared dividends of $30,000 on December 31 9. The fair market value of the securities (classified as trading) is $17,000. 10.3% of Accounts Receivable is estimated to be uncollectible. Company uses the allowance method for estimating its uncollectible accounts. 11. Accrued salaries expense of $6,000 and recorded Payroll tax expense on account of $2300. 12. Had issued $300,000 of 6%, 10-year bond, dated 1/1/18 for $323,383 when the market rate was 5%. Interest is paid on June 30 and January 1 using the effective interest rate method. The June payment is included in the Dec. 1 TB.(Additional credit awarded if amortization table is included) 13. One month has passed since the issuance of restricted stock. 14. Interest on 30 days of note payable, dated 12/1/20 should be accrued. (Assume 360 days in a year for calculation) 15. Accrued interest of 7% on long-term note payable of $175,000. 16. Income tax rate is 21% Additional Information: During 2020, the following additional transactions occurred: (Hint: these are already included in 12/1/20 TB, but may be needed for the Statement of Cash Flows) 1. Issued 5,000 shares of common stock, $1 par, for $40,000 on June 1, 2020. 2. Some equipment was sold (original cost $10,000, book value $6,000) for $3,000 (do not consider in your #2 AJE above) 3. All amortization and depreciation is recorded once a year on December 31. Acct Description DR CR 98,000 Date 1-Dec Accounts Receivable Sales Revenue Cost of Goods Sold Inventory 98,000 63,500 63,500 700,000 2-Dec Land Cash Note Payable 200,000 500,000 17,000 3-Dec Treasury Stock Cash 17,000 40,000 4-Dec Equipment Cash 40,000 5-Dec Accounts Payable Cash __ 31,500 31,500 120,000 6-Dec Unearned Revenue Common Stock Paid-in Capital Excess of Par--Common Stock | 5,000 115,000 43,120 8-Dec Inventory Accounts Payable 43,120 98,000 9-Dec Cash Accounts Receivable 98,000 124,000 124,000 15-Dec Cash Sales Revenue Cost of Goods Sold Inventory 74,900 74,900 242,000 16-Dec Cash Common Stock Paid-in Capital Escess of Par--Common Stock 11,000 231,000 43,120 17-Dec Accounts Payable Cash 43,120 18-Dec Note Payable - Short Term Interest Expense Cash 71,640 3,582 75,222 203,700 19-Dec Inventory Accounts Payable 203,700 413,000 413,000 20-Dec Accounts Receivable Sales Revenue Cost of Goods Sold Inventory 175,000 175,000 3,500 21-Dec Utilities Expense Cash 3,500 8,750 24-Dec Cash Treasury Stock Paid-in Capital in Excess of Par--Treasury Stock 8,500 250 4,500 26-Dec Bad Debt Expense Accounts Receivable 4,500 2,578,812.00 2,578,812.00 DR 707,685 788501 18.000 110.000 40.600 38.500 3.600 150.000 32719 56.500 32,542 35.000 65.000 366.300 78,000 17.000 28.417 Cascade Trifort, Inc. Trial Balance December 1, 2020 Description 100 Cash 101 Accounts Receivable 102 Allowance for Doubtful Accounts 103 Trading Securities 104 Inventory 105 Prepaid Rent 106 Prepaid Insurance 907 Supplies 125 Equipment 126 Acumulated Depreciation Eevipment 927 Trud 128 Accumulated Depreciation Truck 130 Land 175 Patents Accounts Payable 202 Salaries Payable 203 Utilities Payable 204 Payroll Taxes Payable 205 interest Payable 206 Dividends Payable 207 Income Tax Payable 20B Note Payable -short term 221 Note Payable-long term 225 Bond Payable 226 Premium on Bond Payable 301 Common Stock. $1 par, 35,000 shares 302 APC Common Stock 304 Unearned Compensation 305 Treasury Stock 306 APC Treasury Stock 310 Retained Earnings 401 Sales 500 Cost of Goods Sold 800 Compensation Expense 601 Salaries Expense 602 Rent Expense Bad Dept Expense 605 Payroll Tax Expense 606 Advertising Expense 607 Insurance Expense 508 Supplies Expense 509 Depreciation Expense 610 Amortization Expense 611 Uites Expense 612 Miscellaneous Expenses 614 Interest Expense 615 Income Tax Expense 617 Realized Gains Losses) 620 Unrealized Gains (Losses) Totals 19,585 71,640 175.000 300,000 18.572 45.000 158.000 242.000 653,000 175.000 42.000 23.000 15.000 7.000 17.00 3.300 7.990 6000 2.303,675 230,675 Record the following adjusting entries in general journal form as of December 31, 2020: 1. Supplies on hand at the end of the year: $700 2. Equipment shown on the 12/1 TB was purchased on 1/1/17, has a 8 year life, no salvage value and company uses double-declining balance method for its depreciation. 3. Included in the truck balance is a fully depreciated truck for $6,500 and a new truck valued at $50,000 which was purchased on 1/1/17. The new truck has a 9-year life, no salvage value and the company uses the sum-of-the-years digits for its depreciation method on this asset. 4. Don't forget to depreciate the new equipment! 5. The patent was purchased on 1/1/2013 for $100,000 and its useful life is 20 years. 6. $40,600 was paid on October 1, 2020 for six months rent. 7. On February 1, 2020, paid $38,500 for a 12-month insurance policy. 8. Declared dividends of $30,000 on December 31 9. The fair market value of the securities (classified as trading) is $17,000. 10.3% of Accounts Receivable is estimated to be uncollectible. Company uses the allowance method for estimating its uncollectible accounts. 11. Accrued salaries expense of $6,000 and recorded Payroll tax expense on account of $2300. 12. Had issued $300,000 of 6%, 10-year bond, dated 1/1/18 for $323,383 when the market rate was 5%. Interest is paid on June 30 and January 1 using the effective interest rate method. The June payment is included in the Dec. 1 TB.(Additional credit awarded if amortization table is included) 13. One month has passed since the issuance of restricted stock. 14. Interest on 30 days of note payable, dated 12/1/20 should be accrued. (Assume 360 days in a year for calculation) 15. Accrued interest of 7% on long-term note payable of $175,000. 16. Income tax rate is 21% Additional Information: During 2020, the following additional transactions occurred: (Hint: these are already included in 12/1/20 TB, but may be needed for the Statement of Cash Flows) 1. Issued 5,000 shares of common stock, $1 par, for $40,000 on June 1, 2020. 2. Some equipment was sold (original cost $10,000, book value $6,000) for $3,000 (do not consider in your #2 AJE above) 3. All amortization and depreciation is recorded once a year on December 31. Acct Description DR CR 98,000 Date 1-Dec Accounts Receivable Sales Revenue Cost of Goods Sold Inventory 98,000 63,500 63,500 700,000 2-Dec Land Cash Note Payable 200,000 500,000 17,000 3-Dec Treasury Stock Cash 17,000 40,000 4-Dec Equipment Cash 40,000 5-Dec Accounts Payable Cash __ 31,500 31,500 120,000 6-Dec Unearned Revenue Common Stock Paid-in Capital Excess of Par--Common Stock | 5,000 115,000 43,120 8-Dec Inventory Accounts Payable 43,120 98,000 9-Dec Cash Accounts Receivable 98,000 124,000 124,000 15-Dec Cash Sales Revenue Cost of Goods Sold Inventory 74,900 74,900 242,000 16-Dec Cash Common Stock Paid-in Capital Escess of Par--Common Stock 11,000 231,000 43,120 17-Dec Accounts Payable Cash 43,120 18-Dec Note Payable - Short Term Interest Expense Cash 71,640 3,582 75,222 203,700 19-Dec Inventory Accounts Payable 203,700 413,000 413,000 20-Dec Accounts Receivable Sales Revenue Cost of Goods Sold Inventory 175,000 175,000 3,500 21-Dec Utilities Expense Cash 3,500 8,750 24-Dec Cash Treasury Stock Paid-in Capital in Excess of Par--Treasury Stock 8,500 250 4,500 26-Dec Bad Debt Expense Accounts Receivable 4,500 2,578,812.00 2,578,812.00 DR 707,685 788501 18.000 110.000 40.600 38.500 3.600 150.000 32719 56.500 32,542 35.000 65.000 366.300 78,000 17.000 28.417 Cascade Trifort, Inc. Trial Balance December 1, 2020 Description 100 Cash 101 Accounts Receivable 102 Allowance for Doubtful Accounts 103 Trading Securities 104 Inventory 105 Prepaid Rent 106 Prepaid Insurance 907 Supplies 125 Equipment 126 Acumulated Depreciation Eevipment 927 Trud 128 Accumulated Depreciation Truck 130 Land 175 Patents Accounts Payable 202 Salaries Payable 203 Utilities Payable 204 Payroll Taxes Payable 205 interest Payable 206 Dividends Payable 207 Income Tax Payable 20B Note Payable -short term 221 Note Payable-long term 225 Bond Payable 226 Premium on Bond Payable 301 Common Stock. $1 par, 35,000 shares 302 APC Common Stock 304 Unearned Compensation 305 Treasury Stock 306 APC Treasury Stock 310 Retained Earnings 401 Sales 500 Cost of Goods Sold 800 Compensation Expense 601 Salaries Expense 602 Rent Expense Bad Dept Expense 605 Payroll Tax Expense 606 Advertising Expense 607 Insurance Expense 508 Supplies Expense 509 Depreciation Expense 610 Amortization Expense 611 Uites Expense 612 Miscellaneous Expenses 614 Interest Expense 615 Income Tax Expense 617 Realized Gains Losses) 620 Unrealized Gains (Losses) Totals 19,585 71,640 175.000 300,000 18.572 45.000 158.000 242.000 653,000 175.000 42.000 23.000 15.000 7.000 17.00 3.300 7.990 6000 2.303,675 230,675