REQUIRED: General Journal, Lefger, Trial Balance, Income Stat, Balance Sheet, Analysis

College Coasters is a San Diego$-$based merchandiser specializing in logo$-$adomed drink coasters. The company reported the following balances in its unadjusted trial balance at December $1.$

$\backslash$table$[[$Cash$,8,400],[$Accounts Receivable,$1,920],[$Inventory$,450],[$Prepaid Rent,$600],[$Equipment$,850],[$Accumulated Depreciation,$90],[$Accounts Payable,$1,440],[$Salaries and Wages Payable,$200],[$Income Taxes Payable,$0],[$Common Stock,$5,500],[$Retained Earnings,$2,500],[$Sales Revenue,$15,510],[$Cost of Goods Sold,$8,630],[$Rent Expense,$1,100],[$Salaries and Wages Expense,$1,800],[$Depreciation Expense,$90],[$Income Tax Expense,$1,400],[$Office Expense,$]]$

The company buys coasters from one supplier. All amounts in Accounts Payable on December $1$ are owed to that supplier. The inventory on December $1$ consisted of $900$ coasters, all of which were purchased in a batch on July $10$ at a unit cost of $$0\mathrm{.}50.$ College Coasters records its inventory using perpetual inventory accounts and the FIFO cost flow method.

During December, the company entered into the following transactions. Some of these transactions are explained in greater detail below.

a$.$ Purchased $400$ coasters on account from the regular supplier on $\frac{12}{1}$ at a unit cost of $$0\mathrm{.}52,$ with terms of $\frac{n}{60}.$

b$.$ Purchased $1,000$ coasters on account from the regular supplier on $\frac{12}{2}$ at a unit cost of $$0\mathrm{.}55,$ with terms of $\frac{n}{60}.$

c$.$ Sold $1,900$ coasters on account on $\frac{12}{3}$ at a unit price of $$1\mathrm{.}10.$

d$.$ Collected $$870$ from customers on account on $\frac{12}{4}.$

e$.$ Paid the supplier $$1,310$ cash on account on $\frac{12}{18}.$

f$.$ Paid employees $$480$ on $\frac{12}{23},$ of which $$260$ related to work done in November and $$220$ was for wages up to December $22.$

g$.$ Loaded $90$ coasters on a cargo ship on $\frac{12}{31}$ to be delivered the following week to a customer in Kona, Hawaii. The sale was made FOB destination with terms of $\frac{n}{60}.$

Other relevant information includes the following at $\frac{12}{31}$

h$.$ College Coasters has not yet recorded $$190$ of office expenses incurred in December on account.

i$.$ The company estimates that the equipment depreciates at a rate of $$10$ per month. One month of depreciation needs to be recorded.

j$.$ Wages for the period from December $23-31$ are $$100$ and will be paid on January $15.$

k$.$ The $$600$ of Prepaid Rent relates to a six$-$month period ending on May $31$ of next year.

L$.$ The company incurred $$800$ of income tax but has made no tax payments this year,

$m.$ No shrinkage or damage was discovered when the inventory was counted on December $31.$

$n.$ The company did not declare dividends and there were no transactions involving common stock.

Requirement

General

General

Trial Balance

Income

Statement

Balance Sheet

Analysis

General Journal tab $-$ Prepare the journal entries to record the transactlons $($a$)$ through $(n).$ Review the accounts as shown in the General Ledger and Trial Balance tabs$.$

General Ledger tab $-$ Each journal entry is posted automatically to the general ledger. Use the drop$-$down button to view the unadjusted, adjusted, or post$-$closing balances in the General Ledger.

Trial Balance tab $-$ You may view either the unadjusted, adjusted, or post$-$closing trial balance by choosing from the dropdown.

Income Statement tab $-$ Use the drop$-$down to select the accounts properly included on the income statement. The unadjusted, adjusted, or post$-$closing balances will appear for each account based on your selection.

Balance Sheet tab $-$ Use the drop$-$down to select the accounts to properly included on the balance sheet. The unadjusted, adjusted, or post$-$dosing balances will appear for each account, based on your selection.

Analysis tab $-$ Calculate to one decimal place the inventory turnover ratio and days to sell in 'Analysis Tab.$\text{'}$