Required: Journalize the adjusting entries to be made by Wilson company. Show supporting work.

Part III Below are the balances and adjustments to be completed by Wilson Company during its first fiscal year ending December 31, 2016: Balances Accounts Receivable Allowance for Doubtful Accounts Inventory Prepaid Insurance Office Supplies Store Supplies 121,500 (1,200) 86,754 21,000 5,468 8,900 Adjustments: Estimated uncollectible accounts at December 31, is 3% of accounts receivable. . The physical inventory on December 31 indicated $84,394. Prepaid insurance expired during the year, $6,300. Office supplies used during the year, $2,800. Store supplies available, $5,430. Depreciation on plant assets are computed as follows: . Asset Cost SalvageAcquisition Useful Life Method Value Date $650,000 so January 2 50 yrs Double-declining Building Office Equip 176,000 16,000 March 30 Store Equip 80,0008,000July 3 Machinery 150,000 10,000 October 31500,000 units Units of Production yrsStraight line yrs Straight line (8,000 units for 2016) The cost of mineral rights was $390,000 and with no salvage value. Of the estimated ore deposit of 650,000 tons, 38,400 tons were mined and 28,000 ton were sold during the year. Interest on any notes. . A product warranty was granted beginning December 1 and covering a one-year period. The estimated cost is 3% of sales, which totaled $1,350,000 for December. . Part ll Instructions: Journalize the adjusting entries to be made by Wilson Company