Requirements: a) Journal Entries for the month of May (May 1- May 31) b) Unadjusted Trial Balance c) Adjusted Trial Balance

Palisade Creek Co is a merchandising business that uses the perpetual inventory system. The account balances for Palisade Creek Co. as of May 1, 2018, are as follows: Assume all accounts have normal balances 110 Cash $ 83,600 112 Accounts receivable 233,900 115 Inventory 624,400 116 Estimated returns inventory 28,000 117 Prepaid insurance 16,800 118 Store supplies 11,400 123 Store equipment 569,500 124 Accumulated depreciation-store equipment 56,700 210 Accounts payable 96,600 211 Salaries payable 212 Customers refunds payable 50,000 310 Common stock 100,000 311 Retained earnings 585,300 Instructions 310 Common stock 100,000 311 Retained earnings 585,300 312 Dividends 135,000 313 Income summary 410 Sales 5,069,000 510 Cost of goods sold 2,823,000 520 Sales salaries expense 664,800 521 Advertising expense 281,000 522 Depreciation expense 523 Store supplies expense 529 Miscellaneous selling expense 12,600 530 Office salaries expense 382,100 531 Rent expense 83,700 532 Insurance expense 539 Miscellaneous administrative expense 7,800 Record the following transactions on page 20 of the journal. Refer to the Chart of Accounts for exact wording of account titles. May 1 Paid rent for May, $5,000 3 Purchased merchandise on account from Martin Co., terms 2/10, n/30, FOB shipping point, $36,000. 4 Paid freight on purchase of May 3, $600. 6 Sold merchandise on account to Korman Co., terms 2/10, n/30, FOB shipping point, $68,500. The cost of the goods sold was $41,000 7 Received $22,300 cash from Halstad Co. on account. . 10 13 Sold merchandise for cash, $54,000. The cost of the goods sold was $32,000. Paid for merchandise purchased on May 3. Paid advertising expense for last half of May, $11,000. Received cash from sale of May 6. 16 19 Purchased merchandise for cash, $18,700. 19 Paid $33,450 to Buttons Co. on account. 20 Paid Korman Co. a cash refund of $13,230 for returned merchandise from sale of May 6. The invoice amount of the returned merchandise was $13,500 and the cost of the returned merchandise was $8,000 Record the following transactions on page 21 of the journal. Refer to the Chart of Accounts for exact wording of account titles. May 20 Sold merchandise on account to Crescent Co., terms 1/10, n/30, FOB shipping point, $110,000. The cost of the goods sold was $70,000. For the convenience of Crescent Co., paid freight on sale of May 20, $2,300. 21 21 Received $42,900 cash from Gee Co. on account 21 Purchased merchandise on account from Osterman Co., terms 1/10, n/30, FOB destination, $88,000. 24 Returned of damaged merchandise purchased on May 21, receiving a credit memo from the seller for $5,000. 26 Refunded cash on sales made for cash, $7,500. The cost of the merchandise returned was $4,800. 28 Paid sales salaries of $56,000 and office salaries of $29,000. 29 Purchased store supplies for cash, $2,400. 30 Sold merchandise on account to Turner Co., terms 2/10, n/30, FOB shipping point, $78,750. The cost of the goods sold was $47,000. 30 Received cash from sale of May 20 plus freight paid on May 21. 31 Paid for purchase of May 21, less return of May 24. Palisade Creek Co. UNADJUSTED TRIAL BALANCE May 31, 2018 ACCOUNT TITLE DEBIT CREDIT 1 Cash 2 Accounts Receivable 3 Inventory 4 Estimated Returns Inventory 5 Prepaid Insurance 6 Store Supplies 7 Store Equipment 3 Accumulated Depreciation-Store Equipment 9 Accounts Payable 10 Salaries Payable 11 Customers Refunds Payable 12 Common Stock nst Unadjusted Trial Balance LUITIVIULUGIN 13 Retained Earnings Led 14 Dividends 15 Sales 16 Cost of Goods Sold 17 Sales Salaries Expense 18 Advertising Expense 19 Depreciation Expense 20 Store Supplies Expense 21 Miscellaneous Selling Expense 22 Office Salaries Expense 25 Rent Expense 24 Insurance Expense 25 Miscellaneous Administrative Expense 26 Totals